Measures on delinquencies, foreclosures, and bankruptcies all improved in the first quarter of 2015, while overall household debt remained about 6.5 percent below its peak of $12.68 trillion in Q3 2008, according to the Federal Reserve Bank of New York's Household Debt and Credit Report released earlier this week. The percentage of outstanding debt in some stage of delinquency fell to 5.7 percent from 6.0 percent in the fourth quarter of 2014, with continuing improvements in mortgages.
The number of individuals who had a foreclosure notation added to their credit reports in Q1 was 112,000, the lowest total since 1999, while the number of consumers who had bankruptcies added to their credit reports dropped by 4 percent from Q4 to Q1 down to the lowest point since 2006. The aggregate household debt balance in the United States at the end of the first quarter of 2015 totaled $11.85 trillion, an increase of about 0.2 percent from the start of the quarter but still about 6.5 percent below the peak of $12.68 trillion, achieved in Q3 2008.
In Wednesday's hearing titled The Dodd-Frank Act and Regulatory Overreach, the House Financial Services Subcommittee on Oversight and Investigations examined the causes of the 2008 financial crisis and the subsequent passage of Dodd-Frank in 2010. Witnesses said that bad policy, not market failures, caused the financial crisis and subcommittee chairman Sean Duffy said that the "crushing regulatory regime" of Dodd-Frank has perpetuated unemployment, stifled hiring, and made it harder for people to obtain loans to either buy a home or expand their business.