Consumer credit in the U.S. saw continued growth in the month of April, according to a report released by the Federal Reserve on Thursday, although the pace of growth fell short of economist estimates.
The report showed that consumer credit increased by $6.5 billion in April following a downwardly revised increase of $12.4 billion in March. Economists had expected credit to increase by about $12.0 billion compared to the $21.4 billion increase originally reported for the previous month.
The weaker than expected growth came as an increase in non-revolving credit was partly offset by a drop in revolving credit.
Non-revolving credit such as student loans and car loans rose by $10 billion, while revolving credit, which largely reflects credit card debt, fell by $3.4 billion.
The Fed said consumer credit increased at an annual rate of 3.1 percent in April, as a 7.1 percent increase in non-revolving credit more than offset a 4.8 percent drop in revolving credit.
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