U.S. Consumer Credit Grows 7.9% In February

U.S. consumer borrowing posted growth in February after remaining flat in the previous month, according to data released by the Federal Reserve.

• Consumer credit grew by 7.9% in February, versus flat in January and 2.6% in December 2020.
• Total credit rose to $4.2058 trillion from $4.178 trillion the previous month. Year-on-year, revolving credit climbed 10.1% to $974.4 billion, while non revolving credit rose 7.3% to $3.231 trillion.
• Lending by the federal government rose $5.7 billion to $1.409 trillion from $1.404 trillion in January. This includes student loans, as well as loans for the Federal Family Education Program.
• Lending of depository institutions, finance companies, and credit unions rose for the month; nonfinancial business flat; while nonprofit and educational institutions fell.
• In terms of credit holdings, depository institutions accounted for the most, followed by the federal government, finance companies, credit unions, nonfinancial business, and nonprofit and education institutions.