WASHINGTON — Consumers, fortified by the government’s stimulus checks, boosted their borrowing in June at the fastest pace in seven months.
The Federal Reserve reported Thursday that consumer credit increased at a brisk annual rate of 6.7 percent in June. That was up from a 3.8 percent growth rate in May and was the biggest increase since November, when borrowing grew at an 8.2 percent pace.
Consumer debt rose by $14 billion in June from the previous month to $2.59 trillion. That was more than the $6.4 billion month-over- month increase economists were forecasting.
Demand for nonrevolving credit used to finance cars, vacations, education and other things rose at a rate of 6.6 percent in June, up from May’s 1.5 percent pace.
Meanwhile, consumers’ appetite for revolving credit, which is primarily credit cards, increased at a rate of 6.8 percent in June, a moderation from a 7.6 percent growth rate logged in May.
