U.S. consumer debt grew in February by the most in seven months with a rise in non-revolving loans, prior to the coronavirus pandemic.
Federal Reserve figures showed a $22.3 billion increase in total credit from the prior month. Non-revolving debt, which includes auto and school loans, rose by $18.1 billion — the most since 2015 — while revolving or credit-card debt was up $4.2 billion.
The pandemic has quickly spawned financial hardships for many in the US. Uncertain incomes means that consumers are likely to begin to cut back on purchases and borrow less.
Household credit has been expanding over the past few years at about the same pace as it was prior to the 2007-2009 recession.
