Consumers Borrow More in July for Transportation

Washington, DC, Sept. 9, 2011 -- Consumer borrowing hit a three-year high in July, mostly due to increased purchases of cars and trucks, the Federal Reserve said.

Consumer borrowing rose nearly $12 billion in July, according to the Fed report.

However, credit card use declined in July after significant increases the previous two months.

Total consumer borrowing increased to a seasonally adjusted annual level of $2.45 trillion. That's 2 percent above the four-year low reached in September.

The category that measures auto loans rose in July by the most in more than six years.

The Federal Reserve's borrowing report includes auto loans, student loans and credit cards. It excludes mortgages and loans tied to real estate.