Debt Grows at Slowest Rate in 8 Months

U.S. consumer debt grew in August at the slowest rate in eight months, dragged down by the smallest increase in auto loans in more than three years, the Federal Reserve said.

Personal borrowing, excluding mortgages, rose at a 2.9% annual rate, or $4.2 billion, in August, the Fed said. Nonrevolving loans, including those for auto purchases, rose in August at the slowest rate since June 1999.

The rise in total borrowing was the smallest since a 2.8% increase in December. Consumer confidence has slipped for four straight months, reflecting weak job growth and the declining stock market.