News: General News

Experian/Moody’s Report: Credit Conditions Remain Positive, but Trouble May Lie Ahead

Monday, November 26, 2018  
Posted by: Tim Dressen
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The overall small-business credit outlook is positive, but some trends indicate a shift may be on the horizon, according to the latest Main St. Report from Experian and Moody’s Analytics, which provides quarterly insight into small-business health. 


Credit conditions continue to loosen, as reflected by declining delinquency rates for businesses with fewer than 100 employees and more businesses accessing credit markets. Despite delinquent accounts dropping from 8.8 percent to 8.6 percent, the percentage of accounts between 31 and 90 days delinquent increased slightly. This indicates the positive trend of delinquency declines may be coming to an end. 


“Continuing strength in the economy should keep small-business credit performance in check through the fourth quarter and early next year,” the report said. “Rising interest rates, destabilizing trade policy and slowing home-price growth are potential sources of trouble that are already starting to impact some regions.”


See the full report.