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Capital One Financial Corp. today reported that its U.S. credit card segment's net charge-off rate decreased to 9.04% of managed receivables in October from 9.77% the previous month. McLean, Va.-based Cap One's 30-day delinquency rate, however, increased to 5.72% of receivables from 5.38% in September, according to a company filing with the U.S. Securities and Exchange Commission. The card unit's net charge-off rate during the third quarter ended Sept. 30 was 9.59%, up from 6.1% a year ago, while its 30-day delinquency rate increased to 5.53% from 4.34% (CardLine, 10/23). Despite last month's decrease in the charge-off rate, the company expects charge-offs to peak in the next couple of quarters, according to Richard Fairbank, Cap One chairman and CEO. "But to be clear, nearing a peak does not necessarily mean that we're nearing the beginning of a robust recovery," he said last month during a conference call with analysts.
