U.S. Credit Card ABS Issuer Report: Collateral Performance Strengthened To Pre-Recession Levels In Third-Quarter 2011 Nov 11
- ID: 2027126
- November 2011
- Region: United States
- Standard & Poors
The performance of receivables backing U.S. credit card asset-backed securities (ABS) transactions improved considerably during the third quarter of 2011, as loss rates decreased to a level not seen since 2007. Loss rates for bank and private-label credit cards decreased to 4.6% and 6.3% in September 2011, a drop of more than 56% and almost 50% from their February 2010 peaks of 10.5% and 12.6%, respectively. As of Sept. 30, 2011, the U.S. and Canada Credit Card Quality Index (CCQI) tracked approximately $337.6 billion of receivables, which is about 43% of the $790.1 total U.S. revolving consumer debt balance. While credit card ABS issuance stayed low compared with pre-recession levels, it exceeded 2010 volume and remains within Standard & Poor's...
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