Consumer Loan Delinquency Rate
Percent of consumer loans delinquent at commercial banks (quarterly)
Consumer loan delinquency is a broad read on household credit stress (auto, personal loans, and other consumer credit at banks). It typically rises after financial conditions tighten and disposable income is pressured. When it accelerates, it often coincides with tighter lending standards and a more defensive macro regime.
Historical Delinquency Chart
Related Indicators
How to interpret consumer loan delinquency
What’s inside “consumer loans”
This series covers delinquency across a broad set of consumer loans held by commercial banks (excluding credit cards, which are tracked separately). Think auto loans, personal loans, and other installment-style consumer credit. Because it’s broad, it can capture stress that’s not visible in a single product.
Macro and market impact
As delinquencies rise, banks tend to tighten underwriting and pull back credit lines, which can dampen consumption. Markets may interpret this as: higher recession odds, weaker consumer discretionary fundamentals, and a more attractive setup for duration relative to cyclicals.
Why the trend matters
The level often moves slowly, so focus on the slope. A multi-quarter acceleration typically reflects compounding pressure: higher borrowing costs, fading excess savings, and/or a cooling labor market.
Confirm with other stress gauges
Pair it with credit card delinquency, jobless claims, and bank lending standards. If multiple delinquency series are rising together, the “soft landing” probability usually drops.
Current Reading
Interpreting the Signal
Trading read-through
Broad delinquency upticks can foreshadow weaker consumer spending and tighter bank credit. That’s often supportive for duration and defensive sectors, while challenging for high-beta consumer exposures.
Release Notes
Reported quarterly. Use it for trend confirmation and regime identification rather than short-term trading catalysts.
- Frequency: Quarterly
- Unit: Percent (%)
- Coverage: Consumer loans at banks (ex credit cards)