The following is from the Bloomberg news service:
As the economy recovers from the epidemic, Americans are paying their loans back with greater regularity than ever before.

According to the American Bankers Association’s quarterly report released on Thursday, consumer credit delinquencies dropped to 1.21 percent in the second quarter.
Since the organization began collecting statistics in 1993, this is the lowest point ever.

The ABA saw a decrease in delinquencies in nine of the 11 categories they monitored.
The data indicates that the delinquency rate for bank-issued credit cards has dropped to a record low of 1.38 percent from 2.05 percent in the first quarter.
Bank-issued vehicle loans had a default rate of 1.45 percent, while the number of customers who couldn’t pay back home equity loans dropped to 3.42 percent.

ABA Chief Economist and Head of Research Sayee Srinivasan said in a statement that “consumers’ financial health generally continued to rise in the second quarter thanks to the solid jobs recovery and another round of federal stimulus funds.
“Consumers have stayed focused on managing their credit card balances and spending within their means,” says the report.

It’s important to keep an eye on the epidemic, though.
According to Srinivasan, the delta version has increased economic instability and many consumers are still struggling.


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