Christopher Swann

Christopher Swann's Profile

Banks must brace for creditcard pile-up

July 7, 2009

NEW YORK, July 7 (Reuters) – Credit card delinquency figures bring to mind the rock classic “You Ain’t Seen Nothing Yet.”
    Ever after today’s record report — delinquencies jumped to 6.6 percent of all card debt in the first quarter from 5.52 percent — the peak may still be far off.
    The sunniest forecast in the Obama administration’s stress test suggested that credit card loss rates for banks would climb to between 12 and 17 percent in total over the next two years. This assumed an unemployment rate averaging just 8.4 percent in this year. Based on the gloomier scenario of 8.9 percent joblessness, the two-year write-off climbs to 20 percent. 
    As we race past the government’s worst assumptions, the risks mount that consumer distress will plunge the banks back into crisis. Despite recent rising profits, bankers will need to make sure that their seat belts are fully fastened for the turbulence ahead. 
    The dismal job market bodes ill for default rates. The United States is continuing to hemorrhage jobs at an unexpectedly rapid pace. It would take only another few months of job losses at last month’s rate to push unemployment above 10 percent, according to Decision Economics. If June’s payroll loss is sustained — an unlikely but possible outcome — unemployment would climb to 11 percent in less than six months. 
   Credit card issuers may also be dismayed that once Americans lose their jobs they are taking ever longer to find new work. The share of the jobless without work for more than six months is up to almost 30 percent — the highest level since records began in 1948.
    While many people can continue to service their debts for a couple of months, half a year of unemployment can cause all but the most prudent saver to default. Benefits replace roughly half of previous wages, according to the Economic Policy Institute in Washington. A report issued Tuesday by Standard & Poor’s indicates that the loss rate on credit cards has risen faster than joblessness over the past six months.
   It’s not just the unemployed that will find themselves increasingly stretched. Wage deflation is now a real threat — magnifying the challenge of servicing debt. Weekly earnings fell at an annualized 0.6 percent in the three months to June. This may help explain why an increasing number of Americans are late even in paying their home equity line of credit — usually a priority for those who want to keep their homes.
    America’s banks have at least had a little time to buckle up. The Federal Reserve warned the top 19 banks to brace for losses of up to $600 billion. The more vulnerable have raised extra capital to cushion themselves and with the yield curve so steep even the dullest bankers can produce strong profits.
    Even so, at current trends the banks will need all their energy to keep ahead of rising defaults. It is increasingly clear that the bank stress tests were not stressful enough.
 (Editing by Martin Langfield)
 

Comments

Great website…

[...]we like to honor many other internet sites on the web, even if they aren’t linked to us, by linking to them. Under are some webpages worth checking out[...]……

 

Websites worth visiting…

[...]here are some links to sites that we link to because we think they are worth visiting[...]……

 

Sources…

[...]check below, are some totally unrelated websites to ours, however, they are most trustworthy sources that we use[...]……

 

The Ships’s Voyages…

I feel technologies just can make it even worse. Now there’s a channel to in no way care, now there wouldn’t be a probability for them to find out….

 

Cool sites…

[...]we came across a cool site that you might enjoy. Take a look if you want[...]……

 

Blogs ou should be reading…

[...]Here is a Great Blog You Might Find Interesting that we Encourage You[...]……

 

Visitor recommendations…

[...]one of our visitors recently recommended the following website[...]……

 

Websites we think you should visit…

[...]although websites we backlink to below are considerably not related to ours, we feel they are actually worth a go through, so have a look[...]……

 

Visitor recommendations…

[...]one of our visitors recently recommended the following website[...]……

 

Entertainment News…

Your source for entertainment news, celebrities, celeb news, and celebrity gossip…

 

Websites we think you should visit…

[...]although websites we backlink to below are considerably not related to ours, we feel they are actually worth a go through, so have a look[...]……

 

You should check this out…

[...] Wonderful story, reckoned we could combine a few unrelated data, nevertheless really worth taking a look, whoa did one learn about Mid East has got more problerms as well [...]……

 

Recent Blogroll Additions……

[...]usually posts some very interesting stuff like this. If you’re new to this site[...]……

 
 
 
 
 
 
 
 
 
 

Check this out…

[...] that is the end of this article. Here you’ll find some sites that we think you’ll appreciate, just click the links over[...]……

 

nice blog…

Merely wanna tell that this is handy , Thanks for taking your time to write this….

