CC charge-offs at Chase/WaMu +10%...In other words...

We will have to find new revenue streams...Squeeze the merchant!

Retail banking reported net income of $970 million, up from $674 million in the period a year earlier, while losses in the consumer lending businesses ballooned to $955 million, from a net loss of $171 million a year earlier, amid mounting unemployment. Card services, meanwhile, posted a $672 million loss, compared with a year-earlier profit of $250 million, as more cardholders default and revenue falls with the introduction of new rules designed to protect consumers.

The bank said in a presentation on its Web site that losses at Chase’s card services unit could reach 10 percent this year, while losses on Washington Mutual’s card portfolio would near 24 percent by the end of 2009.

Mr. Dimon said on a conference call with journalists that the credit card business was unlikely to be profitable in 2009 or 2010.

from the NYTimes article: http://tinyurl.com/narlxo