Press Release (ePRNews.com) - Chicago, IL - Feb 01, 2018 - PayNet, the leading provider of small business credit data and analysis for the commercial and industrial lending industry, reports that in November 2017 the percentage of New Jersey’s small businesses defaulting on existing loans has declined, with default rates in 13 of the 18 major industries falling in the state.
After a 3 basis point decline from October, New Jersey’s PayNet Small Business Default Index (SBDFI) at 1.56% was 26 basis points under the national SBDFI level of 1.82%. The decrease in defaults over the past two months may signal better business conditions in the state. Year-over-year, the national SBDFI dipped 1 basis points, while New Jersey’s SBDFI declined 7 basis points.
The three industries with the highest default rates in New Jersey were Transportation and Warehousing (3.35%); Public Administration (3.26%); and Information (2.74%). Nationally, Transportation and Warehousing had a default rate of 4.14%, with a difference of –0.08% compared to the prior year, while New Jersey had a variance of -0.36%.
The PayNet Small Business Lending Index (SBLI) for New Jersey was 95.1, improving 0.3% from last month’s state level, but 5.4% lower than this month’s national SBLI level (100.6). Year-over-year, business investment deteriorated 3.2%.
“The performance of defaults over the past 3 months may foster a better lending environment,” states William Phelan, president of PayNet.