Overall credit card debt fell for the first time this year during the month of March, according to data released yesterday by the Federal Reserve.
Revolving credit, made up mostly of credit card debt, decreased in March at an annual rate of 2.4 percent. It now totals $846.2 billion, a decrease of $1.71 billion from February.
The drop in credit card debt appeared to be the result of slower-than-anticipated consumer spending. Cardholders may be showing concerns about taking on more debt at a time when their payroll taxes are increasing.
Non-revolving debt, including automobile and student loans, increased $9.68 billion to $1.96 trillion. This was an annualized increase of 5.9 percent.