Consumer credit delinquencies declined in eight out of 11 closed-end loan categories in the second and third quarters of 2020 amid significant fiscal support and sound financial management from consumers, according to ABA’s Consumer Credit Delinquency Bulletin released today.
The share of current and performing first-lien mortgages in the third quarter of 2020 was 92.5%, down from 96.4% a year ago, according to the Mortgage Metrics Report released by the OCC today.
The share of commercial real estate loans 30+ days delinquent jumped from 0.9% in April to 5.1% in June. Though that share eased to 3.2% in October, the delinquency rate remains 2.3 percentage points above its April levels.
The number of homes backed by Fannie Mae and Freddie Mac that are 60 or more days past due jumped from 0.92% to 4.08% at the end of the second quarter, due to the COVID-19 pandemic and the forbearance programs being offered to the affected borrowers, according to the Federal Housing Finance Agency’s foreclosure prevention report released today.
Around 6% of outstanding first-lien mortgages in June 2020 were reporting zero payment due based on credit bureau data, up from essentially none in February—thus indicating some kind of coronavirus-related payment relief, the Consumer Financial Protection Bureau said in a report today.
Consumer credit delinquencies rose in all 11 closed-end loan categories in the first quarter of 2020 as the coronavirus pandemic and subsequent economic slowdown began in the U.S., according to the American Bankers Association’s Consumer Credit Delinquency Bulletin released today.
While it is too early to assess the full effects, COVID-19 will permanently reshape commercial real estate in the U.S.
A new report from the CFPB found “substantial changes in debt settlement activities over the last 13 years,” likely driven by market share increases among debt settlement companies.
Consumer delinquencies rose in the fourth quarter of 2019, mostly due to increases in auto and home-related delinquencies, according to ABA’s Consumer Credit Delinquency Bulletin released today.
A solid job market and rising wages provide strong foundation for consumers to meet debt obligations.