The Fed explains why scary card-delinquency headlines overstate new distress
The New York Fed digs into its own data to explain the Great Recession-era headline: roughly 13% of card balances are 90+ days overdue. The stock is inflated by stale, charged-off loans lenders now report for longer, while the flow of new delinquencies has been stable for two years. The nuance matters for anyone reading stress signals into consumer credit.