One of the larges credit card issuers in the U.S., Capital One, reported a rise in defaults on credit cards in September, which may indicate that more Americans are struggling to pay off large amounts of debt, reports Reuters.
The report released by the company was based on net charge-off rates, which track the debts the industry believes will never be paid off in full. The rates rose from 8.19 percent in August to 8.38 percent in September.
Additionally, Capital One reported that the number of accounts that were at least 30 days delinquent, which would indicate future losses on loans, declined slightly from 4.56 percent to 4.3 percent.
There will likely be more reports in the upcoming weeks, as Capitol One is typically the first credit card issuer to release the report, according to the news source.
Many Americans struggle to pay off credit card debts that can lead to stress, anxiety and financial ruin. Those who want to practice good money management skills and pay off their credit cards quickly can consider creating a budget, and using their personal finances rather than credit cards to make purchases, according to MSNBC