Lending Insights: Loan Demand Rebounds but Challenges Persist
As the nation continues to recover from the recession of 2006–2009, the demand for loans has started to increase, though the landscape has changed a bit. The types of loans consumers anticipate using is shifting from cars and mortgage refinance – both of which dominated during the recovery – to credit cards, equities and purchase mortgages. And while consumers’ desire and ability to borrow is increasing, factors such as an uneven housing recovery and student loan debt may lessen their actual capacity to borrow.
Raddon’s 52-page Baseline Loans Study highlights the emerging loan opportunities – and the persisting challenges – for financial institutions as the populace senses improved conditions, demonstrates greater optimism and displays a hopeful desire to finally emerge from its protracted stage of personal and financial idleness.