Delinquency rate on bank loans up to record 6.49%

Discussion in 'Economics' started by ASusilovic, Aug 17, 2009.

  1. WASHINGTON (MarketWatch) -- Delinquency rates for loans and leases at U.S. banks increased to a record 6.49% in the second quarter from 5.58% in the first quarter, the Federal Reserve announced Monday. The Fed began collecting the data in 1985. The charge-off rate rose from a record 2.03% to a record 2.65%. Before this recession, the highest charge-off rate had been 1.70%. Delinquency rates for real estate loans rose from 7.10% to 8.27%, the highest since the data began in 1987. Delinquency rates for commercial and industrial loans rose from 3.12% to 3.73%, while delinquencies for consumer loans rose to from 4.69% to 4.92%, also a 22-year high.

    Federal Reserve Statistical Release

    Charge-off and Delinquency Rates
  2. Green shoots!

    On a serious note, there is bounty of reasons we're headed off the cliff for another Great Depression, and scant few reasons why we could avoid one.