U.S. consumer borrowing increased less than forecast in November as outstanding balances on credit cards and other revolving debt declined by the most in eight months, Bloomberg News reported. Total credit rose $12.5 billion from the prior month, after a revised $19 billion gain in October that was the largest in three months, Federal Reserve figures showed yesterday. As businesses cut back on investment and manufacturing struggles, the nation's economy has become that much more dependent on consumers' willingness to spend. The report also showed non-revolving credit, which includes auto and student loans loans, increased $14.9 billion in November, the most in three months. Lending by the federal government, which is mainly for student loans, increased $2.1 billion before seasonal adjustment. Total credit expanded at an annual rate of 3.6 percent in November after growing 5.5 percent the month prior. The Fed's report doesn’t track debt secured by real estate, such as home mortgages.
