Working within the Federal Reserve System, the New York Fed implements monetary policy, supervises and regulates financial institutions and helps maintain the nation's payment systems.
Do you have a Freedom of Information request? Learn how to submit it.
See the world's largest accumulation of gold as you learn about the New York Fed and Federal Reserve System on a free tour.
The latest Annual Report chronicles the impact of Federal Reserve policies and includes data on the New York Fed's operations.
Our economists engage in scholarly research and policy-oriented analysis on a wide range of important issues.
The Center for Microeconomic Data offers analysis and data exploring individual-level financial and nonfinancial economic conditions, expectations, and behavior in the United States.
Our model produces a "nowcast" of GDP growth, incorporating a wide range of macroeconomic data as it becomes available.
U.S. Economy in a Snapshot is a monthly presentation designed to give you a quick and accessible look at developments in the economy.
As part of our core mission, we supervise and regulate financial institutions in the Second District. Our primary objective is to maintain a safe and competitive U.S. and global banking system.
The Governance & Culture Reform hub is designed to foster discussion about corporate governance and the reform of culture and behavior in the financial services industry.
Need to file a report with the New York Fed? Here are all of the forms, instructions and other information related to regulatory and statistical reporting in one spot.
The New York Fed works to protect consumers as well as provides information and resources on how to avoid and report specific scams.
The Federal Reserve Bank of New York works to promote sound and well-functioning financial systems and markets through its provision of industry and payment services, advancement of infrastructure reform in key markets and training and educational support to international institutions.
The New York Fed provides a wide range of payment services for financial institutions and the U.S. government.
The New York Fed offers the Central Banking Seminar and several specialized courses for central bankers and financial supervisors.
The New York Fed has been working with tri-party repo market participants to make changes to improve the resiliency of the market to financial stress.
The New York Fed engages with individuals, households and businesses in the Second District and maintains an active dialogue in the region. The Bank gathers and shares regional economic intelligence to inform our community and policy makers, and promotes sound financial and economic decisions through community development and education programs.
The Governance & Culture Reform hub is designed to foster discussion about corporate governance and the reform of culture and behavior in the financial services industry.
The College Fed Challenge is a team competition for undergraduates inspired by the working of the Federal Open Market Committee.
The Community Credit interactive highlights credit conditions, including measures of credit inclusion and stress, at the national, state and county levels.
March 5, 1999
NOTE TO EDITORS
The latest issue of the New York Feds Current Issues in Economics and Finance --Meet the New Borrowers-- is enclosed for your review.
Credit card write-offs have risen sharply in recent years, suggesting that lenders are reaching out to riskier borrowers, according to authors Sandra Black and Donald Morgan, economists in the Banking Studies area of the Bank.
Black and Morgan document that the share of U.S. households with a credit card rose nearly 11 percentage points (roughly 20 percent) between 1989 and 1995. Not coincidentally, perhaps, banks also began to write off more credit card loans in 1995. By 1997, banks were charging off bad credit card loans at the highest rate in twenty-five years.
While the rise in credit card write-offs may have started in 1995 with the mild slowdown in U.S. job growth, the fact that these bad loans continued to mount even after job growth rebounded implies that lenders have been offering cards to individuals who have a greater likelihood of delinquency, the authors state.
Black and Morgan investigate how the personal, demographic, and economic profile of the typical cardholder has changed in recent years and identify the changes in the profile that seem most important in explaining heightened risk in the credit card market.
The authors find that:
- Compared with their 1989 counterparts, cardholders in 1995 owe more, relative to income. The strong link observed between debt burdens and delinquency rates suggests that higher debt burdens are the most important factor behind the rise in charge-offs.
- Another important factor is the changing occupational mix of cardholders: the 1995 borrowers are more likely to work in relatively unskilled blue-collar occupations. Delinquency rates are higher for these workers, perhaps because their income is more closely tied to the business cycle.
- Characteristics such as marital status, job tenure, and a willingness to borrow for riskier purposes were less important in explaining the rise in charge-offs.
Contact: Douglas Tillett