Capital One Financial credit card default rates continue to rise

Capital One Financial Corp's (COF) U.S. credit-card defaults rose in January, in a sign that consumers continue to remain under stress, it said 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 rose to 10.41 percent in January from 10.14 percent in December.

Accounts at least 30 days delinquent (an indicator of future loan losses) were 5.80 percent from 5.78 percent.

For U.S. auto loans, Capital One's charge-off rate was 4.27 percent in January, down from 5.68 percent in December, and the delinquency rate fell to 9.61 percent from 10.03 percent.

In credit card international operations, including Canada and Britain, the charge-off rate fell to 9.03 percent from 9.58 percent, while the delinquency rate rose to 6.66 percent from 6.55 percent.

In October 2009, their monthly charge of rate was 9.04%. From October 2009 to January 2010, their net charge off rate has risen 1.37 percentage points or 15.2%.

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