After falling in March, consumer borrowing increased by $1 billion in April, the Federal Reserve announced Monday, June 7. U.S. consumer credit excluding real estate loans stood at $2.44 trillion for the month, a 0.5% annualized growth rate.
Revolving credit, which includes credit cards, decreased at an annual rate of 12%, or $8.5 billion, to $838 billion. However, non-revolving credit, which includes student and auto loans, increased at an annual rate of 7%, or $9.4 billion.
The report is in line with what Briggs Matsko, a registered representative with California Fringe Benefit, a subsidiary of Lincoln Financial Advisors, is seeing from his clients. Matsko, who manages $300 million in assets, says he’s noticed a change in behavior over the last three to six months.