C1 Default Rates

[treehugger1]

October 15, 2009 2 hours ago

NEW YORK — Rising credit-card defaults are weighing on shares of Capital One Financial Corp.

The McLean, Va., company said in a regulatory filing with the Securities and Exchange Commission that its annual net charge-off rate rose to 9.77 percent last month from 9.32 percent in August.

That's the percentage of U.S. loans Capital One thinks won't be repaid.

Meanwhile, the rate for loans at least 30 days past due worsened for the third straight month. The delinquency rate rose to 5.38 percent in September from 5.09 percent in August. The delinquency rate is a signal of higher future defaults.

Losses on credit cards typically mirror joblessness. U.S. unemployment rose to 9.8 percent in September and is expected to rise into next year.

Other credit-card issuers are having problems, too: JPMorgan Chase & Co. said earlier this week that nearly 6 percent of its cardholders are at least 30 days delinquent, and it set aside nearly $5 billion to cover future unpaid bills. On Thursday, Citigroup Inc. said it was also hit badly by losses on private-label credit cards.

In a breakdown of its lending, Capital One said defaults in its auto loan unit rose to 4.58 percent last month from 4.31 percent in August, and the delinquency rate also rose to 9.52 percent from 9.42 percent.

International charge-offs also rose.

Capital One shares tumbled $1.77, or 4.5 percent, to $37.58 in midday trading.

Copyright © 2009 The Associated Press. All rights reserved.

http://www.google.com/hostednews/ap/...aqSTQD9BBKVN81

[albacore44]

Dang Tree.........did you and I cause this ??

[whipster1]

Whoa albacore, that one is harsh

I hope Crap1 hangs around long enough to give me a new credit card after discharge...

[albacore44]

Originally Posted by whipster1

Whoa albacore, that one is harsh

I hope Crap1 hangs around long enough to give me a new credit card after discharge...

with a $500 credit limit and 35% interest ??

[AngelinaCatHub]

Originally Posted by albacore44

with a $500 credit limit and 35% interest ??

You got that right. But what baffles me, is that the CC companies all see a problem in our 'Bammynation, and still they raise the interest, lower the amount, charge for over amounts they just lowered, and force even more people to default. I just don't get this thinking. Maybe I'm not smart enough. I was smart enough to start my new life and now I'm stowing a years supply of food and ammo. Tis goin' ta git worse. 'Hub

P.S. Albacore, now that is a doll. I love it when I get turned on by your Avitars.

[albacore44]

Originally Posted by AngelinaCatHub

You got that right. But what baffles me, is that the CC companies all see a problem in our 'Bammynation, and still they raise the interest, lower the amount, charge for over amounts they just lowered, and force even more people to default. I just don't get this thinking. Maybe I'm not smart enough. I was smart enough to start my new life and now I'm stowing a years supply of food and ammo. Tis goin' ta git worse. 'Hub

P.S. Albacore, now that is a doll. I love it when I get turned on by your Avitars.

How may rounds is a years supply ?? Ammo aint cheap these days, and its in short supply with everyone scared due to the Libs in charge. Conan the barbarian just signed a bill in yesterday requiring you to show ID and have your thumb print taken on all ammo sales. guess that screws my ability to buy out of state from the cheap places

[BigJohn]

You don't want the cheap ammo any ways. I have rethought how much ammo is needed myself. If you pick up a box of 223 ammo - 1000 rounds - my first impression is to put it down. Just thinking about carrying that and other supplies seems to tire me out.

What I think is workable is smaller calibre ammo but ammo that is specialized. Some of the ammo they use when they rush an airplane should do the trick. It blows a hole in whatever but has a tendency not to exit and the smaller caliber of this stuff seems to do a better job then the big calibre stuff.

Probably all is needed is one or two good hand guns, and a rife or two and maybe a shotgun.

[frogger]

Albacore - my avatar wants to date your avatar.........

Oops. I'm stepping on that Cap1 scale too for a few dollars.

And as to that ammo being heavy, you can do a lot with regular cheap .22 ammo. It's lightweight, inexpensive, and very effective if you know what to do with it.

[Snickers]

Originally Posted by albacore44

Dang Tree.........did you and I cause this ??

I helped too.

Maybe they could save a few bucks on their telecommunication expenses by not calling me 20 times a day....

And I am a perfect example of what 'Hub is saying. We were paying regularly, but when my husband went in the hospital (for 4 months so far), I let the bills slide just because I was too busy at the hospital to pay them.

When I finally got some time, most were late...some less than 30 days. The payments skyrocketed overnight and it became a losing battle. That is when I talked to BK Attorney and now they won't get anything.

Really, in this economy, what sense does it make to force people to default? Sheesh.

[albacore44]

Originally Posted by BigJohn

You don't want the cheap ammo any ways. I have rethought how much ammo is needed myself. If you pick up a box of 223 ammo - 1000 rounds - my first impression is to put it down. Just thinking about carrying that and other supplies seems to tire me out.

What I think is workable is smaller calibre ammo but ammo that is specialized. Some of the ammo they use when they rush an airplane should do the trick. It blows a hole in whatever but has a tendency not to exit and the smaller caliber of this stuff seems to do a better job then the big calibre stuff.

Probably all is needed is one or two good hand guns, and a rife or two and maybe a shotgun.

I find that the .40 Cal Hydra shock does nicely. however I sure would like to get my hands on some of that good .223 South African ammo we had a few years back

[albacore44]

Originally Posted by Snickers

I helped too.

Maybe they could save a few bucks on their telecommunication expenses by not calling me 20 times a day....

Sheesh.

What ?? You don't like to hear the cheery voice of "Hot Linda" ??

[frogger]

Originally Posted by albacore44

What ?? You don't like to hear the cheery voice of "Hot Linda" ??

I'm disappointed. They've started calling me, but she won't leave a message.....

[JimKutkowski]

Originally Posted by whipster1

Whoa albacore, that one is harsh

I hope Crap1 hangs around long enough to give me a new credit card after discharge...

That would be playing with fire, capital one will sue for past due credit card debt if it goes more than six months past due. I know your intention is not to fall into debt again not to fall behind, however once you get a discharge I believe it is eight years before you can file chapter 7 again, so please be careful. Using credit cards is like playing with fire or snakes, fire is useful stakes can be useful but eventually they will hurt you.

[treehugger1]

Originally Posted by JimKutkowski

That would be playing with fire, capital one will sue for past due credit card debt if it goes more than six months past due.

I wonder why some on this board have not been sued by C1 after 24 - 36 months of not making payments?

[JimKutkowski]

Originally Posted by treehugger1

I wonder why some on this board have not been sued by C1 after 24 - 36 months of not making payments?

Might be the state. They are going great guns in New Jersey and Pennsylvania, it might be the collection laws.