Delinquencies On Credit Cards Are On The Way Up

"This increase could be an indication that tax refund checks, typically used to pay down balances in the first quarter in years past, are now being used to cover daily living expenses," said Ezra Becker, of TransUnion's financial services group, in a written statement.

From CNNMoney.com: Credit Card Delinquency On The Rise

Credit card delinquency rates jumped 11% in the first quarter, possibly indicating that consumers are using tax refunds to day-to-day expenses, according to a credit reporting agency report released Monday.

The delinquency rate -- which is the ration of borrowers 90 days or more delinquent on one or more of their credit cards -- increased to 1.32% in first quarter of 2009.

That's up 9.1% over the previous quarter, and 11% over the previous year, according to the report from credit reporting agency TransUnion.

The average borrower debt rose 4.09% from the previous year to $5,729, TransUnion said. The agency uses data from 27 million anonymous, individual credit files.

"The impact the changes to credit card regulations and associated legislation, and the response of card lenders to those changes, will have on consumer behavior and hence delinquency rates is still unknown," the report said.

I know people who have put money in there home safe too instead of paying bills or spending money in fear they will be unemployed. This is not good. If balances are not being paid or money being spent the economy will not get better. Don't be afraid live your life as you normally would.