WASHINGTON—U.S. consumers took out more auto and student loans in October, but cut back on credit card borrowing, a sign they remain cautious about spending amid a spike in virus cases, the Associated Press reported, citing Federal Reserve data.
Fed data show consumer borrowing rose 2.1% in October to $4.16 trillion, pushed higher by a 4.8% jump in a category mostly made up of student and auto loans. Credit card borrowing fell 6.7%.
“The figures suggest that consumers haven’t fully recovered from the pandemic recession. Outstanding balances on credit cards are still down nearly 11% compared with their level in February, before the pandemic intensified,” the AP stated.