Fed Says Banks Eased Standards; Demand Little Changed

Discussion in 'Wall St. News' started by ASusilovic, Aug 16, 2010.

  1. Aug. 16 (Bloomberg) -- Banks in the U.S. eased standards and terms on loans in the second quarter, even as demand for business and consumer credit was little changed at the majority of lenders, according to a Federal Reserve survey.

    Respondents to the Fed’s quarterly survey of senior loan officers, released today in Washington, reported easing standards and most terms on lending to businesses of all sizes.

    The Fed described the change as “a modest unwinding of the widespread tightening that occurred over the past few years.” It was the first survey since late 2006 that showed a loosening of standards on small business loans.