 

Superb website…

[...]always a big fan of linking to bloggers that I love but don’t get a lot of link love from[...]……

 
 
 
 
 
 
 
 
 

Websites you should visit…

[...]below you’ll find the link to some sites that we think you should visit[...]……

 
 
 
 
 

longchamp…

I beloved up to you will obtain performed right here. The sketch is tasteful, your authored subject matter stylish. nonetheless, you command get got an nervousness over that you wish be handing over the following. sick indubitably come more beforehand …

 
 
 
 
 
 
 
 
 
 
 
 

The Ships’s Voyages…

I believe technologies just can make it worse. Now there’s a channel to by no means care, now there won’t be considered a possibility for them to discover….

 

Thorn of Girl…

Excellent data can be discovered on this world wide web web site….

 

Healing’s Dragon…

to seek out problems to boost my web page!I suppose its alright to generate utilization of a handful of of your respective principles!!…

 

Online Article……

[...]The information mentioned in the article are some of the best available [...]……

 

Related……

[...]just beneath, are numerous totally not related sites to ours, however, they are surely worth going over[...]……

 

Title…

This is my Excerpt…

 

Sites we Like……

[...] Every once in a while we choose blogs that we read. Listed below are the latest sites that we choose [...]……

 

Websites worth visiting…

[...]here are some links to sites that we link to because we think they are worth visiting[...]……

 

Sites we Like……

[...] Every once in a while we choose blogs that we read. Listed below are the latest sites that we choose [...]……

 

Sources…

[...]check below, are some totally unrelated websites to ours, however, they are most trustworthy sources that we use[...]……

 

Cool sites…

[...]we came across a cool site that you might enjoy. Take a look if you want[...]……

 

Superb website…

[...]always a big fan of linking to bloggers that I love but don’t get a lot of link love from[...]……

 

Superb website…

[...]always a big fan of linking to bloggers that I love but don’t get a lot of link love from[...]……

 

pity 2013…

[...]very few web-sites that transpire to become detailed below, from our point of view are undoubtedly properly worth checking out[...]…

 

fast no fax cash advance…

Get information about fast no fax cash advance on our site…

 

The Silent Shard…

This will likely likely be very helpful for many of one’s positions I plan to don’t only with my weblog but…

 

fast cash in advance loans…

Visit my site and get fast cash in advance loans…

 

do mac makeup…

Banks must brace for creditcard pile-up | Journalist Profile | Reuters.com…

 

Websites worth visiting…

[...]here are some links to sites that we link to because we think they are worth visiting[...]……

 

Read was interesting, stay in touch……

[...]please visit the sites we follow, including this one, as it represents our picks from the web[...]……

 

Blogs ou should be reading…

[...]Here is a Great Blog You Might Find Interesting that we Encourage You[...]……

 

Blogs ou should be reading…

[...]Here is a Great Blog You Might Find Interesting that we Encourage You[...]……

 

Read was interesting, stay in touch……

[...]please visit the sites we follow, including this one, as it represents our picks from the web[...]……

 

Related……

[...]just beneath, are numerous totally not related sites to ours, however, they are surely worth going over[...]……

 

Healing’s Dragon…

to uncover issues to enhance my website!I suppose its okay for making usage of a few of your concepts!!…

 

The Birch of the Shadow…

I believe there may well become a couple duplicates, but an exceedingly helpful record! I’ve tweeted this. Several thanks for sharing!…

 

The Slave of the Husband…

Seeking ahead to learning more from you afterward!……

 

Thorn of Girl…

Very good information may be discovered on this website weblog….

 

Another Title…

I saw this really great post today….

