Home loans considered to be seriously delinquent accounted for a greater share of overall loans than in the preceding month. Dallas saw the biggest rise in consumer delinquency.
Based on the Composite Consumer Credit Default Index, delinquency of at least 90 days on U.S. consumer credit was 0.83 percent as of July 31.
The index — which reflects the combined performance of
auto loans, bank cards, first mortgages and second mortgages — crept up a basis point from a month earlier.
Compared to a year earlier, though, consumer credit delinquency has not changed.
The index was reported Tuesday by S&P Dow Jones Indices LLC and Experian, which jointly developed it.
Among five of the largest metropolitan statistical areas tracked,
Dallas had the most month-over-month deterioration: 10 BPS to 0.77 percent. Miami’s 1.23 percent rate was the highest, and Los Angeles’ 0.63 percent was the lowest.
On first mortgages secured by single-family properties, the rate of delinquency was 0.62 percent, worsening 2 BPS from June. But first mortgage delinquency was 4 BPS better than in July 2016.
David M. Blitzer, managing director and chairman of the index committee at S&P Dow Jones Indices, noted in the report that the first-mortgage default rate sits around its lowest point in the last decade.
At 0.50 percent, serious delinquency on second mortgages was a single basis point higher than a month earlier and has deteriorated 6 BPS from a year earlier.
