The S&P/Experian Consumer Credit Default Composite index ticked up two basis points in October to 1.06%, its third consecutive monthly rise after hitting its all-time low in July.
First mortgage defaults rose for the third straight month, while second mortgage and bank card defaults fell.
David M. Blitzer, chairman of the index committee for S&P Dow Jones Indices, said in a news release: “The continued six-month upward trend in auto loan default rates does coincide with strong automobile sales over the same period.”
The S&P/Experian Consumer Credit Default indexes track defaults of consumer balances in four key loan categories: auto, bankcard, first mortgage lien and second mortgage lien. They are calculated based on data from Experian's consumer credit database. The index was launched in 2010 with data back to July 2004.
