Debt Stress

Large vs Small Bank Credit Card Delinquency Spread

Tracking improving relative to recent baseline.

What is the current Large vs Small Bank Credit Card Delinquency Spread?

LARGE VS SMALL BANK CREDIT CARD DELINQUENCY S
3.68 pts ↓ Improving
Large vs Small Bank Credit Card Delinquency Spread at +3.7 p
One year ago
4.08 pts ↓ Improving
down 0.4 points since Q4 2024

The credit card delinquency spread between large banks (top 100) and small banks reached 3.68 percentage points in Q4 2024, with small banks reporting significantly higher default rates. This divergence signals that community and regional banks — which serve more subprime borrowers — are absorbing disproportionate credit losses. Source: FRED (DRCCLACBS, DRCCLOCBS).

Large vs Small Bank Credit Card Delinquency Spread at +3.7 pts

Tracking improving relative to recent baseline.

Source: Computed (FRED DRCCLACBS - DRCCLOBS) · Latest: 2025-Q4

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Do you bank with a smaller institution and wonder if they're under more stress?

How has Large vs Small Bank Credit Card Delinquency Spread changed over time?

CSV Chart Card
Large vs Small Bank Credit Card Delinquency Spread over time
Large vs Small Bank Credit Card Delinquency Spread, percentage_points
Large vs Small Bank Credit Card Delinquency Spread
Historical data
Quarterly · Computed (FRED DRCCLACBS - DRCCLOBS)
Period Value YoY Change
Q4 2025 3.68 pts −0.4 pts
Q3 2025 3.77 pts −0.5 pts
Q2 2025 4.01 pts −0.5 pts
Q1 2025 4.1 pts −0.5 pts
Q4 2024 4.08 pts −0.7 pts
Q3 2024 4.26 pts −0.4 pts
Q2 2024 4.54 pts −0.1 pts
Q1 2024 4.6 pts −0.2 pts
Q4 2023 4.77 pts +0.2 pts
Q3 2023 4.61 pts −0.2 pts
Q2 2023 4.67 pts +0.5 pts
Q1 2023 4.77 pts +1.3 pts

Frequently Asked Questions

What is the large vs small bank delinquency spread?

This indicator measures the gap between credit card delinquency rates at small banks vs large banks. A wider spread indicates that smaller banks serving more vulnerable borrowers are seeing worse performance.

Why is the bank size spread important?

When small banks have much higher delinquency than large banks, it signals stress concentrated among lower-income borrowers who rely on community banks and credit unions. The American Distress Index tracks this as an early warning of broadening credit distress.

Where does this data come from?

The data comes from the Federal Reserve's quarterly charge-off and delinquency statistics, published via FRED series DRCCLACBS (large banks) and DRCCLOCBS (small banks).

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Why does Large vs Small Bank Credit Card Delinquency Spread matter?

Large vs Small Bank Credit Card Delinquency Spread is one of 91 indicators in the American Distress Index's debt stress layer — the signal that predicted the 2008 crisis two years before delinquency data confirmed it.
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