NEW YORK — After the auto loan portion of the
S&P/Experian Consumer Credit Default Indices dropped to the lowest level
ever recorded by S&P Dow Jones Indices and Experian in June, the reading
now has inched up three months in a row.

The auto loan default rate reported for September was 1.15
percent, up from the 1.11 percent level analysts spotted for the previous
month.

While the default reading has been on a steady climb since
establishing the record low, it hasn't spiked.

Meanwhile, the national composite rate showing a
comprehensive measure of changes in consumer credit defaults edged higher, too,
last month.

The composite rate for September moved up to 1.38 percent
from 1.34 percent posted in August.

The other credit categories analysts track all ticked up a
bit in September in comparison to the previous month. The rundown unfolded this
way:

—First mortgage default rate: 1.28 percent, up from 1.23
percent

—Second mortgage default rate: 0.69 percent, up from 0.57
percent

—Bank card default rate: 3.14 percent, up from 3.12 percent

Despite the across the board upticks, an upbeat assessment
came from David Blitzer, managing director and chairman of the index committee
for S&P Dow Jones Indices.

"Consumer credit quality continues to look healthy," Blitzer
said. "The indices remain at pre-financial crisis levels and are stable.

"The national composite and the first mortgage were slightly
up in September. They were 1.38 percent and 1.28 percent, marginally up from
the recent lows posted last month. The second mortgage posted 0.69 percent, 12
basis points up from its August level," he continued.

"Auto loan default rate was 1.15 percent, 4 basis points up from
the last month. Bank card default rate was 3.14 percent, marginally up from the
last month low. All loan types remain below their respective levels a year
ago," Blitzer went on to say.

Looking at the five largest metropolitan areas tracked in
this month reported, Blitzer again sounded upbeat because "all moves were
small."

Here is how those five cities fared in September as compared
to the previous month:

—New York: 1.38 percent, up from 1.21 percent

—Chicago: 1.77 percent, down from 1.83 percent

—Dallas: 1.23 percent, up from 1.13 percent

—Los Angeles: 1.38 percent, down from 1.44 percent

—Miami: 2.11 percent, down from 2.19 percent

"Two cities, New York and Dallas, saw their default rates
rise in September while three cities, Chicago, Los Angeles and Miami, saw
decreases. The spread between the highest rate (Miami at 2.11 percent) and the
lowest one (Dallas at 1.23 percent) is getting smaller," Blitzer said.

Jointly developed by S&P Indices and Experian, Blitzer
reiterated the S&P/Experian Consumer Credit Default Indices are published
monthly with the intent to accurately track the default experience of consumer
balances in four key loan categories: auto, bankcard, first mortgage lien and
second mortgage lien.

The indices are calculated based on data extracted from
Experian's consumer credit database. This database is populated with individual
consumer loan and payment data submitted by lenders to Experian every month.

Experian's base of data contributors includes leading banks
and mortgage companies and covers approximately $11 trillion in outstanding
loans sourced from 11,500 lenders.

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