IMGCAP(1)]
U.S. revolving credit, 98% of which is credit card debt, fell slightly in November, to $973.5 billion from $976.3 billion the previous month, according to a Federal Reserve G.19 report on consumer credit released yesterday. Total seasonally adjusted consumer credit outstanding, which includes revolving and nonrevolving credit, decreased at an annual rate of 3.7% in November to $2.57 trillion, the report says. "While some people are relying on credit cards to meet daily expenses like food and gas, many are being careful not to add new debt," James Chessen, chief economist at the American Bankers Association, said in a report regarding consumer credit delinquencies. The association reported earlier this week that credit card delinquencies fell 34 basis points during last year's third quarter, to 4.2% of total loans from 4.54% the previous quarter. "Reducing debt and building up cash reserves are good strategies right now," Chessen said.
