Fla. ranks 2nd in credit card delinquency - South Florida Business Journal:
Florida had the second-highest incidence of credit card delinquency in the country in the third quarter, at 1.47 percent. Only Nevada’s was higher, at 1.98 percent, according to the latest statistics from TransUnion.com.
The report looks at the ratio of bankcard borrowers who are 90 days or more delinquent on one or more of their credit cards.
Nationwide, the rate fell to 1.1 percent in the third quarter, down 5.98 percent from the previous quarter.
The lowest credit card delinquency incidence rates were found in North Dakota (0.66 percent), South Dakota (0.7 percent) and Alaska (0.73 percent).
Florida ranks fourth in credit card debt per borrower for the quarter totaling $6.361.
Nationwide, average credit card borrower debt fell to $5,612, down 1.87 percent from the previous quarter's $5,719, and down 1.71 percent from $5,710 in the third quarter of 2008.
"For the first time in 10 years, third quarter national delinquency rates showed a decrease from the previous quarter, indicating a departure from the usual seasonal patterns,” said Ezra Becker, director of consulting and strategy in TransUnion's financial services group, in a news release.
Becker noted the recession has caused consumers to keep debt to a minimum and bring debt repayment under control. In addition, many lenders have modified credit card rules and their fees in the third quarter in advance of the Credit Card Act, which will take effect in February. The act is designed to protect consumers from abusive practice and beefs up disclosure requirements.
Looking ahead, TransUnion sees the 90-day credit card delinquency rate remaining steady at 1.1 percent in the fourth quarter, with a possible increase in the beginning of next year.