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Consumer credit metrics slip further

December 16, 2022

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Delinquencies and charge-offs continue to worsen for major credit card issuers, as consumers battle higher prices and unemployment creeps up.

Discover Financial Services and Synchrony Financial this week each reported increases in delinquencies and charge-offs. Although net charge-off rates have stayed low amid the pandemic, “there are signs of cracks emerging,” Bank of America equity research analysts wrote in a Tuesday note to investor clients.

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