Washington: US consumer credit increased at an annual rate of 8 percent in May as consumers stepped up their borrowing, the US Federal Reserve reported.
Total consumer borrowing rose by USD 17.1 billion to USD 2.573 trillion in May, a much faster growth pace than the previous month, the central bank said in a report.
Revolving debt, the category which includes credit cards, jumped USD 8 billion to USD 870.2 billion in May. The borrowing in the non-revolving category that includes auto loans rose USD 9.1 billion to USD 1,702.6 billion, reported Xinhua.
Consumer spending, which accounts for about 70 percent of the overall US economic activity, is the major engine of US economic growth.
First Published: Tuesday, July 10, 2012, 21:30