delinquency

Capital One Financial Corp reported that US credit-card defaults continued their decline for the fourth straight month which means that fewer Americans were falling seriously behind in their credit card payments.

In its regulatory filing Capital One reported that the annualized net charge-off rate for US credit cards dropped to 8.13% in July from 9.28% in June.

The company said that accounts at least 30 delinquent declined to 4.66 percent from 4.79 percent.

In its regulatory filing Capital One Financial reported that US credit card defaults increased in January which reflects the still stressed conditions of the consumers.

The company reported that the annualized net charge-off rate for US credit cards jumped 10.41% in January up from 10.14% in December.

The report further reveals that accounts at least 30 days delinquent rose marginally to 5.80% up from 5.78%.

Charge off rate for US auto-loans was 4.27% in January down from 5.68% the previous month with the delinquency rate having fallen to 9.61% from 10.03%.

Bank of America and Capital One released their credit card reports which show consumers were stressed through the holiday shopping season. Discover Financial also reported its figures.

Bank of America had the highest default and delinquency rates of the three companies that reported early on Friday. The rate of charge-offs here increased last month to 13.53% from 13.00% in November. Credit card delinquencies fell to 7.44% in December from 7.69% the previous month.

According to Tuesday report by Moody's Investors Service the US credit card debt write-offs increased in November. The report says that charge-offs grew by about 0.5% to 10.56% with the increase expected to continue to a peak between 12% and 13% in the middle of next year.

Moody also reports that delinquencies which measure the proportion of accounts for which a monthly payment is more than 30 days late, also increased to 6.2% in November while early-stage delinquencies fell to 1.6% for the month.

 Capital One Financial reported that US credit card defaults in September increased as more households in America are getting unemployed.

Thus, the regular report filed by Capital One showed that the annualized net charge-off rate for US credit cards increased to 9.77% in September from 9.32% in the previous month.

The filing also reported that accounts at least 30 days delinquent have risen to 5.38% from 5.09%.

Meantime, unemployment rose to a 26-year high of 9.8% in September.

According to a new report by Equifax Canada, the number of Canadians who are late on making their monthly credit payments amounts to more than half a million. As the recession hits communities across the country, the national delinquency rate on credit payments continues to grow.