FEDERAL RESERVE BANK of NEW YORK RESEARCH AND STATISTICS GROUP
Aggregate delinquency rates remained elevated in the second quarter of 2025.
As of the end of June, 4.4% of outstanding debt was in some stage of delinquency, which is 0.1 percentage point higher than the first quarter. Transition into early delinquency held steady for nearly all debt types; the exception was for student loans, which saw another uptick in the rate at which balances went from current to delinquent due to the resumption of reporting of delinquent student loans on credit reports after a nearly 5-year pause due to the pandemic.
Transition rates into serious delinquency, defined as 90 or more days past due, were largely stable for auto loans and credit cards; edged up slightly for mortgages and HELOCs; and rose sharply for student loans.
About 131.000 consumers had a bankruptcy notation added to their credit reports in 2025Q2, an increase from the previous quarter. The percentage of consumers with a third-party collection account on their credit report remained stable at 4.7 percent.
Housing Debt
* There was $458 billion in newly originated mortgage debt in 2025 Q2.
* About 53,000 individuals had new foreclosure notations on their credit reports, a decline from the previous quarter.
Posted by semideclared
4 Comments
Is it me, or is it getting crazier out there
TL;DR?
> rose sharply for student loans
Would be nice if the government, Dems or Republicans, could settle on some clear rules for everyone because the administration of these loans is the biggest clusterfuck I have witnessed in any government program.
I’m not even making a judgement about forgiveness or fiscal policy, just provide clear guidelines and tell people what they owe and process the millions of forms that have been sitting in limbo.
Could just be noise from restarting student loan repayments. It’s nearly impossible to read tea leaves like this and have a confident prediction of the cause, nevermind a conclusion that a recession is imminent.