The share of US credit card debt that is delinquent 90+ days jumped to 11.1% in Q3 2024, the highest level since 2011. This is the 5th consecutive quarter of increases, the longest streak since the 2008 Financial Crisis. This share even exceeds the 2020 peak and has been rising at a pace only seen during recessions. At the same time, credit card debt hit $1.17 trillion, a new record. This means a whopping ~$130 billion of credit card debt is on the verge of a default.
And its not even Christmas yet. It has been rising at a pace only seen during - what? Let's keep an eye on this and see where it is in January.
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Update:
See also: US credit card defaults jump to highest level since 2010 https://www.ft.com/content/c755a34d-eb97-40d1-b780-ae2e2f0e7ad9
Credit card lenders wrote off $46bn in seriously delinquent loan balances in the first nine months of 2024, up 50 per cent from the same period in the year prior and the highest level in 14 years, according to industry data collated by BankRegData.
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