Advertisement
YOU ARE HERE: LAT HomeCollectionsConsumer Credit
IN THE NEWS

Consumer Credit

BUSINESS
January 9, 2008 | From the Associated Press
Consumer borrowing rose again in November as credit card debt shot up by the largest amount in six months. The Federal Reserve reported Tuesday that consumer borrowing climbed at an annual rate of 7.4% in November, far higher than the 1% rise in October. The category that includes credit card debt surged at an annual rate of 11.3%, a six-month high, an indication that shoppers were relying heavily on credit cards to finance purchases since home equity lines of credit became harder to get.
Advertisement
BUSINESS
December 25, 2007 | From the Associated Press
Americans are falling behind on their credit card payments at an alarming rate, sending delinquencies and defaults surging by double-digit percentages in the last year and prompting warnings of worse to come. An Associated Press analysis of financial data from the country's largest card issuers also found that the greatest rise was among accounts more than 90 days in arrears.
BUSINESS
December 8, 2007 | From Reuters
U.S. loans for big-ticket items like cars fell in October for a second consecutive month, according to a Federal Reserve report Friday that suggested tighter lending conditions in the wake of a global credit crunch. It was the first back-to-back decline for this type of loan since 1992. Nonrevolving credit, which includes closed-end loans for big-ticket items such as cars, boats, college educations and holidays, declined by $1.64 billion, or 1.26%, to $1.561 trillion, the Fed said.
BUSINESS
November 14, 2007 | From Bloomberg News
Laurence Fink, who helped create the market for mortgage-backed securities, said the credit losses that had cost banks and securities firms $45 billion were about to get worse. Fink, chief executive of New York-based fund manager BlackRock Inc., said Tuesday at an investor conference that "many institutions don't understand what the credit crunch is going to do to earnings and their balance sheet." Financial stocks rallied Tuesday after Goldman Sachs Group Inc.
BUSINESS
November 8, 2007 | From Times Wire Services
U.S. consumer borrowing in September rose the least in five months as Americans purchased fewer cars, boats, computers and other big-ticket items using nonrevolving credit. Consumer credit increased a less-than-forecast $3.7 billion for the month to $2.48 trillion, the Federal Reserve said. In August, credit rose $15.4 billion, 26% more than previously estimated. The report doesn't cover borrowing secured by real estate, such as home equity loans.
BUSINESS
October 6, 2007 | From Times Wire Services
Consumers have boosted their borrowing at the fastest pace in three months, turning increasingly to their credit cards to replace home equity loans as a source of ready cash. The Federal Reserve reported that consumer credit rose at an annual rate of 5.9% in August, the biggest increase since May, when it jumped 7.9%.
BUSINESS
September 14, 2007 | From the Associated Press
Even the maestro didn't see it coming. Former Federal Reserve Chairman Alan Greenspan has acknowledged that he failed to recognize early on that an explosion of sub-prime mortgages to people with questionable credit histories or low incomes could pose a danger to the economy. In an interview, Greenspan said he was aware of lending practices in which home buyers got very low initial rates only to see them jacked up later, causing payment shock in some cases.
BUSINESS
September 11, 2007 | From Times Wire Services
U.S. consumer borrowing increased less in July than a month earlier as Americans took out fewer auto loans. Consumer credit increased $7.5 billion during the month to $2.46 trillion, the Federal Reserve said. In June, credit rose $11.9 billion, less than previously reported. The figures don't include mortgage debt. Auto sales slumped to a two-year low in July, capping the weakest quarter of consumer spending since the last three months of 2005.
BUSINESS
September 1, 2007 | Peter G. Gosselin, Times Staff Writer
Hoping to calm turbulence in the financial markets, President Bush and Federal Reserve Chairman Ben S. Bernanke took separate steps Friday to ease the credit crunch that has socked investors and dried up access to home loans for millions of Americans. In their remarks the two leaders displayed a painful recognition that the credit crisis -- triggered by a wave of defaults on sub-prime mortgages -- had ballooned beyond anything they had anticipated.
BUSINESS
August 29, 2007 | From Times Wire Services
With more Americans filing for bankruptcy protection after last year's hiatus, credit card default rates are soaring. According to data from Moody's Investors Service, credit card companies wrote off 4.58% of payments from January to May, up nearly 30% from the same period in 2006.
Los Angeles Times Articles
|