Bank of America, Citibank sees more charge offs in July
Both Citi and Bank of America saw credit card charge offs – the rate at which balances 90 days or more fall behind on payments – increase in July, while the nation’s other top lenders saw these actions continue to decline, according to a report from Reuters. Bank of America saw the larger of the increases, with charge offs rising to 7.43 percent from 6.97 percent. Citi’s rate jumped to 6.64 percent of all accounts, up from 6.47 percent.
Meanwhile, Capital One, Discover and JPMorgan Chase all saw seriously delinquent credit card accounts fall again during the month, the report said. However, Capital One was also the only major lender with an increase in early-stage delinquencies.
Delinquencies of 30 days or more are often viewed as being an indicator of future fluctuations in charged off accounts.