James Chessen Quotes (10 Quotes)

What we're recommending is that people take out as much cash as they would need for a long weekend. And if you're relying on credit cards, request copies of your credit report before and after the century change so you can spot and correct any Y2K errors immediately.

It may be many months before its impact is reflected in the delinquency picture.

Gas prices don't look like they are coming down any time soon. Today, it costs 500 more than it did last year to operate a car. That's a whole lot of money.

The full financial effect of Katrina is still unknown. It may be many months before its impact is reflected in the delinquency picture and will depend on the success of reconstruction efforts in those regions.

Signs of financial stress still are present. The persistent interest rate increases by the Federal Reserve and record high gas prices in the third quarter provided a one-two punch that continued to inflict pain on personal budgets.

What the delinquencies tell us is that there are more people who are under financial stress. The rise in energy prices is sucking up much more of households' budgets than they ever did.

The industry is very sensitive to the fact that delinquencies have risen over the last two years. They have already taken steps to tighten underwriting standards -- to stop solicitations to risky customers.

The rise in auto and other consumer loan delinquencies reflects the avalanche of layoffs over the past year and a half. Until job growth gains upward momentum, relatively high levels of delinquencies will remain.

With job growth strong over the last year and gas prices easing by year-end, the delinquency picture has brightened considerably.

My concern is many people are having financial difficulties. Personal savings rates are down. There is less of a buffer to fall back on.