Fewer credit card account holders defaulting - KWWL - Eastern Iowa Breaking News, Weather, Closings

Fewer credit card account holders defaulting


NEW YORK (AP) -- The nation's top credit card issuers say the number of accounts that slipped into default fell to their lowest point of 2010 in December, and signs point to continued improvement in coming months.

Five of the six biggest card issuers posted their lowest rates for charge-offs, or accounts written off as uncollectible.  Citbank has not yet issued its report.

While the rate of balances that companies are writing off remains high by historical standards, it has fallen consistently throughout the year.

Importantly, rates for payments 30 days or more late also reached lows.  That figure, also known as the delinquency rate, is considered an indicator for what's to come, which means charge-offs can be expected to keep falling through the first few months 2011.

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