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BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM
G.17.3

Hay 8, 1951
DEPARTiM STORE CREDIT - MARCH 1951

Department store instalment accounts receivable continued to show a
'small decline in March. At the month-end, however, these accounts were 22 per
cent above the level of March 31, 1950. - An increase in March collections on instalment accounts was reflected in the higher collection ratio of 2.0 per cent, 3
points above that for February and 1 point above that for the preceding Mai^ch.
Continued repayment at the March irate would result in the liquidation of instalment accounts receivable in about 9 months, the .same average repayment period
prevailing'a year earlier.
Charge accounts receivable declined further in March, in spite of an
early Easter. The decline resulted from; the fact that charge account collections
continued to exceed charge account sales, even, though collections had declined and
sales had increased from February levels. There was an increase in the collection
ratio from i|6 per cent in February to 51 per cent in March. The average repayment
period for charge accounts outstanding-in March was 5? days, somewhat above the
•level of the corresponding period, a year ago.
Instalment sales increased by 11 per cent during March, compared with increases of 26 and 22 per cent for cash and charge account sales, respectively. Instalment sales were but 1 per cent above the volume of the previous March, while
cash sales were up 6 per cent and charge account sales 13 per-cent.

Department Store Sales, Accounts Receivable, and Collections
Percentage change from:
Mar, -1950
Feb. 1951
to
to.
Mar." 1951
Mar. 1951

Item

Sales.during month
Cash
Instalment
Charge accounts

+26
• +11
+22

Accounts receivable, end of month
Instalment accounts
Charge accounts
Collection's during month
Instalment accounts
Charge accounts

, '

+ 6
+ 1
+13

,

- 3
-h

+22
+23

+10
.-3

+27
+17

Ratio of collections during month to accounts receivable at beginning of month:
Mar.
Feb.
Mar.
•1951
1951
1950
Instalment accounts
Charge accounts

DigitizedNOTE:—Figures
for FRASER for March 1951


20
51

17
1*6

are preliminary and subject to revision.

19
53

DEPART:

STORES - :LtRCH 1951

Cash and Credit, S a l e s , by" F e d e r a l Reserve Districts
Indexes.; 19U1. average » 100
Charge-account sales
Instalment sales
1
Cash sales
Uar.
Feb.
Mar.
Feb. I Mar.
! Mar. 1 Feb.
Mar,
1951 : 1950
I95lp
19$lp
1951
1950
19#
1 1951^ ! 1951

r gderal

rest on

:9i

131
158
lo.

186
211

. 162

I

21U

1

M

17-

200

193
215

' 228
2;a
257
197

16?

199

1

235'
221
220

265
22:5
2 73
205 .
266
- 398252
331:
199 231

|

265
210
21L

225
201
170

276
253
21:2
115
222
315
201
192 '
280
221;
1:00 . 2li7
220
. 236
286
L96
199- . 179
231. .

211

1%

188
191
2W:

112
I 11:9
1 188
! 186
226
1 201
228
: 213
287
200
236
181
213.
213
232
213
263
21:9
. 308
195
233 .
228

215
2 CI
23: •
202

226
2c2

202

1 187

Accounts Receivable and Collections, by Federal Reserve Districts
ir-standine.
7 month
Collection ratios*
J
%es; 19&1 average = 100•
Charge-accounL
'
Instalment iCharge-account I Instalment
Feb.
Feb. ! Mar.
IMar. Feb. Mar. !::ar. Feb.
!l951p 1951 1950. 1951p 1951 1950 195lp 1951 1950 1951P 1951
195G
cCStOr

219
159
-.2
23

1

299

2 ,
2.3

188

226

215

511

:

2".

2C0

169
170

18
18
16
19
17

2 71
211i
230
238 185
231:
236
2^1 - 235 2 0 0
228
236 181 23
261
291 220 20
228 175 22
237
21:5 196 •21
2 i o . 237 . 196
15
232
250 188 21

16
18
19
15
19
17
18
15
1-U
15
20
23
18
19
20 . 21
19
22
Hi
15
19
15

50
50
h6
50
1:3
hh
57
1:6
53
52
51
55

1:3 •
a
U6
u6 •
1:2
liO
52
1:7
5h
50
1:9
U3 ,

51
18
.52
li5 hi
62
52
58
51

''I
-262

' 209

227

236

185

20

17 . 19

51 • .' 2.6

, 53

Collections during month as percentage cf accounts receivable at beginning of
-•

—i'r.ess asxa ar.e eased on reports of about h75 large department stores reporting sales c-y type of transaction. more than hCO having charge accounts and
about 300 having instalment accounts. Back figures may be obtained on request from the Division of Research and Statistics.