Consumer Credit Posts Highest Yearly Increase Since July 2017

The Federal Reserve’s latest G.19 Consumer Credit Report shows rising trends in consumer credit, excluding loans secured by real estate, through April 2019. As of April 30, 2019, consumer credit totaled $4.1 trillion on a seasonally adjusted basis, with $1.1 trillion in revolving debt1 and $3.0 trillion in nonrevolving debt2. The latest monthly year-over-year percentage increase of 5.3% in the outstanding debt is the greatest change that has occurred since July 2017, driven primarily by increases in nonrevolving debt.


The increase in nonrevolving debt is a good sign for sentiment of American consumers, as it signifies that they are confident in willing to make larger purchases, including houses. The Conference Board’s Consumer Confidence Survey indicated in its April 2019 report that 1.4% of its survey respondents planned to buy a new home in 6 months.


  1. According to the Federal Reserve’s G.19 Consumer Credit report, revolving credit plans, which are largely composed of credit card debt but also include home equity lines of credit (HELOCs), may be unsecured or secured by collateral and allow a consumer to borrow up to a prearranged limit and repay the debt in one or more installments.
  2. According to the Federal Reserve’s G.19 Consumer Credit report, nonrevolving credit is closed-end credit extended to consumers that is repaid on a prearranged repayment schedule and may be secured or unsecured.


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