Secret Site Map
Thursday, April 17, 2014

Home News Banks Ease Small Business Lending Standards

Banks Ease Small Business Lending Standards

Business

Banks have eased lending standards for small businesses for the first time in nearly four years, the Federal Reserve said Monday.

| August 17, 2010

Banks have eased lending standards for small businesses for the first time in nearly four years, the Federal Reserve said Monday. Separately, financial firms said consumers continue to better manage their credit card payments, with fewer customers defaulting or making late payments.

In its new survey of bank lending practices, the Fed found that the loosening of loan standards was occurring primarily at the country's largest domestic banks.

Banks had been reporting relaxed credit standards for big corporations. But the new survey marked the first indication that credit was beginning to ease for smaller companies.

That could be welcome news for small businesses. Many have complained since the recession hit that they were having more trouble borrowing money to keep operating.

The Fed said it was the first time it had found relaxed lending standards being imposed on small businesses since late 2006. The Fed defined small firms as those with annual sales of less than $50 million.

The Fed's latest quarterly report on lending was based on responses received to a survey done in late July. It found that the most improvement came in loan areas where banks were facing competition to offer credit. The survey found that the easing of standards was concentrated at large domestic banks. Most banks were still reporting lackluster demand for credit.

Click here to read the entire article.

Source: NPR



 

Top news

More Mazdas Recalled Due to Spider Problem

The latest recall involves 42,000 Mazda6 midsize sedans from the 2010-12 model years, and equipped with the 2.5-liter, four-cylinder engine.

Photos: Bed Bugs vs. Bat Bugs

Additional photos from Dr. Michael Potter for the August PCT feature 'Holy Cow...Bat Bugs and Bird Bugs.'

Win a Copy of the New PCT Commercial Pest Management Book

Enter your name for a chance to win a copy of this new industry resource focused on treating a variety of commercial accounts.

Allgood Announces Corporate Promotions; Acquisition of Rich Exterminators

The company’s promotions are part of its strategic growth plans. Rich Exterminators is a Lawrenceville, Ga.-based company founded by Howard Rich in 1989.

A Look at Bed Bug Look-Alikes

The IPM Institute of North America has a review of five commonly encountered pests, including bat bugs (pictured), that can be misidentified as bed bugs.