Fewer Consumers Behind in Card Payments

Washington, DC, July 7, 2010–The number of consumers behind on their credit card payments fell to an eight-year low in the first quarter, the American Bankers Association said Wednesday.

About 3.88% of bank credit card accounts were past due by 30 days or more in the first quarter of the year — the first time since 2002 that the rate has fallen below 4%, the ABA said Wednesday.

And ABA’s composite ratio, which tracks delinquencies across eight key categories, fell to 2.98% from 3.19% the previous quarter — a sign of modest improvement in the U.S. economy, the group said.

The ABA’s report confirms what other government studies have shown: Americans appear to be taking a more prudent approach to their finances.