U.S. Consumer Credit Climbs More Than Expected In July



U.S. Consumer Credit Climbs More Than Expected In July

Consumer credit in the U.S. increased by more than anticipated in the month of July, according to a report released by the Federal Reserve on Friday.

The Fed said consumer credit jumped by $18.5 billion in July after rising by a downwardly revised $11.8 billion in June.

Economists had expected consumer credit to climb by $15.1 billion compared to the $12.4 billion increase originally reported for the previous month.

The bigger than expected increase in consumer credit came as non-revolving credit such as student loans and car loans surged up by $15.8 billion in July after climbing by $7.1 billion in June.

Revolving credit, which largely reflects credit card debt, edged up by a more modest $2.6 billion in July after rising by $4.7 billion in the previous month.

The Fed said consumer credit increased by an annual rate of 5.9 percent in July, as revolving and non-revolving credit rose by 3.2 percent and 6.9 percent, respectively.

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