Total consumer credit rose 8.5 percent in August, according to a recent report by the National Association of Federal Credit Unions (NAFCU).
Additionally, the credit unions’ share of the total consumer credit market rose to 10.1 percent.
The report said credit unions’ market share went up 9.6 percent from a year ago and credit unions’ portfolio of consumer credit rose by 1.9 percent from the previous month. Further, outstanding consumer credit at banks and financial institutions rose by 1.2 percent and 0.7 percent during the month of August. In the second quarter, total consumer credit at credit unions increased by 3.7 percent, while banks rose by 2.9 percent and financial companies decreased by 0.3 percent.
Additional data in the report includes findings by the Federal Reserve that non-revolving credit increased by nine percent, which is the fastest growth pace over the past year. Revolving credit, like credit cards, increased by seven percent.
“Looking ahead, non-revolving loan growth may slow as vehicle sales appear to have plateaued,” Curt Long, chief economist and director of research for NAFCU, said. “However, low interest rates, a strong stock market and cheap gas prices should support further credit growth for the rest of 2016.”