Credit card loans up by S$840m in 12 months to Sep

Credit card loans up by S$840m in 12 months to Sep

By May Wong,

SINGAPORE: Credit card loans in Singapore have grown by S$840 million in the year to September, up 18 to 19 per cent compared to the previous year.

The Monetary Authority of Singapore (MAS) is monitoring the situation closely and will maintain close contact with banks, said Finance Minister Tharman Shanmugaratnam.

The percentage of outstanding credit card balances rolled over for more than one month has remained around 15 per cent.

The charge-off rate, which measures credit card debt written off by banks and card issuers (as a percentage of the rollover balance), remains low at between 3 and 4 per cent.

Mr Tharman was giving these updates in Parliament in response to questions on Singaporeans’ debt accumulation in the past year in light of the flagging global economy.

He said the government is not too worried about the figures right now as they are in line with economic growth.

- CNA/ir

Source : Channel Newsasia - 18 Nov 2008

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