Saturday, December 11, 2010
PAYMENT PROBLEMS TO DROP SHARPLY IN 2011
If the economy slowly improves next year, consumers are expected to get better control on their mortgage and credit card payments. Credit reporting agency TransUnion predicts that delinquencies, or late payments, on the two biggest major forms of borrowing will drop sharply again in 2011, after substantial declines seen in the second half of this year. More homeowners in every state and the District of Columbia will get current on mortgage payments, according to a forecast from the Chicago-based company. TransUnion said that by the end of 2011, it expects that just 4.98 percent of mortgages will be 60 days or more behind. The mortgage delinquency rate peaked at 7.89 percent in the fourth quarter of 2009. The prediction is still well above the 1.5 to 2 percent delinquency rate considered "normal" for mortgages.