Source: Bloomberg
“The share of outstanding US consumer debt that’s in delinquency rose in the first quarter to the highest in five years, reflecting an end to the pandemic-era pause on reporting delinquent student loan payments on credit reports. Some 4.3% of debt was delinquent in the first three months of this year, the most since 2020 and up from 3.6% in the prior quarter, the New York Fed said Tuesday in its Quarterly Report on Household Debt and Credit. Outside of student loans, however, transition to early delinquency held steady for nearly all debt types. Missing payments on federal student loans have just begun to reappear on credit reports, following a years-long payment freeze. As a result, about 8% of student debt fell into serious delinquency — or was 90 or more days late — in the first quarter, up from less than 1% a year earlier.” (05/13/25)