WASHINGTON—Total consumer credit rose 7.9% in February, at a seasonally-adjusted, annualized rate and is unchanged versus a year ago. Revolving credit, which is primarily credit cards, rose 10% during the month but is down 11.2% compared to February 2020.
Non-revolving credit – primarily auto and education loans – rose 3.7% in February and is up 4.3% over the year.
"The economic situation continues to improve and the post-COVID economic boom is within sight," said Curt Long, NAFCU's chief economist and vice president of research. "In the Federal Reserve’s fourth quarter Senior Loan Office Survey, a net 13% of loan officers reported easing lending standards for credit cards, while a ‘moderate net share of larger banks reported stronger demand.’ NAFCU expects consumer credit to continue to expand briskly as consumer sentiment is strong and the jobs market is rapidly improving."
Total consumer credit for credit unions rose 0.4% over the month, representing a 1.7% rise from a year prior. Consumer credit at banks declined 5.1% over the year, while financial companies saw a 5.1% rise.
Over the past 12 months, credit unions' share of the market has risen 0.2 percentage points to 11.8%. Meanwhile, banks' share fell 1.2 percentage points to 39.5%, and financial companies' share has risen 0.7 percentage points to 13.4%.