Discover Credit Card Net Charge-Off Rate Increases in November; Delinquencies Hold Steady
According to a recent SEC filing, the net charge-off rate has increased to 5.37%. This represents a significant acceleration from 4.31% in October and 4.71% from a year ago. The rate has been consistently above pre-pandemic levels.
This data indicates that more loans are not being paid back by borrowers, which can have a negative impact on financial institutions. It’s important for investors to keep an eye on these trends, as they can provide insights into the overall health of the economy.
While these numbers may seem concerning, it’s essential to remember that they are just one piece of the puzzle. It’s crucial to look at a variety of factors when evaluating the financial health of a company or industry.
As always, it’s important to stay informed and make decisions based on verified information. Keeping track of changes in the net charge-off rate can help you make more informed investment choices in the future.
