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The seasonally adjusted Credit Manager's Index for June increased to 46.6 from 45.4 in May, marking the fifth consecutive increase for the index, according to a report by the National Association of Credit Management. The index, a gauge of economic factors affecting credit and collection professionals, was down 3.4 points from 50 in June 2008, but it has reached the highest since September when the index was 47.5, reports Collections & Credit Risk, a CardLine sister publication. Any score below 50 indicates economic deterioration. The index consists of four favorable factors, such as the amount of credit extended, and six unfavorable factors, such as accounts placed for collection and bankruptcy filings. "The latest [index] is holding steady and showing stability in the credit sector," Chris Kuehl, the association's economist, states in the report. "The data has not yet been enough to push past the point of contraction to expansion, but it is getting ever closer to that point, suggesting that expansion is only a month or two away."
