NEW YORK — U.S. credit card delinquencies edged higher in June while charge-off rates declined, suggesting consumer credit performance remains relatively stable despite continued financial pressures, according to Seeking Alpha’s Credit Pulse.
The report, published Friday and tracking monthly credit card performance at American Express, Synchrony, Bread Financial, Capital One, Citigroup, JPMorgan Chase and Bank of America, found the average delinquency rate rose slightly to 2.48% in June from 2.47% in May.
Despite the increase, the delinquency rate remained below the three-month average of 2.50% and well below both June 2025 (2.67%) and the pre-pandemic level of 2.68%, according to Seeking Alpha.
The report also found net charge-off rates improved during the month.
Key Findings
Key findings include:
- The average credit card delinquency rate increased to 2.48% in June from 2.47% in May.
- The three-month average delinquency rate was 2.50%.
- The delinquency rate was 2.67% in June 2025 and 2.68% before the COVID-19 pandemic.
- The average net charge-off rate declined to 3.42% in June from 3.63% in May.
- The three-month moving average for net charge-offs was 3.58%.
- The pre-pandemic average net charge-off rate was 3.59%, compared with 3.85% in June 2025.
Patterns Shift
Elizabeth Renter, senior economist at NerdWallet, said in a statement consumer borrowing patterns have shifted significantly since the pandemic.
“During the pandemic, many consumers paid down their credit card debt entirely,” Renter said. “Since then, however, debt levels have climbed and surpassed pre-pandemic levels. High inflation means they may be relying on their credit cards to maintain a lifestyle they can’t really afford.”
Renter said higher balances do not necessarily reflect discretionary spending, noting many households increasingly use credit cards to cover essential expenses when finances become strained.
“With credit card interest rates high and savings spent down, people are likely having a hard time keeping up on these payments,” she said.
What Conference Board Data Show
The Seeking Alpha report also cited recent data from The Conference Board showing U.S. consumer confidence rose less than expected in June.
“Consumer appraisals of current business conditions were slightly more positive compared to last month,” Dana Peterson, chief economist at The Conference Board, said in a statement. “However, perceptions of the current labor market softened measurably as the percentage of consumers saying jobs were ‘hard to get’ rose to 22.5%, the highest level since January 2021 (22.8%).”
