U.S. consumer credit unexpectedly recorded its largest decline in over a year

Due to a significant decrease in credit card debt balances, the outstanding consumer debt balance in the U.S. unexpectedly recorded the largest decline in over a year in November. According to data released by the Federal Reserve on Wednesday, total consumer credit decreased by $7.5 billion in November, revised from an increase of $17.3 billion in October. The median forecast from economists surveyed by Bloomberg was an increase of $10.5 billion. These figures are not adjusted for inflation. The outstanding balances of unpaid credit card and other revolving debts decreased by $13.7 billion, marking the largest decline since the onset of the pandemic, following a substantial increase the previous month. The Federal Reserve's report indicated that non-revolving credit, such as auto loans and tuition loans, increased by $6.2 billion in November