Credit Card Trends at Banks Are Much Improved, but Can It Last?
Although the coronavirus pandemic has challenged all parts of the economy, I think it is fair to say that the individual consumer has held up much better than most anticipated, at least when you look at loan statistics at banks. Most bank executives and analysts are surprised that there haven't been more loan losses or delinquencies during a recession with nearly 8% unemployment.
Part of that is due to the fact that there has been an unprecedented level of intervention from the Federal Reserve and the government, including $1,200 stimulus checks, enhanced unemployments benefits, and loan deferrals. But as coronavirus cases rise heading into the winter and some states impose new restrictions that could hamper economic activity, can the trends hold up?
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Source Fool.com
