Skip to main content

Consumer Credit Jumps to Seven-Month High in May

Submitted by jhartgen@abi.org on

Consumer credit expanded in May at the fastest rate in seven months, in what could be a sign that strong levels of confidence will lead to growth in consumption, MarketWatch.com reported yesterday. U.S. consumer credit rose at a seasonally adjusted annual rate of 5.8 percent, for growth of $18.4 billion, in May, the Federal Reserve said yesterday. Revolving credit like credit cards jumped 8.7 percent. Nonrevolving credit, typically auto and student loans, increased 4.7 percent. The monthly growth of consumer credit often seesaws, but the first quarter’s 4.8 percent growth was the slowest quarterly expansion in more than six years.