(Bloomberg) -- The share of credit card balances past due reached a series high in Federal Reserve Bank of Philadelphia data back to 2012, adding to a variety of figures indicating emerging fissures in the US economy.
Some 2.6% of credit card balances were 60 days past due in the first quarter, according to data published Wednesday. That’s up from a low of 1.1% reached in 2021, when consumers were bolstered by pandemic-era support programs.
The share of credit card balances 30 days and 90 days past due also climbed in the first three months of the year to the highest levels in data back to 2012.
Economists have been watching measures of consumer finances for signs of stress as the Fed keeps interest rates elevated in order to bring down inflation. Americans have now burned through the excess savings accumulated during the pandemic, a worrying sign that consumers — especially lower-income ones — may not be able to keep weathering high rates.
The Philadelphia Fed’s credit-card series is based on data gathered from the country’s largest financial institutions. The report also showed that mortgage originations were at their lowest level since the Philadelphia Fed started publishing the data, as the high cost of housing and elevated mortgage rates damped consumer appetite.
©2024 Bloomberg L.P.