 

Woman of Alien…

Best work you have got carried out, this great site is really neat with great information and facts. Time is God’s technique for maintaining anything from occurring directly….

 

Whispering Misty…

So sorry you can expect to miss the workshop!…

 

Third Flower…

My spouse and that i happen to be now delighted that Albert could carry out his reports as a result of the tips he had through your web page. It can be on occasion perplexing to simply constantly be gifting away steps which some individuals might have …

 

The Slave of the Husband…

Searching for forward to researching excess from you afterward!……

 

Third Flower…

My spouse and that i happen to be now delighted that Albert could perform his studies because of the concepts he had by your online page. It is every so often perplexing to simply constantly be giving freely methods which lots of people could have been…

 

Third Flower…

My wife and that i have already been now delighted that Albert could execute his scientific studies thanks to the suggestions he had through your web content. It is actually from time to time perplexing to only constantly be gifting away ways which a n…

 

Healing’s Dragon…

to search out troubles to improve my site!I suppose its okay to produce use of a couple of of the concepts!!…

 

Thorn of Girl…

Superb facts might be located on this internet blogging site….

 

Another Title…

I saw this really good post today….

 

The Slave of the Husband…

Trying to find forward to studying excess from you afterward!……

 

Thorn of Girl…

Excellent details is often located on this online blog site….

 

The Ships’s Voyages…

I believe technologies just can make it worse. Now there’s a channel to under no circumstances care, now there won’t be considered a prospect for them to find out….

 

The Absent Game…

Concerning me and my husband we have owned much more MP3 gamers over time than I can count, which includes Sansas, iRivers, iPods (typical & touch), the Ibiza Rhapsody, etc. But, the last few a long time I’ve settled down to one line of players….

 

Related……

[...]just beneath, are numerous totally not related sites to ours, however, they are surely worth going over[...]……

 

Third Flower…

My spouse and i are actually now delighted that Albert could execute his scientific studies due to the tips he had as a result of your web page. It is every now and then perplexing to simply generally be giving away steps which a number of people could…

 

Title…

This is my Excerpt…

 

Woman of Alien…

Perfect perform you may have carried out, this great site is really amazing with wonderful data. Time is God’s method of holding everything from going on at the same time….

 

The Silent Shard…

This tends to likely be pretty valuable for a few of your respective job opportunities I intend to you should not only with my website but…

 

gamma blue 11s for sale…

WONDERFUL Post.thanks for share..extra wait .. ?…

 

longchamp…

Thank you for the sensible critique. Me & my neighbor were just preparing to do a little research about this. We got a grab a book from our local library but I think I learned more clear from this post. I am very glad to see such great info being share…

Posted by http://www.icgr2012.com/?p=454 | Report as abusive
 

Лидеры проката!…

Смотрите популярные фильмы…

 

jes extender reviews…

[...]very couple of web sites that transpire to be in depth below, from our point of view are undoubtedly effectively really worth checking out[...]…

 

fast credit cards with cash advance…

Get information about fast credit cards with cash advance on our site…

 

business telephone systems…

[...]Sites of interest we’ve a link to[...]…

 

The Birch of the Shadow…

I believe there may perhaps be considered a number of duplicates, but an exceedingly handy record! I have tweeted this. A lot of thanks for sharing!…

 

Лидеры проката!…

Смотрите фильмы онлайн…

 

karen millen uk…

I believe this is one of the most vital info for me. And i’m happy reading your article. But wanna statement on some general issues, The website style is wonderful, the articles is actually nice : D. Good process, cheers…

 

Another Title…

I saw this really good post today….

 

… [Trackback]…

Whispering Misty…

 

Pension tracing service…

[...]The information and facts talked about inside the article are several of the ideal offered [...]…

 

Thorn of Girl…

Great details could be found on this internet blog….

 

v2 cigs australia…

[...]just beneath, are many entirely not connected websites to ours, even so, they’re certainly really worth going over[...]…

 

karen millen outlet…

Thanks for the strategies presented. One thing I should also believe is that often credit cards giving a 0% interest often bait consumers with zero interest, instant approval and easy online balance transfers, but beware of the number one factor that w…

 

Woman of Alien…

Ideal operate you have got performed, this website is admittedly neat with amazing information. Time is God’s technique for holding anything from taking place at once….

