Consumers Boost Installment Debt

Americans’ installment debt grew in February at the fastest pace in eight months as each of the major categories of consumer credit posted sharp gains.

The Federal Reserve said Friday that consumer installment credit shot up 13.9 percent at an annual rate, steepest since rising 14.4 percent last June. The $12 billion increase was the biggest since a $12.8 billion advance last May.

The increase boosted total consumer debt to $1.048 trillion, 14 percent higher than in February 1995. Many analysts had expected debt to grow just $10 billion, down from $10.9 billion in January, when credit rose at a 12.7 percent rate.