Subscribe to the print edition of National Mortgage Professional MagazineSubscribe to our RSS feedFollow us on TwitterGet daily updates via emailJoin us on Facebook

National Default Rates Drop in March

Downward Trend Housing Pic

Data through March 2013, released by S&P Dow Jones Indices and Experian for the S&P/Experian Consumer Credit Default Indices, a comprehensive measure of changes in consumer credit defaults, showed a decrease in national default rates during the month. The national composite was 1.50 percent in March, down from 1.55 percent in February. The first and second mortgage default rates moved to 1.41 percent and 0.69 percent in March, down from 1.48 percent and 0.71 percent in February. The bank card default rate was 3.51 percent in March, up from the recent low of 3.37 percent it posted last month. The auto loan default rate remained flat at 1.11 percent since February.

“The first quarter of 2013 shows healthy consumer credit quality,” says David M. Blitzer, managing director and Chairman of the Index Committee for S&P Dow Jones Indices. “The first and second mortgage default rates decreased, the bank card rate increased and the auto loan rate remained flat in March. All loan types remain below their respective levels a year ago.”

“Four of the five cities we cover showed decreases in their default rates in March – Miami was down by 28 basis points, Chicago by 25, Los Angeles by 15 and Dallas by six basis points. New York was the only city with increased default rates; it was up 38 basis points. Miami had the highest default rate at 2.93 percent and Dallas - the lowest at 1.20 percent among the five cities. All five cities remain below default rates they posted a year ago, in March 2012,” added Blitzer.

Do you need to stay on top of mortgage industry news and trends?

We can HELP! We will send you a daily email with the latest headlines with free access to the full articles. And NO, we will not Spam you, sell your email address or otherwise abuse the trust you have by giving us when you provide us with your email. Sign up here to get on our list.

The Staff at National Mortgage Professional Magazine

he hottest mortgage industry headlines, featured articles and others mission critical mortgage industry stories delivered to my email inbox each day. 

My email address is . I am located in the state of  (state you are located).