Based on total dollars past-due, credit card delinquency declined in the second quarter to its lowest level for a second quarter since 1994. However, based on the number of accounts, the figure edged up very slightly to 4.41% from the prior quarter, but remains well below 2Q/05's 4.81%. According to the American Bankers Association the financial squeeze is easing as the Fed has stopped raising rates and prices at the pump are down more than 17% since the end of June. Based on dollars past-due the second quarter figure was 3.34%, compared to 3.44% in the first quarter and 3.60% one-year ago. Overall, the ABA composite ratio, which includes late payments in eight types of closed-end installment loans, increased slightly to 1.96% from 1.94% of accounts (seasonally adjusted) in the first quarter of 2006.
| 2Q CREDIT CARD DELINQUENCY HISTORY |
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| (based on total dollars outstanding) |
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| 1980: 3.25% | 1990: 3.46% | 2000: 3.54% |
| 1981: 2.86% | 1991: 4.48% | 2001: 4.13% |
| 1982: 3.03% | 1992: 4.19% | 2002: 4.08% |
| 1983: 2.81% | 1993: 3.86% | 2003: 4.51% |
| 1984: 2.80% | 1994: 3.06% | 2004: 4.33% |
| 1985: 2.88% | 1995: 3.58% | 2005: 3.60% |
| 1986: 3.83% | 1996: 4.61% | 2006: 3.34% |
| 1987: 3.28% | 1997: 5.24% |
| 1988: 3.44% | 1998: 4.57% |
| 1989: 3.06% | 1999: 4.10% |
| Source: American Bankers Association |
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