Even as figures show the UK stretching out its recession, cardholders have clearly learned the importance of keeping their card payments timely. Today FICO released data on Q1 card payments that show one-cycle delinquent balances, as a percentage of all balances, falling to less than 5 percent, the lowest point in two years. Also down were the percentages of accounts that are 30 days delinquent and that are overlimit.
While there are also seasonal effects in the data, this appears to be a sustained reduction in delinquent payments. Clearly, cards are at the top of the “payment hierarchy” for UK borrowers.