S&P/EXPERIAN CONSUMER CREDIT DEFAULT INDICES SHOW LOWER BANK CARD AND COMPOSITE RATES IN NOVEMBER 2021

Rhea-AI Summary

The S&P/Experian Consumer Credit Default Indices for November 2021 show a slight decline in the composite default rate to 0.37%, down from 0.38% in October. The bank card default rate decreased to 1.94%, a drop of seven basis points, while auto loans rose to 0.44%. Notably, New York reported the largest decline in defaults among major metropolitan areas, falling to 0.30%. Dallas also experienced a reduction, while Los Angeles saw a rise in defaults. The indices provide insight into the consumer credit landscape across various loan categories.

Positive

• Composite default rate decreased to 0.37%, indicating improved credit conditions.
• Bank card default rate dropped to 1.94%, showing a positive trend in consumer credit behavior.
• New York experienced the largest decline in defaults, reflecting a stronger economic environment.

Negative

• Auto loan default rate increased to 0.44%, indicating potential concerns in vehicle financing.
• Los Angeles saw an increase in default rate, suggesting localized economic challenges.

NEW YORK, Dec. 21, 2021 /PRNewswire/ -- S&P Dow Jones Indices and Experian released today data through November 2021 for the S&P/Experian Consumer Credit Default Indices. The indices represent a comprehensive measure of changes in consumer credit defaults and show that the composite rate fell one basis point to 0.37%. The bank card default rate dropped seven basis points to 1.94%. The auto loan default rate was up six basis points to 0.44% while the first mortgage default rate was unchanged at 0.26%.

Two of the five major metropolitan statistical areas ("MSAs") showed lower default rates compared to last month. New York had the largest decline, down six basis points to 0.30%, while Dallas fell one basis point to 0.49%. Miami and Chicago were unchanged at 0.73% and 0.45% respectively. Los Angeles was the only MSA which increased, up four basis points to 0.34%.

The table below summarizes the November 2021 results for the S&P/Experian Consumer Credit Default Indices. These data are not seasonally adjusted and are not subject to revision.

Index Levels – National Indices
Index	November 2021	October 2021	November 2020
Composite	0.37	0.38	0.46
First Mortgage	0.26	0.26	0.28
Bank Card	1.94	2.01	2.56
Auto Loans	0.44	0.38	0.64
Source: S&P/Experian Consumer Credit Default Indices
Data through November 2021

The table below provides the index levels for the five major MSAs tracked by the S&P/Experian Consumer Credit Default Indices.

Index Levels – Major MSAs
MSA	November 2021	October 2021	November 2020
New York	0.30	0.36	0.41
Chicago	0.45	0.45	0.54
Dallas	0.49	0.50	0.56
Los Angeles	0.34	0.30	0.37
Miami	0.73	0.73	0.86
Source: S&P/Experian Consumer Credit Default Indices
Data through November 2021

For more information about S&P Dow Jones Indices, please visit www.spdji.com.

ABOUT THE S&P/EXPERIAN CONSUMER CREDIT DEFAULT INDICES

Jointly developed by S&P Dow Jones Indices LLC and Experian, the S&P/Experian Consumer Credit Default Indices are published on the third Tuesday of each month at 9:00 am ET. They are constructed to track the default experience of consumer balances in four key loan categories: auto, bankcard, first mortgage lien and second mortgage lien. The Indices are calculated based on data extracted from Experian's consumer credit database. This database is populated with individual consumer loan and payment data submitted by lenders to Experian every month. Experian's base of data contributors includes leading banks and mortgage companies, and covers approximately $11 trillion in outstanding loans sourced from 11,500 lenders.

For more information, please visit: www.spindices.com/indices/indicators/sp-experian-consumer-credit-default-composite-index.

ABOUT S&P DOW JONES INDICES

S&P Dow Jones Indices is the largest global resource for essential index-based concepts, data and research, and home to iconic financial market indicators, such as the S&P 500^® and the Dow Jones Industrial Average^®. More assets are invested in products based on our indices than products based on indices from any other provider in the world. Since Charles Dow invented the first index in 1884, S&P DJI has been innovating and developing across the spectrum of asset classes helping to define the way investors measure and trade the markets.

S&P Dow Jones Indices is a division of S&P Global (NYSE: SPGI), which provides essential intelligence for individuals, companies and governments to make decisions with confidence. For more information, visit www.spdji.com.

ABOUT EXPERIAN

Experian is the world's leading global information services company. During life's big moments – from buying a home or a car, to sending a child to college, to growing a business by connecting with new customers – we empower consumers and our clients to manage their data with confidence. We help individuals to take financial control and access financial services, businesses to make smarter decisions and thrive, lenders to lend more responsibly, and organizations to prevent identity fraud and crime.

We have 17,800 people operating across 45 countries and every day we're investing in new technologies, talented people and innovation to help all our clients maximize every opportunity. We are listed on the London Stock Exchange (EXPN) and are a constituent of the FTSE 100 Index.

Learn more at www.experianplc.com or visit our global content hub at our global news blog for the latest news and insights from the Group.

FOR MORE INFORMATION:

Ray McConville
North America Communications
New York, USA
(+1) 212 438 1678
raymond.mcconville@spglobal.com

Annie Russell
Experian Public Relations
(+1) 714 830 7927
annie.russell@experian.com

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SOURCE S&P Dow Jones Indices

FAQ

What are the latest S&P/Experian Consumer Credit Default Indices results for November 2021?

The composite default rate is 0.37%, bank card rate is 1.94%, auto loan rate is 0.44%, and first mortgage remains at 0.26%.

How did the default rates change in major MSAs for November 2021?

New York and Dallas saw declines in default rates, while Los Angeles experienced an increase.

What does a decrease in the composite default rate imply for consumers?

A decrease suggests improved consumer credit conditions and potentially lower financial risk for lenders.

What were the default rates in key metropolitan areas for November 2021?

New York: 0.30%, Dallas: 0.49%, Miami: 0.73%, Chicago: 0.45%, Los Angeles: 0.34%.

How often are the S&P/Experian Consumer Credit Default Indices updated?

They are published on the third Tuesday of each month.