Fewer late payments in second quarter for Discover Card
Credit card debt management appears to be getting easier for some card holders to manage. Credit card giant Discover is reporting a drop in delinquent payments for the second quarter.
Charge offs declined, 7.97 percent, equaling $81 million for the card giant. Late payments of at least 30 days fell $266 million from the first quarter of the year.
There are other ways the second quarter of 2010 has been good to Discover. The company reported a 6 percent rise in sales from last year. The increase is being attributed to increased consumer spending and gas prices.
“Our very strong results this quarter were driven by a significant improvement in the credit performance of our loyal customer base along with continued solid growth in card member spending,” says chairman and CEO of Discover David Nelms. “We were also pleased with the performance of our payments business, driven by solid growth in key volume measures.”
Discover isn’t the only card issuer that is reporting positive statistics. Earlier this month, Reuters reported that JPMorgan Chase, American Express, Capital One, Citigroup and Bank of America all experienced a drop in late payments.