Debt — and delinquencies — are on the rise for Americans
https://www.cnn.com/2024/05/14/economy/household-debt-credit-q1-delinquencies/index.html
by BikkaZz
Debt — and delinquencies — are on the rise for Americans
https://www.cnn.com/2024/05/14/economy/household-debt-credit-q1-delinquencies/index.html
by BikkaZz
1 comment
“In the first quarter of 2024, credit card and auto loan transition rates into serious delinquency continued to rise across all age groups,” Joelle Scally, regional economic principal within the Household and Public Policy Research Division at the New York Fed, said in a statement.
“An increasing number of borrowers missed credit card payments, revealing worsening financial distress among some households.”
While the delinquency transition rates remain below what was seen during the Great Recession, they’re running higher than what was seen pre-pandemic.
Overall household debt grew by 1.1% during the first quarter to $17.69 trillion, according to data that is not adjusted for inflation. The quarterly increase was driven largely by mortgage balances. Credit card balances dipped (as they typically do post-holidays) by $14 billion to $1.12 trillion. However, when adjusting for inflation, balances have yet to surpass the levels seen in 2008.”