Credit Card News

Advertising Disclosure
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » News » Other » Transunion records decrease in loan consumption, credit card dues

Transunion records decrease in loan consumption, credit card dues

By
Add to Favorites:
Transunion records decrease in loan consumption, credit card dues

According to TransUnion, credit card loan consumption has decreased by 13 percent. Compared with previous years, the average amount of credit card loans fell to approximately $5,000. Among US states, only 22 have recorded loans that are higher compared with the national average. The highest amount of credit card debt was recorded in Alaska during the first quarter.


Meanwhile, the state which had the lowest balance on average was Alabama. The average debt in the state fell to about 27 percent. Most residents in Alabama had paid their balances on time, as well as meeting the 90-day deadline to pay their loans. For the recent quarter, credit card owners in the state have had the lowest amount of liability in the past eight years. Reports also show that most credit card holders prioritized repayment of their loans instead of investing in new housing projects (a trend which started in 1998).


Analysts say that credit card companies have an average of $6,000 in debt issued for the first quarter. This year, it falls by an average of $1,000. Among credit card companies in the United States, the companies which are affected most were the big ones.


According to TransUnion`s director for consulting and strategy Ezra Becker, it was the very first time that the balances of credit card holders were paid on time compared to the previous quarters. The number of credit card holders who do not pay their balances on time fell to below 1%. Becker says that this is a good indication that credit card holders are becoming more responsible in using their cards and paying their balances.


The effort is a product of how credit card holders want to have a consistently good standing in their credit records and history. According to Becker, this is important because consumers recognize the impacts of recession especially in job stability. The consumers nowadays use their credit cards to purchase items that they need, and now realize a greater need to pay off their balances, Becker added.


With better consciousness and growing trends of responsibility among credit card holders, TransUnion believes that the rate of credit delinquency will remain below 1% in several US states.

Add to Favorites:

Related News:

Small and Medium Businesses Are Feeling Hopeful and Confident

By Dar Dowling, Posted: February 21, 2017

If you have felt a sense of hopefulness when visiting small and medium-sized businesses, you’re in sync with the trending vibe, according to the inaugural American Express Global SME Pulse. The study found that these businesses are feeling ... Continue reading
New Visa Cards From Cathay Pacific

By Dar Dowling, Posted: February 20, 2017

Travelers have new rewards earning credit cards to choose from with the rollout of Cathay Pacific Visa Signature card. Continue reading
New Travel Rewards From MasterCard

By Dar Dowling, Posted: February 17, 2017

MasterCard is rolling out new travel benefits and rewards for MasterCard Platinum, World and World Elite credit cardholders in the Asia Pacific. Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Unlimited 1.5x rewards on every purchase, every day. For every $1 you spend, you earn 1.5x Miles.
For Excellent, Good Credit
Get a dollar-for-dollar match of all the cash back you’ve earned at the end of your first year, automatically.
For Excellent, Good Credit
Guaranteed $500 Unsecured Credit Limit
For Bad Credit