Several lenders have observed that the increase in delinquency rates and charge-offs is linked to a distinctive post-pandemic credit expansion. Improved finances for some Americans during the pandemic led to a shift to better risk tiers and increased access to credit for certain consumers. As the economy reopened, lenders, aiming to benefit from potential spending, extended credit offers, resulting in over 12 million new-to-credit consumers acquiring credit cards between June 2021 and June 2023. Loans from this period exhibit higher rates of late payments and losses. Lenders anticipate a peak in charge-offs in 2024, with normalization expected at the beginning of 2025.