Matt Komos, TransUnion’s vice president of research and consulting, said households may be postponing payments to keep an extra cash cushion just in case the economy worsens. Indeed, many consumers who deferred loans sent payments anyway, sometimes far more than the monthly minimums to reduce their overall debt loads, TransUnion data show. At Bank of America, about a third of people who asked to delay credit-card bills ended up paying, CEO Brian Moynihan said Tuesday on Bloomberg Television.
“A lot of the banks are in the dark a little bit in terms of how to treat customers,” said Alan McIntyre, senior managing director for Accenture Plc’s banking practice. “The measures they focus on to manage credit quality -- those dials aren’t moving. And those dials aren’t going to move until the fall.”
--With assistance from Shahien Nasiripour.
This article was provided by Bloomberg News.