Credit Card Delinquency Rate
Monitor U.S. credit card delinquency rates. At their highest since the Great Financial Crisis, rising delinquencies signal broad consumer financial stress.
Current Value
Trigger Level: >4% = GFC-level consumer stress
Historical Trend
AI Analysis
Today's credit card delinquency rate is 2.9%, showing a slight decline from a consistent level of 2.94% over the past three weeks. This downward movement, albeit marginal, indicates a potential easing of consumer stress, though the rate remains elevated and warrants close monitoring as it approaches the critical threshold of 4%. While the recent trend suggests a reduction in delinquency, the overall elevated level still poses a risk for recession, as it reflects ongoing financial strain among consumers. Continued observation is necessary to determine if this decline will stabilize or reverse, impacting broader economic conditions.
What is the CC Delinquency?
The credit card delinquency rate measures the percentage of credit card balances that are 30+ days past due across all U.S. commercial banks. Released quarterly by the Federal Reserve, it directly reflects consumer financial health.
Why It Matters for Recession Risk
Rising credit card delinquencies are a canary in the coal mine for consumer stress. When households can't make minimum payments, it signals income pressure that will eventually reduce spending — the engine of 70% of GDP.
Historical Context
Credit card delinquencies reached 6.8% during the 2008 crisis. Current rates above 4% have risen to the highest since the GFC and are broad-based across income levels, suggesting systemic consumer stress.
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