|HEL Delinquency Falls
ABA survey released Thursday
December 23, 2002
By MortgageDaily.com staff
|Mobile home loan delinquencies decreased, but delinquencies on home equity loans remained about the same, according to a third quarter report released Thursday by the American Bankers Association (ABA).
The latest Consumer Delinquency Bulletin revealed that late mobile home loans dropped to 5.38% during the third quarter ending Sept. 30, compared with 5.81% during the second quarter.
Home equity loans, based on number of accounts, stayed the same as second quarter’s 1.38%.
Home equity lines of credit continue to be the loan category with the lowest delinquencies, ABA reported. Late payments on home equity lines dropped to 0.58% during the third quarter, compared with 0.64% in the second quarter.
“Lower interest rates, particularly for mortgages, have been the saving grace for many individuals, allowing them to lower their monthly payments and consolidate debt at attractive rates,” said James Chessen, chief economist at ABA.
The composite ratio of closed-end installment loans 30 days or more past due also decreased to the lowest in more than two years — 2.06 % of all accounts from 2.17% during the second quarter.
ABA’s composite ratio tracks eight closed-end consumer installment loans including home equity, auto, and personal loans.
So, you’re interested in refinancing your mortgage. Maybe you want some extra capital to do that home project you’ve always dreamed of, interest rates are nearing record lows, or you want to start consolidating debt. Regardless of the motivation behind the refinance,...