WASHINGTON–The Federal Reserve’s Senior Loan Officer Opinion Survey (SLOOS) for January has found tighter standards and weaker demand for commercial and industrial (C&I) loans to borrowers of all sizes during Q4.
The SLOOS further found tighter standards and weaker demand for all commercial real estate (CRE) loan categories.
The SLOOS probes for changes in the standards and terms on, and demand for, bank loans to businesses and households over the previous three months.
Additional Findings
The new Fed report also found:
- With loans to households, banks reported lending standards tightened across all categories of residential real estate (RRE) loans other than government residential mortgages and government-sponsored enterprise (GSE)-eligible residential mortgages, for which standards remained basically unchanged, the report stated.
- Demand weakened for all RRE loan categories, with banks reporting tighter standards and weaker demand for home equity lines of credit (HELOCs).
- Credit card, auto, and other consumer loans, standards reportedly tightened, and demand weakened on balance, the survey found.
The Fed Analysis
“While banks, on balance, reported having tightened lending standards further for most loan categories in the fourth quarter, lower net shares of banks reported tightening lending standards than in the third quarter across all loan categories,” the survey reported.
The full report can be found here.
The Ideal Gift For Yourself or a Loved One This Valentine’s Day!
The biggest, best and freshest news reporting in credit unions remains free! Each morning CUToday.info delivers its daily Fresh Today news update offering the latest headlines and breaking news right to your email, with the easy-to-read headlines format allowing you to click on the stories that interest you most in order to learn more. So stop paying those bank-fee-like subscription prices from other so-called “news” publications!
If you haven’t yet signed up for the new email solution on which CUToday.info has partnered with ResponseGenius, you can do so here. Signing up requires less than one minute of your time—and it’s free!
Please note that after signing up you may need to go to your Spam/Junk folder and mark the morning headlines email as safe. CUToday.info does not provide its list of readers and emails to outside parties, and we will not be contacting you to sell you an extended warranty or sending you any links so you may cash in on an inheritance you didn’t know was coming.
And did we mention it’s free?