The consumer bankruptcy bar has seen firsthand the economic pain inflicted on the public when jobs go away and credit card balances rise. New data released this week indicates that the level of credit card defaults in America is skyrocketing. U.S. credit-card delinquencies continued their climb in October to near record highs, as charge-off rates are expected to rise, Fitch Ratings said Wednesday.

“Consumer credit quality remains under significant strain as a result of the persistent weakness in the labor markets,” noted managing director Michael Dean. According to a story reported on the Dow Jones Newswire, the Labor Department will report unemployment data Friday; the jobless rate is expected to hold steady at 10.2%, the highest level in decades.

All types of consumer lending have worsened the past several years, with borrowers falling increasingly behind and lenders writing off many billions of dollars of owed loans. Fitch’s credit-card performance indexes show late payments rising to their highest levels in five months and indicate higher charge-offs in the months to come.

Fitch’s index on delinquencies of at least 60 days rose to 4.41% from 4.22% in September. Late-stage delinquencies are now 31% higher than year-earlier levels and just below the record high of 4.45% in June. Delinquencies of at least 30 days rose as well.

John O’Connor