Customers who deal with Capital One Financial Corporation are improving their habits with credit card payments according to company figures. March saw late payments and credit card defaults fall to a record low that the bank hasn’t seen in over two years.

The annualized rate of U.S. credit card payments in March that were late by 30 days or more fell to 3.59 percent. This is down from February’s rate of 3.83 percent.

During March of 2010, Capital One’s rate of late payments was 5.3 percent.

Uncollectible balances or charge-offs fell to 248 million dollars or 5.87 percent.  This is down from February’s figures of 256 million dollars or 5.91 percent. The number peaked to 10.87 percent a year ago. Banks usually rule on uncollectible balances after there isn’t a payment for 180 days.

In 2010 according to the Federal Reserve during the 2nd quarter the charge-off rate peak at 10.9% of balances. During the fourth quarter of 2010 the same charge-off rate had dropped 7.7 percent. Two years before the recession, the charge-off rate averaged 3.82 percent.

More credit card users are finally getting a hold on their credit card debt. Over the past year late payments and defaults have declined as well as outstanding balances. In February, credit card debt fell 794.03 billion dollars. This was the lowest figure seen since September 2004 according to Federal data.

Capital One announced that its charge-off rate on international accounts in March was up 6.07 percent. This was up from February’s 5.42 percent. Late payments on international credit card accounts were down 5.55 percent during March.  This is down from February figures that saw 5.79 percent.