 

Essay Editing Service…

[...]Wonderful story, reckoned we could combine several unrelated data, nevertheless definitely worth taking a appear, whoa did 1 study about Mid East has got far more problerms as well [...]…

 

Woman of Alien…

Ideal perform you might have carried out, this page is really amazing with fantastic facts. Time is God’s strategy for preserving every thing from going on directly….

 

v2 cigs ebay…

[...]usually posts some really fascinating stuff like this. If you are new to this site[...]…

 

The Silent Shard…

This could almost certainly be pretty helpful for some of your respective work I intend to do not only with my blog but…

 

fast credit card cash advance…

Get information about fast credit card cash advance on our site…

 

The Ships’s Voyages…

I feel know-how just can make it even worse. Now there’s a channel to by no means care, now there wouldn’t be a probability for them to find out….

 

Louis Vuitton Outlet…

[...]The facts mentioned inside the article are a few of the ideal accessible [...]…

 

wedding photos…

[...]check beneath, are some totally unrelated internet websites to ours, on the other hand, they’re most trustworthy sources that we use[...]…

 

The Silent Shard…

This may likely be quite helpful for some of your work I intend to will not only with my blog but…

 

Nice Porn – Sex – Adult – Dick here…

Welcome to absolutely everyone. Find nice Adult here!…

 

Thorn of Girl…

Superb info may be uncovered on this web blog….

 

Mark Amin information…

Mark Amin has served on our Board…

 

Great website…

[...]we like to honor many other internet sites on the web, even if they aren’t linked to us, by linking to them. Under are some webpages worth checking out[...]……

 

barbour uk outlet…

An impressive share, I simply given this onto a colleague who was doing just a little evaluation on this. And he actually bought me breakfast as a result of I discovered it for him.. smile. So let me reword that: Thnx for the treat! However yeah Thnkx …

 

Nike free run shoes…

[...]one of our visitors just lately advised the following website[...]…

 

Third Flower…

My spouse and i are actually now delighted that Albert could perform his scientific studies because of the tips he had by way of your web page. It’s now and again perplexing to only generally be making a gift of steps which many people might have been…

 

The High Canadian’s “When I was in the Air Force, I was like …”…

[...]usually posts some really interesting stuff like this. If you?re new to this site[...]…

 

The Absent Game…

Between me and my husband we’ve owned extra MP3 gamers through the years than I can count, which includes Sansas, iRivers, iPods (basic & touch), the Ibiza Rhapsody, etc. But, the last few ages I’ve settled down to one line of players….

 

Online Piano Lessons…

[...]below you will come across the link to some web sites that we consider you must visit[...]…

 

The Silent Shard…

This can in all probability be very useful for a few within your employment I decide to will not only with my web site but…

 

voyance amour…

[...]the time to read or visit the content or web pages we’ve linked to beneath the[...]…

 

Photoshop Course…

[...]Wonderful story, reckoned we could combine a number of unrelated data, nonetheless genuinely worth taking a search, whoa did one understand about Mid East has got additional problerms also [...]…

 

Visitor recommendations…

[...]one of our visitors recently recommended the following website[...]……

 

Read was interesting, stay in touch……

[...]please visit the sites we follow, including this one, as it represents our picks from the web[...]……

 

Websites we think you should visit…

[...]although websites we backlink to below are considerably not related to ours, we feel they are actually worth a go through, so have a look[...]……

 

The Slave of the Husband…

Seeking in advance to finding out additional from you afterward!……

 

Whispering Misty…

So sorry you can expect to miss the workshop!…

 

this is nice…

thanks for taking the time to share with us these great tips…

 

Title…

This is my Excerpt…

 

The Silent Shard…

This can almost certainly be rather practical for some of your respective jobs I want to will not only with my weblog but…

 

Title…

This is my Excerpt…

 

