U.S. consumer debt outstanding fell a record $8.7 billion in November, the Federal Reserve said Friday in a report showing a sharp drop in credit and charge card activity.
The monthly decline — the largest since the data series was started in January 1943 — defied Wall Street expectations of a $6.0 billion increase in consumer credit.
Total consumer debt outstanding fell 5 percent to a seasonally adjusted $2.085 trillion in November. Much of the decrease was due to a $7.2 billion fall in revolving credit, which includes credit and charge cards.
Non-revolving credit — which includes closed-end loans for cars, tuition, boats, vacations and other items — fell a more modest $1.5 billion.
October's consumer credit data was revised higher to a $9.6 billion rise, from its originally reported $7.7 billion rise.
