New York, October 21, 2014 – Data through September 2014, released today by S&P Dow Jones Indices and Experian for the S&P/Experian Consumer Credit Default Indices, a comprehensive measure of changes in consumer credit defaults, showed an uptick in default rates. The national composite posted 1.04% in September, up three basis points from July 2014’s historical low. For the second consecutive month, the first mortgage default rate rose, to 0.93% in September. The second mortgage default rate rose one basis point to 0.52%, which was its first increase since April 2014. The bank card rate decreased for the third consecutive month, declining by 10 basis points to 2.63%.
“Default rates for bank cards reversed an increase seen in the first half of 2014 while defaults on first mortgages and auto loans appear to have bottomed out over the summer. However, none of these movements are very large,” says David M. Blitzer, Managing Director and Chairman of the Index Committee for S&P Dow Jones Indices. “Despite their slight increase, default rates are still near the lows seen before the 2007-2009 recesion and financial crisis”
“Chicago, Dallas, New York and Miami all reported rate decreases, with Miami posting a default rate of 1.21%, its lowest rate since June 2006 and New York posting a default rate of 1.05%, its lowest since September 2005. Los Angeles for the second consecutive month posted a rate increase of 0.77%, up 11 basis points from its historical low in July 2014. All five cities – Chicago, Dallas, Los Angeles, Miami and New York – remain below default rates seen a year ago.”
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Experian is the leading global information services company, providing data and analytical tools to clients around the world. The Group helps businesses to manage credit risk, prevent fraud, target marketing offers and automate decision making. Experian also helps individuals to check their credit report and credit score, and protect against identity theft.
Experian plc is listed on the London Stock Exchange (EXPN) and is a constituent of the FTSE 100 index. Total revenue for the year ended 31 March 2014 was US$4.8 billion. Experian employs approximately 16,000 people in 39 countries and has its corporate headquarters in Dublin, Ireland, with operational headquarters in Nottingham, UK; California, US; and São Paulo, Brazil.
For more information, visit http://www.experianplc.com.