Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Market
Home finance delinquencies plummet 37%: Equifax
ATLANTA (7/3/14)--The total balance of home finance delinquencies stands at $43.5 billion--a whopping 37% drop from the same period last year and a seven-year low, according to the latest Equifax National Consumer Credit Trends Report.
 
The home finance category includes first mortgage and home equity lines of credit.
 
"Households continue to improve their financial situation," said Dennis Carlson, Equifax deputy chief economist. "Delinquencies for nearly every credit sector are at the lowest point since prior to the Great Recession, with home finance leading the charge."
 
Year-over-year changes in home financing balances that are 30 or more days past due, measured as a percentage of outstanding balances, include:
  • First mortgages dropped 29% to 4.6% from 6.4%;
  • Home equity installment balances decreased 27% to 3.9% from 5.2%; and
  • Home equity revolving credit declined 10% to 2.4% from 2.7%.
Equifax's report also found the total balance of first mortgages 90 or more days past due or in foreclosure is less than $230 billion--a six-year low at a drop of 30% from same time a year ago.
 
Of the severely delinquent home equity revolving credit balances, nearly 70% were originated in 2005 to 2007.
 
Bank-issued credit cards reached a six-year high with 11.3 million new cards issued year-to-date, a 17.2% increase from the same time a year ago. Total new credit originated in that same period is $57.1 billion--also a six-year high and a year-over-year increase of 24.4%.
 
New auto loans increased 5.6% from a year ago, resulting in an eight-year high of six million. With a 7.3% increase from the same period last year, the total balance of new loans is $120 billion.
 
Credit unions are seeing similar results with credit union loan portfolios increasing 1.2% in May--the fastest monthly increase in loan balances in nearly nine years, according to the Credit Union National Association's monthly survey of credit unions. (See related story: CU loan growth fastest since 2005, reveals MCUE survey.)


RSS





print
News Now LiveWire
Maine credit unions put Food Mobile on the road to relieving hunger in rural areas http://t.co/R0xpt6BAZE
10 hours ago
.@TheNCUA's Matz: PALS should be exempt from Military Lending Act proposal #NewsNow http://t.co/Vy9uNhOIEr
10 hours ago
#NewsNow Iowa loan growth 3 times national bank rate http://t.co/fUvudPLg5d
13 hours ago
.@ICBA tallies its Home Depot data breach costs: $90M, 7.5M cards http://t.co/iJgRDC2AKZ
14 hours ago
.@icul's Jury elected treasurer of @WOCCU exec committee http://t.co/HEF1UChN8f
15 hours ago