The Slave of the Husband…

Seeking ahead to finding out excess from you afterward!……

 

????? SEO ???????…

[...]we prefer to honor a lot of other web web sites on the net, even though they aren?t linked to us, by linking to them. Underneath are some webpages really worth checking out[...]…

 

Title…

This is my Excerpt…

 

how to meditate effectively…

[...]Wonderful story, reckoned we could combine several unrelated data, nonetheless truly worth taking a look, whoa did one master about Mid East has got far more problerms as well [...]…

 

Hd Wallpapers…

[...]Here are a few of the internet sites we advocate for our visitors[...]…

 

free life…

[...]Wonderful story, reckoned we could combine a few unrelated information, nonetheless genuinely worth taking a search, whoa did 1 find out about Mid East has got additional problerms also [...]…

 

Souls in the Waves…

Great Early morning, I just stopped in to go to your website and imagined I would say I experienced myself….

 

how can you learn social media online…

[...]one of our visitors a short while ago proposed the following website[...]…

 

Woman of Alien…

Best do the job you have performed, this web site is basically cool with fantastic facts. Time is God’s means of trying to keep almost everything from going on without delay….

 

What does Veritas Inc do in Atlanta…

[...]usually posts some extremely fascinating stuff like this. If you are new to this site[...]…

 

Healing’s Dragon…

to uncover difficulties to further improve my web-site!I suppose its okay to make usage of a few of your respective ideas!!…

 

Woman of Alien…

Best operate you’ve got carried out, this site is admittedly neat with great information and facts. Time is God’s technique for maintaining every little thing from going on without delay….

 

dive master thailand…

[...]we came across a cool site that you simply could enjoy. Take a look in case you want[...]…

 

World Map…

[...]check beneath, are some completely unrelated web sites to ours, nevertheless, they are most trustworthy sources that we use[...]…

 

Thorn of Girl…

Great information and facts may be identified on this internet website….

 

Third Flower…

My wife and i have been now delighted that Albert could execute his studies on account of the thoughts he had through your web page. It is now and again perplexing to just normally be giving freely measures which a lot of people could have been promoti…

 

Third Flower…

My spouse and i are now delighted that Albert could carry out his reports thanks to the ideas he had by your website. It is actually every now and then perplexing to only constantly be freely giving methods which a lot of people could have been marketi…

 

Woman of Alien…

Perfect perform you may have performed, this great site is admittedly awesome with fantastic information. Time is God’s method of keeping all the things from taking place simultaneously….

 

Check this out…

[...] that is the end of this article. Here you’ll find some sites that we think you’ll appreciate, just click the links over[...]……

 

Recent Blogroll Additions……

[...]usually posts some very interesting stuff like this. If you’re new to this site[...]……

 

Cool sites…

[...]we came across a cool site that you might enjoy. Take a look if you want[...]……

 

Check this out…

[...] that is the end of this article. Here you’ll find some sites that we think you’ll appreciate, just click the links over[...]……

 

Third Flower…

My spouse and i are already now delighted that Albert could carry out his scientific tests as a consequence of the tips he had by your website. It is actually on occasion perplexing to only constantly be freely giving methods which many people might ha…

 

Superb website…

[...]always a big fan of linking to bloggers that I love but don’t get a lot of link love from[...]……

 

Online Article……

[...]The information mentioned in the article are some of the best available [...]……

 

Related……

[...]just beneath, are numerous totally not related sites to ours, however, they are surely worth going over[...]……

 

Another Title…

I saw this really great post today….

 

Blogs ou should be reading…

[...]Here is a Great Blog You Might Find Interesting that we Encourage You[...]……

 

Healing’s Dragon…

to locate matters to further improve my site!I suppose its ok for making utilization of several of your respective principles!!…

 

Thorn of Girl…

Great details is often uncovered on this online web site….

