Retailers, from Jewelers to Discount Stores, See 2x Spike in New Private Label Credit Cards during Holiday Season - Seite 2

New Account Growth in Holidays Compared to Non-Holiday Average Growth

	Risk Tier	Seasonal lift in 2013	Seasonal lift in 2014	Seasonal lift in 2015
	Subprime	184%	189%	185%
	Near prime	141%	166%	165%
	Prime	125%	163%	156%
	Prime plus	113%	164%	149%
	Super prime	100%	155%	143%
	Total	121%	164%	156%

With the recent increase in subprime and near prime card openings, TransUnion projects retail card delinquency will rise modestly from year-end 2015 (1.30%) to close both 2016 (1.40%) and 2017 (1.44%) higher. The average retail card balance (for consumers who carry a balance) is also projected to rise to $1,800 by the end of 2017 from $1,725 in Q4 2015.

Retail Card Delinquency and Balance

			Q4 2013		Q4 2014		Q4 2015		Q4 2016 (Projection)		Q4 2017 (Projection)
	Retail Card Delinquency Rate (90+ DPD)		1.21%		1.21%		1.30%		1.40%		1.44%
	Retail Card Avg. Balance per Borrower		$1,661		$1,648		$1,725		$1,768		$1,801

"Typically, retail card delinquency rates are highest during the fourth quarter every year, as some consumers may face challenges after shopping or opening new cards," said Verma. "In some cases, a consumer may forget he opened a new card and miss his first payment as a result. Consumers should be mindful of their new payment responsibilities and ensure they do not overextend themselves during the holiday shopping season."