Most large banks have stopped tightening standards on a number of loan types, according to a new report from the Federal Reserve. But the central bank’s latest loan officer survey says that while it may not be getting tougherfor consumers to borrow, it’s not getting any easier yet either because financial institutions have yet to unwind the considerable contraction that has built up over the past two years.
Still, the pause in the stiffening might be seen as a hopeful sign for a financing world that’s been strained since 2007 – hopeful for pretty much every sector except commercial real estate, that is. That’s one of the only loan types where the majority of banks said they’d continued to tighten credit criteria.
“Banks’ policies on commercial real estate lending were an exception, as large net fractions of respondents further tightened their credit standards during the final quarter of last year,” the report said. “In addition, banks reported that they had tightened terms on [commercial real estate] loans substantially over the past year.”
continue
http://www.dsnews.com/articles/fed-r...ing-2010-02-02
Site Information
About Us
- RonPaulForums.com is an independent grassroots outfit not officially connected to Ron Paul but dedicated to his mission. For more information see our Mission Statement.
Connect With Us