Tighter lending standards for commercial and industrial (C&I) loans were prevalent in the year’s third quarter, while loan standards for households were largely unchanged, the Federal Reserve said Monday.
Demand was up for the C&I loans, the agency said, from large and middle-market firms and basically unchanged demand from small firms. For households, standards remained basically unchanged for credit card and other consumer loans and eased for auto loans, the Fed said. Demand remained basically unchanged for credit card and other consumer loans and weakened for auto loans.
The standards and demand were reported on the Fed’s quarterly Senior Loan Officer Opinion Survey (SLOOS). The survey covered up to 80 large domestic banks and 24 U.S. branches and agencies of foreign banks. The survey addressed changes in the standards and terms on, and demand for, bank loans to businesses and households over the past three months, which the Fed said generally correspond to the third quarter of 2025.
The agency said that banks also reported generally unchanged standards and demand for most commercial real estate (CRE) loan categories.
For real estate loans to households, banks reported basically unchanged lending standards and stronger demand for residential mortgage loans and home equity lines of credit (HELOCs) on balance, according to the survey results.
Senior Loan Officer Opinion Survey on Bank Lending Practices
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