Fed: Total Consumer Borrowing Grows in September

Category: Auto Financing Published: Tuesday, 11 November 2014 Written by test

Consumer borrowing increased by $15.9 billion to approximately $3.28 trillion in September, according to the Federal Reserve's monthly report on auto and student loans and credit card debt.

Nonrevolving credit for auto and student loans increased by $14.5 billion to approximately $2.39 trillion in September, while revolving credit, which includes credit cards, increased from $880.3 billion to $881.8 billion.

The increase comes after a $201 million decline in revolving credit in August, according to Bloomberg. Non-revolving credit increased $14.2 billion in August compared to the $14.5 billion jump in September, according to the article.

Economists estimated that total consumer borrowing would increase between $12 billion to $22 billion, making the median of $16 billion close to the results for September, it notes.

The news of the increase in total consumer borrowing comes at the same time the US Bureau of Labor Statistics reported the addition of 214,000 jobs in October and a 5.8 percent reduction in the unemployment rate.

Since the beginning of the year, the unemployment rate and the number of unemployed persons have declined by 0.8 percent and 1.2 million, respectively, according to the bureau.

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