WASHINGTON (AP) – Consumers increased their borrowing in June but at the slowest pace in 17 months as borrowing for auto and student loans grew at the weakest pace in nearly five years.
The Federal Reserve says that total borrowing rose by $12.3 billion in June, down sharply from an increase of $17.9 billion in May. That was the smallest monthly gain since January 2015.
The slowdown in borrowing came from a big decrease in the growth of auto and student loans, which rose by just $4.6 billion in June, the weakest monthly performance since this loan category declined in August 2011. The category that covers credit cards rose by $7.7 billion in June, up from an increase of $1.8 billion in May and the largest monthly gain in this category since March.