Have Credit Card Defaults Peaked?

The government just announced that we have a 10% unemployment rate and recovery seems to be sluggish at best. Yet, analysts over at Bank of American think that losses from credit cards have reached their peak, mainly due to a slight drop of the charge off rate in September. However...:

Most U.S. credit card companies reported defaults fell in September from record highs as consumers used tax refunds and other economic stimulus proceeds to lower debts, but late payments rose, suggesting more troubles ahead in an already battered industry.

Most sectors are talking about the worst being over these days, but I'm not sure if that applies to the credit card industry. If the unemployment rate starts to decline within the next couple of months we might see an improvement in the industry, but if high unemployment persists it'll be a whole different story.

Source: ABC News