Credit, Economy and Financial News from TruckingFactor.com

Consumer Borrowing Drops Sharply in February

Consumer borrowing plunged in February, as Americans cut back their use of credit cards by a record amount amid the recession. The Federal Reserve said consumer borrowing fell at an annual rate of $7.48 billion in February, or 3.5%, from January. The decline was led by a record drop in borrowing on credit and charge cards, which fell at an annual rate of $7.8 billion, or 9.7%. That is the sharpest drop in dollar terms since federal records began in 1968. Auto and other loans in February rose at a slight $313 million annual rate, or 0.23%, the Fed reported.

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Date Last Updated: 04/08/2009