US Credit Card Defaults Reach 14-Year High

• US credit card defaults have surged to their highest level since 2010, with $46bn in write-offs in the first nine months of 2024.
• Lower-income consumers are struggling due to sustained high inflation and elevated borrowing costs, leading to increased financial distress.
• Banks and analysts warn of more pain ahead as delinquency rates remain high and consumer spending power diminishes.

Source: Financial Times