Full text of G.17 Department Store Credit : May 11, 1950

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BOARD OF GOVERNORS OF THE FEDERAL RESERVE "SYSTEM"
G.17.3

May 11, 1950
DEPARTMENT STORE CREDIT
IvIARCH 1950

.

'

'

I n s t a l m e n t accounts r e c e i v a b l e a t department s t o r e s on March 31
shoitvd l i t t l e change firom those a t the c l o s e of the^preceding month, b u t
continued s u b s t a n t i a l l y higher t h a n 1 t h o s e of a year e a r l i e r . C o l l e c t i o n s
on i n s t a l m e n t accounts were 13 p e r cent above those of February, and t h e
c o l l e c t i o n r a t i o based on f i r r t - o f - m o n t h o u t s t a n d i n g s r o s e 3 p o i n t s t o
20 per c e n t . The average repayment p e r i o d f o r i n s t a l m e n t accounts o u t s t a n d i
ing i n March was approximately 8 months, about a month longer than i n March
19L9.
Charge accounts r e c e i v a b l e a t t h e end of March, .were 3 per cent
below those of a month e a r l i e r but somewhat l a r g e r t h a n 'the amount o u t standing on March 31 l a s t y e a r . C o l l e c t i o n s on charge accounts decreased
U per cent from February to March. The r a t i o of c o l l e c t i o n s during the
y.icnth t o accounts r e c e i v a b l e a t the beginning of the month was about 53 per
c e n t , compared with:U8 per cent i n February and 55 per cent i n March I9h9»
Department s t o r e s a l e s showed somewhat l e s s than the customary
s e a s o n a l i n c r e a s e .in March. Cash and charge-account s a l e s were n e a r l y onet h i r d l a r g e r than i n F e b r u a r y , b u t cash t r a n s a c t i o n s continued i n smaller
volume than a year e a r l i e r . The March r i s e i n i n s t a l m e n t s a l e s was l e s s
marked than f o r o t h e r types of t r a n s a c t i o n ; however, such s a l e s were s t i l l
c o n s i d e r a b l y above the year-ago l e v e l .
,
Department S t o r e S a l e s , Accounts'Receivable, and C o l l e c t i o n s
Percentage change from:
Feb. 1950
Mar. 1919
to
to
Mar. 1950
Mar. 1950

Item
S a l e s during month
Cash
Instalment
Charge account

.

•

' +31
+25
+31

Accounts r e c e i v a b l e , end of month
I n s t a l m e n t accountsCharge accounts
C o l l e c t i o n s during month
I n s t a l m e n t accounts
Charge accounts

• •

- 5 •
+33
. 0

+ 1
- 3

-

+13
- h

+37
+ 3

-

+20
+ 2

Ratio of c o l l e c t i o n s during month t o accounts r e c e i v a b l e a t beginning, of month:
Mar.
Feb.
Mar.
1950
; 1950
' 19h9
I n s t a l m e n t accounts
20
17
23
Charge accounts
-..
.
53
U8
55
NOTE.—Figures
 f o r March 1950 are p r e l i m i n a r y and s u b j e c t to r e v i s i o n .


DErARIFE.T STORES' - il/JiCH 1950
Cash ar.a C r e d i t S a l e s , by F e d e r a l Reserve D i s t r i c t s
Federal
'Feserve
District
:eston

'

Indexes; 191:1 avei'ano = ICO
Ca sh s a l e s
Charge-account s a l e s
Instalment sales
Far.
Feb.
Far.
Feb.
Far.
Far.
Feb. . F a r .
Far.
19S0p
1950
19L9
195013
1950
19%
19#
19h9
19L9
192:

265
200
200
228

2l6
153

257

215
165

159.
191
219.
201:
196
262
211
21a
250
275
27L
205

152

209 |

135
137
11:9
1L3

211
186

an:

i.iv

199

|

^ . 265
210
21b
253
" 2^2
: '315
201
200
2W
. 236
L9h
| 162
230

;
:

161
169185
173
.202
'2L2
-.ILL
202 200
197
260
129'.

213
165
131;
221
139
25a
159
' 2j3
195
313
la7
.lSh •

186
171,
215
202
201
2L2
202
199
2;2
229
262
208

172

2Q3

• 130 . 183
123
17k
21h
156
1L6
205
2 Oh
165
235
193
202
15L
202
161
202 ' 231
226
179
271
213
166
207
2 Oil

155

r e c e i v a b l e and C o l l e c t i o n s , by F e d e r a l Reserve D i s t r i c t s
Federal .
Feserve
District
~ -; c- r n n
Fev; Fori:
Fhiladelphia
Cleveland Chicago
S:. louis
Fihr.earolis .
Kansas C i t y
:alias '
San F r a n c i s c o
F. 2. Dotal

r.ts o u t s t a n d i n g . e :nd" o"f month
i Accou:
C o l l e c t i o n ratios-x
Average = 100
: Indexes; :
19lil i
instalment
Instalment
Char;™e-account
Ohar,re-account
Feb. F a r . F a r . Feb. ; 'a:-.
; a r . Feb. F a r . F a r . Feb.' F a r .
1950n 1950 1919 1950:; 1950 Vh9 1950p 1950 19L9 1950c 1950 1919
207
160 . 18
203
133 169
175
161
159
13
132 170
178
165
211
210 , 168 21^
210
203
19
228
221;
181 185 ,. 138
188
19
l6Ii
161
127 Ilk
172
16
178
220 200
351
3hh
20h
190
15
172
110 181
171
173
179
23
2^6 ' 168 220
2L5
238 . 211
19
192
137
176
22
lb2 175
191
235 ' 238
182 196
22
198 "183
198
395
198
15
371
233 196
212
217
20
152 187
201 - 180
15
2C9

207

152

135

191

°:

20

16
' lh
16
17
17
lh20
18
21
20
lh
18

22
19
20
21
21
20
30
2h
St
26
21
25

51
hd
51
52
h$
h$.
62
52
'55
53
51
55

hh
52
hi
h9
h8
5k
h8
55
ho
h2
hi
16
5L ' . 65
h8
5U
J
61
49
62
52
h9
Sh
£* 57

17

'23

53

hQ

55

C o l l e c t i o n s d i c i n g r. ohth as p e r c e n t a g e , o f accounts r e c e i v a b l e a t beginning of
E . — \ n e s e d a t a are oased on r e p o r t s of, abou^ L75 l a r g e department s t o r e s r e p o r t i n g sales, by type of t r a n s a c t i o n , :.ore than LOO having " charge accounts and about
300 having i n s t a l m e n t a c c o u n t s . -Back f i g u r e s - may b e ' o b t a i n e d on r e q u e s t from
for FRASERn of r e s e a r c h and S t a t i s t i c s .
the d i v i s i o
-

Digitized