Charge-off rates on outstanding receivables for the six largest credit card issuers in the United States declined during the third quarter ended Sept. 30 compared with the same period last year, according to Moody’s Investors Service.
The declines in issuers’ charge-off rates during the quarter varied.
American Express Co. reported the largest charge-off rate change, declining 306 basis points to 6.33% from 9.39%. Bank of America Corp.’s rate declined 272 basis points, to 11.84% from 14.56%, while Discover Financial Services’ rate fell 101 basis points, to 8.63% from 9.64%.
Citigroup Inc.’s charge-off rate fell 80 basis points, to 9.97% from 10.77%, and Capital One Financial Corp.’s rate declined 54 basis points, to 10.21% from 10.75%.
JPMorgan Chase & Co. had the smallest rate decline during the quarter, dropping 29 basis points to 7.97% from 8.26%.