Borrowing is reborn in the form of a mortgage application, the credit card breaks a record

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Americans are borrowing again, and in some cases, borrowing at levels not seen in over a decade.

According to the Equifax Inc credit bureau, consumer demand for auto loans and leasing, general-purpose credit cards and personal loans increased 39% year-over-year in April. It was also up 11% from April 2019. According to Equifax, we measured how often lenders check consumer credit reports to make lending decisions.

The lenders meet at this time. According to Equifax, lenders extended a record number of mortgages and leases in March, the latest month for which data is available. They also increased credit card issuance and issued more general purpose credit cards than any March on record. Equifax data goes back to 2010.

This is a significant reversal since 2020, when many people avoided credit cards, personal loans, and other types of debt. Some have not had to borrow because of stimulating checks, rising unemployment benefits and soaring stock markets that have filled their checking accounts. But many didn’t want to spend any money when they feared being made redundant, and others were stuck in their homes with nothing to buy.

However, as vaccines become readily available in the United States and the economy picks up, many Americans are jumping into cars, vacations, and restaurants. Rising prices for cars and trucks, in particular, also boosted demand for loans.

Borrowing is reborn in the form of a mortgage loan application, the credit card breaks a record

Source link Borrowing renews mortgage application, credit card breaks record


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