The rate at which U.S. consumers defaulted on their auto loans, mortgages and other credit rose in October, according to a report by S&P Dow Jones Indices and Experian released Tuesday. The composite consumer credit default rate rose five basis points to 0.94% in October, while the bank-card default rate was the only rate to decline in October, falling by two basis points to 2.75%. Meanwhile, three of the five major cities saw their default rates increase, with Miami reporting the biggest increase of 22 basis points to a 1.29% default rate. The report may not be as bad as it looks, said David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, as despite recent modest increases, consumer credit default rates remain at low levels.
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