The Federal Reserve reported that consumer credit grew at annual rate of 3.8% in February to almost $2.42 trillion, driven by growth in nonrevolving credit, which continued to outpace a contraction in revolving credit. This was the fifth consecutive monthly increase in total consumer credit.
Revolving credit fell in February for the second month in a row, after posting its first monthly increase in December 2010. In 28 of the last 30 months, outstanding revolving credit has declined.
In February, revolving credit contracted by 4.1% (annualized rate) to $794.0 billion. Revolving credit remains at its lowest level since Fall 2004.
Nonrevolving credit grew at an annual rate of 7.7% in February. This was the seventh consecutive monthly increase in nonrevolving consumer debt.
Read the G. 19 report.