Are banks lending money?
Banks are continuing to lend money. Even during our economic hardships with businesses reducing their borrowing, banks have continued to lend. In fact, during the latter part of 2008 business loans expanded by 12 percent and consumer loans by 9 percent. Generally speaking, when economic conditions are robust, banks extend credit more freely, and when economic conditions are poor, banks extend credit less freely. People with a good credit history will continue to have access to mortgage, credit card and other types of loans. Appropriately, many banks are taking steps to limit risk in the current economic environment, so they have tightened lending standards. That’s why it’s important to monitor your credit report and maintain a good credit history.
