UPDATE 1-Capital One credit card defaults rise slightly in Sept

* US credit card charge-offs up marginally to 8.38 pct

* US credit card delinquencies fall slightly to 4.53 pct

Oct 15 (BestGrowthStock) – Capital One Financial Corp’s (COF.N: )
U.S. credit-card defaults rose marginally in September, in a
sign that more Americans may be struggling to pay their debts.

In a regulatory filing, Capital One said the annualized net
charge-off rate — debts the company believes it will never
collect — for U.S. credit cards was 8.38 percent in September
from 8.19 percent in August.

Capital One, the third-largest U.S. issuer of Visa-branded
credit cards and the fifth-largest issuer of MasterCard-branded
credit cards, said accounts at least 30 days delinquent — an
indicator of future loan losses – declined slightly to 4.53
percent from 4.56 percent.

For U.S. auto loans, Capital One’s charge-off rate was 2.77
percent in September, up from 2.75 percent in August, while the
delinquency rate fell to 7.95 percent from 8.04 percent.

In credit card international operations, including Canada
and Britain, the charge-off rate decreased to 7.31 percent from
7.62 percent, and the delinquency rate was 5.84 percent, up
from 5.82 percent.

Capital One routinely kicks off the monthly reporting of
credit card charge-offs.

JPMorgan Chase & Co (JPM.N: ), Bank of America Corp (BAC.N: ),
Citigroup Inc (C.N: ), American Express Co (AXP.N: ) and Discover
Financial Services (DFS.N: ) are expected to report the monthly
performance of their credit card portfolios later on Friday.

Shares of McLean, Virginia-based Capital One closed at
$39.90 on Thursday on the New York Stock Exchange. They have
been roughly flat since the company reported its charge-off and
delinquency rates for August about a month ago.

(Reporting by Brenton Cordeiro in Bangalore)

UPDATE 1-Capital One credit card defaults rise slightly in Sept