COSTA MESA, Calif.—New data from Experian raises some questions around what’s happening with card delinquencies.
According to a new Experian report, from January 2020 to June 2020 the average instances of consumer credit card delinquency decreased by 3.9%.
“This is all at a time of record unemployment and massive pay cuts in many industries, which could leave you wondering where the improvement stems from,” Bankrate stated.
Experian noted that some of the positive movement is likely due to lender accommodations provided through the CARES Act.
“With more consumers in forbearance, or with payments deferred through some accommodation, the decline in new delinquencies is understandable, as repayment for many loans has been paused,” Experian said.