Report Shows Consumers Ran Up Their Credit Cards During The Holidays

Revolving credit is showing life, up $5.8 billion in December following a $6.4 billion gain in November that suggests consumers, at least to a degree, ran up their credit cards during the holidays. Non-revolving credit rose sharply as usual, up $15.4 billion and reflecting gains for vehicle financing and student loans. Together, consumer credit rose a larger-than-expected $21.3 billion in December.

Recent History Of This Indicator:
Consumer credit is expected to rise $16.5 billion in December following a $14.0 billion gain in November that included a strong showing for revolving credit and which hinted at greater consumer willingness to take on credit-card debt. Nonrevolving credit, boosted by vehicle sales and also by student loans which are tracked in this report, made a smaller contribution in November, the lowest in nearly four years.