Consumer Credit Growth Slowed in December

Consumer credit increased at a seasonally adjusted annual rate of 4.5% in December, down from an 8.1% rate in November. Total outstanding credit increased $14.2 billion during the month (compared with $25.2 billion in November) to $3.76 trillion.

Revolving credit rose at an annual rate of 2.9% to $995.5 billion, compared to a large 14.4% increase in November. Non-revolving credit rose at a 5.1% annual rate, or $11.8 billion, compared to November’s rate of $13.4 billion. Total non-revolving credit is now $2.77 trillion.

Federal government holdings of student loans continue to be the largest portion of non-revolving credit, comprising approximately 38% of outstanding credit. Depository institutions and finance companies are secondary and tertiary holders, with 25% and 22%, respectively, of outstanding non-revolving credit.

Read the Fed release.

About Jack McCabe

Jack McCabe is a research associate in the Economic Policy and Research group at the ABA.
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