Credit card delinquencies are up at ANZ
ANZ has seen the number of people falling behind on credit card repayments rise considerably since the onset of the financial crisis.
In its annual update, the company said that it fully expected a rise in the number of credit card delinquencies and that it is keeping a close eye on the problem.
It also said it had seen a rise in the number of customers falling into arrears on their home loan repayments, although it reported that this has been alleviated somewhat by the Reserve Bank of Australia’s (RBA‘s) consecutive interest rate cuts.
The company said that first-home buyers and existing homeowners have been making the most of the interest rate cuts in recent months.
Commenting on the company’s overall performance, ANZ chief Mike Smith insisted that the bank account, credit card and home loan provider was fighting fit in difficult times.
“Given the challenges ANZ faced from the global economic downturn and volatility in financial markets, our strategy and the actions taken last year to prepare ourselves for the new economic reality are paying off,” he said.
Earlier this month, ANZ was named as the best local Australian private bank award 2009 by Euromoney.
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