Consumer credit surged $18.1B in July—well above the $11.3B estimate. Most of it was non-revolving (auto loans, student debt). People are still borrowing heavily, even as rates stay elevated.
This isn't necessarily strength. It could be necessity. When credit grows faster than income, it's often a sign households are stretching. Watch the defaults.
This isn't necessarily strength. It could be necessity. When credit grows faster than income, it's often a sign households are stretching. Watch the defaults.
