S&P/EXPERIAN CONSUMER CREDIT DEFAULT INDICES SHOW SECOND STRAIGHT INCREASE IN COMPOSITE RATE IN JANUARY 2022

Rhea-AI Summary

S&P Dow Jones Indices and Experian reported a rise in consumer credit defaults as of January 2022. The composite default rate increased by three basis points to 0.43%, with significant hikes in bank card defaults up seven basis points to 2.02% and auto loan defaults up four basis points to 0.53%. Among major U.S. cities, New York led with an increase to 0.50% in defaults, while Miami saw a decrease to 0.93%.

The data reflects consumer credit health across key loan categories, impacting investor sentiment.

Positive

• Composite default rate increased to 0.43%, reflecting consumer habits.
• Bank card default rate increased to 2.02%, indicating credit usage.
• Auto loan default rate rose to 0.53%, showing trends in auto financing.

Negative

• Default rates in major MSAs increased, particularly in New York and Chicago.
• First mortgage default rate up to 0.31%, indicating potential housing market stress.

NEW YORK, Feb. 15, 2022 /PRNewswire/ -- S&P Dow Jones Indices and Experian released today data through January 2022 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 rose three basis points to 0.43%. The bank card default rate increased seven basis points to 2.02%. The auto loan default rate was up four basis points to 0.53% while the first mortgage default rate was three basis points higher at 0.31%.

Four of the five major metropolitan statistical areas ("MSAs") showed higher default rates compared to last month. New York had the largest increase, up 17 basis points to 0.50%. Chicago was three basis points higher at 0.47%. Los Angeles was up two basis points to 0.38% while Dallas rose one basis point to 0.50%. Miami fell four basis points to 0.93%.

The table below summarizes the January 2022 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	January 2022	December 2021	January 2021
Composite	0.43	0.40	0.48
First Mortgage	0.31	0.28	0.32
Bank Card	2.02	1.95	2.72
Auto Loans	0.53	0.49	0.56
Source: S&P/Experian Consumer Credit Default Indices
Data through January 2022

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	January 2022	December 2021	January 2021
New York	0.50	0.33	0.49
Chicago	0.47	0.44	0.53
Dallas	0.50	0.49	0.57
Los Angeles	0.38	0.36	0.32
Miami	0.93	0.97	0.95
Source: S&P/Experian Consumer Credit Default Indices
Data through January 2022

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

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.spglobal.com/spdji/en/.

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