S&P/Experian Consumer Credit Default Indices Show Lower Composite Rate In November 2020

Rhea-AI Summary

S&P Dow Jones Indices and Experian reported a decrease in consumer credit defaults for November 2020. The composite default rate fell by 7 basis points to 0.46%. The bank card default rate decreased by 24 basis points to 2.56%, while the auto loan rate rose by 5 basis points to 0.64%. First mortgage defaults dropped 7 basis points to 0.28%. Additionally, all five major metropolitan areas showed lower default rates, with Miami experiencing the most significant decline, down 27 basis points to 0.86%.

Positive

• Composite default rate decreased by 7 basis points to 0.46%.
• Bank card default rate fell by 24 basis points to 2.56%.
• All five major metropolitan statistical areas showed lower default rates.

Negative

• Auto loan default rate increased by 5 basis points to 0.64%.

NEW YORK, Dec. 15, 2020 /PRNewswire/ -- S&P Dow Jones Indices and Experian released today data through November 2020 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 was down seven basis points to 0.46%. The bank card default rate fell 24 basis points to 2.56%. The auto loan default rate rose five basis points to 0.64% and the first mortgage default rate was seven basis points lower at 0.28%.

All five major metropolitan statistical areas ("MSAs") showed lower default rates compared to last month. Miami showed the largest decrease, down 27 basis points to 0.86%. New York was 17 basis points lower at 0.41%, while Los Angeles fell 16 basis points to 0.37%. The rate for Dallas dropped five basis points to 0.56% while Chicago was four basis points lower at 0.54%.

The table below summarizes the November 2020 results for the S&P/Experian Consumer Credit Default Indices. These data are not seasonally adjusted and are not subject to revision.

National Indices
Index	November 2020 Index Level	October 2020 Index Level	November 2019 Index Level
Composite	0.46	0.53	0.94
First Mortgage	0.28	0.35	0.77
Bank Card	2.56	2.80	2.94
Auto Loans	0.64	0.59	1.02
Source: S&P/Experian Consumer Credit Default Indices
Data through November 2020

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

MSA	November 2020 Index Level	October 2020 Index Level	November 2019 Index Level
New York	0.41	0.58	1.14
Chicago	0.54	0.58	1.14
Dallas	0.56	0.61	1.01
Los Angeles	0.37	0.53	0.77
Miami	0.86	1.13	1.53
Source: S&P/Experian Consumer Credit Default Indices
Data through November 2020

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 was the composite default rate for SPGI in November 2020?

The composite default rate for SPGI in November 2020 was 0.46%.

How did the bank card default rate change in November 2020 for SPGI?

The bank card default rate for SPGI decreased by 24 basis points to 2.56% in November 2020.

What was the auto loan default rate for SPGI in November 2020?

The auto loan default rate for SPGI rose by 5 basis points to 0.64% in November 2020.

Which city had the largest decrease in default rates for SPGI in November 2020?

Miami had the largest decrease in default rates, down 27 basis points to 0.86%.

What were the default rates for first mortgages in November 2020 for SPGI?

The first mortgage default rate for SPGI was 0.28% in November 2020.