Most of the nation's six largest credit card lenders recently reported that they saw overall instances of both charge offs and late payments decline in the month of February after ticking slightly upward in January.
Capital One Financial, Discover Financial, Bank of America, JPMorgan Chase all recently reported that delinquency rates slipped in February as consumers returned to making more on-time payments in February, according to a report from Dow Jones Newswires. Meanwhile, American Express said delinquencies were flat.
And while American Express, Discover and Citi said that their charge offs increased somewhat, the other three lenders saw declines, the report said. However, those in the industry believe that instances of this type of action will increase over the course of the year as consumers' borrowing habits return to normal as the effects of the recent recession continue to decline.
Falling behind on credit card payments can have a severe negative impact on consumers' credit standing, which makes it important that they regularly check their credit reports to make sure it is free of errant or unfair markings.