With pandemic-related, external relief programs having largely expired, it’s safe to expect rising card balances as consumers spend more — as well as increased delinquency rates accompanying these higher levels of debt. Therefore, being able to identify which consumers are higher risk based on changes in liquidity will be extremely important for bankcard lenders.
TransUnion recently conducted a study tracking bankcard balances and utilization for nearly 6M consumers between Q3 2019 and Q4 2021 to help lenders better understand how to spot consumers who can be engaged confidently based on liquidity changes.
Access our quick guide to learn:
• How liquidity trends differ among consumers, and when to start segmenting based on liquidity fluctuations
• Which attributes are considered top risk separators
• How bankcard lenders can identify high-risk consumers within each traditional credit tier