NEW YORK — Americans are managing their credit better as the recession deepens.
The number of people three months behind on bank-card payments fell 11 percent in the fourth quarter of 2008 from a year earlier, while they added less than 2 percent to their balances during the holiday shopping season, according to one of the big consumer-credit-tracking agencies.
The percentage of consumers behind on payments by 90 days or more for their bank cards — MasterCard, Visa, American Express and Discover — fell to 1.21 percent in the fourth quarter from 1.36 percent a year earlier.
More payments were on time even in the face of job losses, the continuing foreclosure crisis and tighter credit, according to TransUnion, a business consultant known most for its credit-rating services.
Another sign of consumer responsibility: Shoppers didn’t spend as much on gifts they couldn’t afford during the holidays as in years past. Average borrower debt — the average of all the credit cards someone holds — edged up 1.96 percent, to $5,729 from $5,619 year over year.
The numbers, while positive for people who are running up less debt and potentially paying fewer late fees on their credit cards, reflect difficult economic issues. The Associated Press
