Dallas experiences the largest increase in default rates
Defaults on consumer credit jumped six basis points in January, according to data from S&P Dow Jones Indices and Experian.
S&P/Experian Consumer Credit Default Indices’ composition rate rose to a reading of 1.02%.
The first-mortgage default rate climbed four basis points to 0.84%, while the bank-card default rate rose 33 basis points to 3.28%. The default rate for auto loans, on the other hand, fell three basis points to a reading of 0.99%.
Default rates in four of five major metropolitan statistical areas surveyed were up last month. Dallas saw the biggest increase at 1.07%, up nine basis points from the previous month. Chicago jumped eight basis points to 1.17%, Miami was seven basis points higher at 1.77%, and Los Angeles moved up six basis points to 0.86%.
New York was the only metro that posted a decline, down two basis points to 1.07%.
