U.S. consumer credit jumps 7.8 percent in February

Source: Xinhua Net

WASHINGTON, April 5 (Xinhua) -- U.S. consumer credit grew at an annual rate of 7.8 percent in February, indicating expanding consumer spending and ongoing economic recovery, the U.S. Federal Reserve reported on Friday.

Total consumer borrowing rose from a revised 2.7809 trillion U. S. dollars in January to a record 2.7991 trillion dollars in February, the central bank said in a report.

Revolving debt, which includes credit cards, edged up at an annual rate of 0.8 percent to 848 billion dollars in February.

In February, borrowing in the non-revolving category that includes auto and students loans, surged at an annual rate of 10.9 percent to 1.9511 trillion dollars.

Consumer spending, which accounts for about 70 percent of the overall U.S. economic activity, is seen as a major engine driving the U.S. economic growth. An increase in consumer credit indicates that consumers have boosted their spending.