Slight Increase in Credit Card Late Payments

Slight Increase in Credit Card Late Payments

December 4, 2013         Written By Bill Hardekopf

There has been a slight increase in credit card late payments between the second and third quarters of 2013. The second quarter reported 90+ day late payments at 1.27% for the nation, while the third quarter showed 1.36%.

While this marginal jump may have some analysts concerned, it is important to note that the third quarter rates for 2013 are lower than those of 2012. Last year, there was a 1.5% delinquency rate for the same period.

Toni Guitart, director of research and consulting for financial business services at TransUnion, told USA Today, “The credit card delinquency rate typically rises in the third quarter, partly because of back-to-school spending.” As parents shell out their money for school supplies, clothing and books, credit card payments fall behind.

The same pattern is expected for the fourth quarter as a reflection of holiday shopping. Consumers spend billions of dollars during this time of year trying to buy gifts for their family and friends. Historically, many will not pay those credit card bills in a timely manner.

As a whole, this increase in the delinquency rate is not a great cause of concern. Maintain prudent use of your credit card during the holidays, and your own personal finances will be in better shape.

The information contained within this article was accurate as of December 4, 2013. For up-to-date
information on any of the terms, cards or offers mentioned above, visit the issuer's website.


About Bill Hardekopf

Bill Hardekopf is the CEO of and covers the credit card industry from all perspectives. Bill has been involved with personal finance for over 15 years. He is a frequent contributor to Forbes, The Street and The Christian Science Monitor.
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