Subprime consumers continue to pay their credit cards amid budget pressures

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Although 55% of subprime consumers struggle to pay their bills, most cardholders still make at least the minimum payment on their credit cards. Synchrony’s subprime customer repayment rate rose 40 basis points from the previous quarter, with an overall repayment rate of 16.9%, but some customers continue to face affordability pressures. Borrowers with credit scores below 660 accounted for 18.5% of new credit cards issued by large banks, and the median new credit limit was $600.