More Late Credit Card Payments

iVillage Member
Registered: 10-18-2008
More Late Credit Card Payments
10
Mon, 10-27-2008 - 12:27am

This is a little alarming. Hopefully credit cards won't be the next meltdown.



American Express Says Late Card Payments Increasing (Update3)


By Erik Holm




Enlarge Image/Details

June 25 (Bloomberg) -- American Express Co., the biggest U.S. credit-card company by purchases and cash advances, said customers are falling further behind on their debt, signaling the economy is worsening.


``Business conditions continue to weaken in the U.S. and so far this month we have seen credit indicators deteriorate beyond our expectations,'' Chief Executive Officer Kenneth Chenault said in a statement today announcing the company would receive as much as $1.8 billion in a settlement with competitor MasterCard Inc.


American Express and rivals Capital One Financial Corp. and Discover Financial Services have fallen by more than a third in the past 12 months in New York trading as consumers absorb the housing slump, rising unemployment and higher food and fuel bills. New York-based American Express adopted a ``cautious view'' for the year in January after cardholder spending slowed and overdue payments rose in December.


``If you look at the employment situation, clearly that's deteriorated, and consumer confidence is down as well,'' said Sanjay Sakhrani, an analyst with KBW Inc. in New York who has a ``market perform'' rating on the stock. ``Both play a key role in the credit-card industry.'' http://www.bloomberg.com/apps/news?pid=20601087&sid=a5XZ_dtNNtPc&refer=home

iVillage Member
Registered: 09-08-2008
Mon, 10-27-2008 - 12:45am

Oh, no. This is not good news. Very sad.

iVillage Member
Registered: 10-13-2008
Mon, 10-27-2008 - 1:06am
Yeah, but not surprising unfortunately.
iVillage Member
Registered: 10-18-2008
Mon, 10-27-2008 - 1:07am
Time to severely tighten the belt.
iVillage Member
Registered: 10-25-2006
Mon, 10-27-2008 - 1:31am

Hey, why not have a credit card meltdown?

On the front page of the Saturday Washington Post there was an article about a few insurers who may need the gov'ts help--Prudential, MetLife and one other. In the same paper there was an opinion stating that the banks need to be regulated like the insurance companies are, that they have restrictions on the types of investments they can make...yeah, right. That guy wrote his opinion a few days early.

We're bailing out the investment banks, the insurance companies, commercial banks, the auto industry is saying they might need an add'l $15K on top of the $25K already committed to them, why shouldn't we consumers just quit paying our debt and let the gov't bail us out, too?

I was against the bailout, and I still think we should have let the bankruptcies happen. We're simply delaying the inevitable. I really think the whole bailout was crafted as a last ditch attempt to save the economy before the election so that McCain would have a chance. Guess it didn't work. This is getting to be absolutely insane.

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http://www.pnhp.org/news/2009/october/meet_the_new_health_.php

http://www.youtube.com/watch?v=DQTBYQlQ7yM

iVillage Member
Registered: 10-18-2008
Mon, 10-27-2008 - 2:16am

Well, the bailout has morphed, from what I can tell, into a stock injection plan and I think that's the way to go. However, there is a part two to handling the economic crisis and that's a new New Deal. We need to put people back to work and the alternative energy economy is ripe for leading the US into the future. If we absolutely

iVillage Member
Registered: 09-08-2008
Mon, 10-27-2008 - 4:20am

((((((The credit card economy

iVillage Member
Registered: 10-25-2006
Mon, 10-27-2008 - 10:09am

<>

I like that one.

You're right that it will take a new New Deal to get us back on track and i agree that part two will have greater chances of success with Obama than with McCain in the White House.

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http://www.pnhp.org/news/2009/october/meet_the_new_health_.php

http://www.youtube.com/watch?v=DQTBYQlQ7yM

iVillage Member
Registered: 10-13-2008
Mon, 10-27-2008 - 10:12am

Very smart move on your part.

iVillage Member
Registered: 10-25-2008
Mon, 10-27-2008 - 11:13am

As far as credit cards, I think a lot of people make the mistake of thinking it’s free money.

iVillage Member
Registered: 10-12-2008
Mon, 10-27-2008 - 12:07pm
This doesn't surprise me.