RPT-Fitch: borrower behavior surges for U.S. credit card ABS in 3Q'13
Oct 10 (Reuters) - (The following statement was released by the rating agency)
Monthly payment rates (MPRs) for U.S. credit card ABS reached an all-time high this past quarter, according to the latest quarterly index from Fitch Ratings.
MPR for September set a record high with 26.27% in third quarter-2013 (3Q'13). 'Credit card debt borrowers are of overall higher-quality and are steadily making on-time payments, as the record high MPR seems to indicate,' said Managing Director Michael Dean.
This comes as chargeoff and delinquency levels saw the fourth straight quarterly decline in 3Q'13. Late payments for 3Q'13 averaged 1.30%, down from 1.48% in 2Q'13 and 26% lower than the same period in 2012. 'There appears to be no stop in sight for falling credit card ABS delinquencies,' said Dean.
Also helping performance is the emergence of new credit card deals, with outstandings rising for a fifth straight month.
The U.S. Credit Card ABS Index is part of Fitch's series of structured finance index reports. The index reports are updated quarterly and are available at 'www.fitchratings.com' or by clicking on the below link.
Link to Fitch Ratings' Report: Credit Card Index: Movers & Shakers - U.S. (3Q13)
- Colorado baker discriminated by denying gay couple wedding cake: judge
- WTO overcomes last minute hitch to reach its first global trade deal
- Flights delayed as air pollution hits record in Shanghai
- Amish girl in Ohio will not be forced to resume chemo for cancer
- South Africa mourns Mandela, will bury him on December 15 |