Consumer Credit Continues Growth In December

Consumer credit increased at a seasonally adjusted annual rate of 6.6% in the fourth quarter and 5.1 percent in December. Total outstanding credit increased $18.9 billion during the month to $4.431 trillion.

Revolving credit, largely a reflection of credit card debt, increased at an annual rate of 6.6% to $1.038 trillion, following a 5.6 percent increase in November. Non-revolving credit rose at a 5.7% annual rate, and total non-revolving credit is now $4.431 trillion.

Federal government holdings of student loans continue to be the largest portion of non-revolving credit, comprising 42.4% of outstanding credit. Depository institutions and finance companies are secondary and tertiary holders, with 26.0% and 16.7%, respectively, of outstanding non-revolving credit.

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