Capital One reports debts on credit cards increase to 9.22%

Capital One Financial Corp, one of the largest providers of Visa and MasterCard credit cards, announced Monday, the annualized net charge debts increased to 9.83% in July from 9.73% the previous month.

US credit card defaults and delinquencies surged last month as Americans continued losing jobs and struggled to pay their debts.

Capital One said accounts, at least 30 days delinquent, grew from 4.77% to 4.83%.

Capital One’s charge-off rate for U.S. auto loans, soared from 3.89% in June to 4.26% in July, while delinquency rate raised to 9.22% in July from 8.89% in June.

In international operations, including Canada and Britain, the charge-off rate inched up to 9.76% in July compared to 9.26% the previous month; however the delinquency rate eased from 6.69% to 6.68%.

Comments are closed.