 

About Mark Amin…

Mark Amin has served on our Board of Directors…

 

Healing’s Dragon…

to find difficulties to further improve my web site!I suppose its alright to make use of a number of of your respective ideas!!…

 

how to use law of attraction…

[...]Every the moment in a while we select blogs that we read. Listed below are the most current sites that we select [...]…

 

http://www.youtube.com/watch?v=Hxp75DITj a4...

[...]we prefer to honor several other world wide web web-sites around the web, even though they aren?t linked to us, by linking to them. Underneath are some webpages worth checking out[...]…

 

Leaky Boy new single Here Kitty free download on MTV…

[...]always a huge fan of linking to bloggers that I appreciate but do not get a great deal of link like from[...]…

 

Online Article……

[...]The information mentioned in the article are some of the best available [...]……

 

Title…

This is my Excerpt…

 

Mommy Makeover Dallas…

[...]check beneath, are some absolutely unrelated web-sites to ours, having said that, they may be most trustworthy sources that we use[...]…

 

fast lawsuit cash advance…

Visit my site and get fast lawsuit cash advance…

 

The Birch of the Shadow…

I believe there may possibly become a couple of duplicates, but an exceedingly useful record! I have tweeted this. Many thanks for sharing!…

 

Third Flower…

My wife and that i are now delighted that Albert could perform his scientific studies as a result of the strategies he had via your website. It really is once in a while perplexing to only constantly be giving freely techniques which some individuals m…

 

The Slave of the Husband…

Looking for ahead to studying excess from you afterward!……

 

Whispering Misty…

So sorry you’ll skip the workshop!…

 

Souls in the Waves…

Very good Morning, I just stopped in to visit your internet site and assumed I would say I experienced myself….

 

The Birch of the Shadow…

I think there may be a few duplicates, but an exceedingly helpful list! I have tweeted this. Several thanks for sharing!…

 

Whispering Misty…

So sorry you can miss the workshop!…

 

Souls in the Waves…

Superior Morning, I just stopped in to go to your web site and considered I’d say I experienced myself….

 

Locksmith Redlands…

[...]just beneath, are many absolutely not related websites to ours, nevertheless, they’re certainly really worth going over[...]…

 

Platinum…

[...]The facts talked about inside the post are several of the most beneficial available [...]…

 

how to remove pimples…

[...]The information talked about inside the article are a number of the most beneficial available [...]…

 

The Slave of the Husband…

Looking for in advance to researching more from you afterward!……

 

Healing’s Dragon…

to discover issues to boost my web-site!I suppose its okay to produce use of a number of of your principles!!…

 

The Slave of the Husband…

Looking for in advance to studying extra from you afterward!……

 

Thorn of Girl…

Superb facts might be uncovered on this net web site….

 

Whispering Misty…

So sorry you can expect to skip the workshop!…

 

Woman of Alien…

Great operate you may have done, this web site is absolutely interesting with fantastic facts. Time is God’s way of retaining everything from taking place directly….

 

The Birch of the Shadow…

I believe there may be a several duplicates, but an exceedingly handy checklist! I have tweeted this. A lot of thanks for sharing!…

 

The Silent Shard…

This will likely be fairly handy for many of your job opportunities I plan to don’t only with my blogging site but…

 

Whispering Misty…

So sorry you can expect to miss the workshop!…

 

The Slave of the Husband…

In search of ahead to studying more from you afterward!……

 

nadelen elektronische sigaret…

[...]The info talked about within the write-up are some of the top obtainable [...]…

 

how to get your ex boyfriend back…

Great post on how to get your ex boyfriend back…

 
 

News info…

I was reading the news and I saw this really interesting topic…

 

safe power leveling and gold…

I am not sure what I would have done if I had not come across such a subject like this….

 

安全な電力平 準化と金

あなたがして㠁„ã‚‹ 行って ç´ æ™´ã‚‰ã—ã„ä» äº‹

 

安全な電力平 準化と金

私たち自身 正直 後悔 いないため 以前

 

Post Your Comment

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
  • About Christopher

    "I am a columnist at Thomson Reuters focusing on the energy industry and hedge funds. Prior to this I worked at Bloomberg and the Financial Times."
  • Follow Christopher