Quarterly delinquency on consumer loans at commercial banks in the U.S. 2007-2024

In the last quarter of 2023, roughly 2.62 percent of all consumer loans at commercial banks in the United States were delinquent. The delinquency rate on this type of credit decreased after the first quarter of 2020, when it reached 2.47 percent, but it has been rising again since 2021. Loans are delinquent when the borrower does not pay their obligations on time. A possible reason as to why the delinquency rate decreased during the first two years of the COVID-19 pandemic is that the personal saving rate in the U.S. soared during that period due to the restrictions imposed, which limited consumer spending. Since borrowers had more savings, they were more likely to meet their payments.