Tight credit is throttling consumer spending, U.S. Fed says via Reuters

Bankers' reluctance to lend to people with less-than-pristine credit histories is restraining the U.S. economic recovery by holding back consumer borrowing and spending, new research from the San Francisco Federal Reserve Bank shows.

The study, published on Monday in the regional Fed bank's Economic Letter, adds to evidence that tighter credit, not just consumers' reluctance to pile on more debt, is impeding household spending.

Read more...Tight credit is throttling consumer spending, U.S. Fed says | Reuters