Discover Financial Services has released its monthly credit card charge-off and delinquency statistics, providing insights into the performance of its total credit card portfolio over the past two years.
As of February 28, 2025, Discover reported total ending loans of $99.2 billion, a decrease from the previous month's $100.6 billion. The average loans for the same period stood at $100.1 billion, down from $101.4 billion in January 2025.
The net principal charge-off rate for February 2025 was 6.03%, up from 5.48% in January 2025. This marks a notable increase in the charge-off rate compared to the previous month.
Similarly, the delinquency rate (30 or more days) for February 2025 was 3.78%, slightly lower than January 2025's 3.87%.
Comparing these figures to the same period in the previous year, there has been a clear shift. In February 2024, the net principal charge-off rate was 5.86%, indicating an increase to 6.03% in February 2025. The delinquency rate (30 or more days) also saw an increase from 4.01% in February 2024 to 3.78% in February 2025.
These statistics paint a picture of the evolving credit performance within Discover Financial Services' credit card portfolio, highlighting changes in charge-off and delinquency rates over the past 24 months. As a result of these announcements, the company's shares have moved 3.2% on the market, and are now trading at a price of $164.26. For more information, read the company's full 8-K submission here.
