WASHINGTON — Large and midsize businesses continued to feel the squeeze over the last three months from nearly 55% of domestic banks, according to the Federal Reserve Board's April 2008 senior loan officer opinion survey on bank lending practices.
The data is based on responses from 56 domestic banks and 21 United States-based branches and agencies of foreign banks. The 55% increase is up from the nearly 30% reported in the Fed's January survey. Fifty percent of domestic banks reported tightening lending standards to smaller firms since January.
The vast majority of large domestic banks that reported stronger loan demand from large and middle-market firms indicated that customer borrowing shifted to their banks from other bank or nonbank sources, as these other sources became less attractive for such borrowers, the survey showed. This is in contrast to some credit union and CUSO executives who have recently indicated that small business owners have come to them for financing needs after being turned down by banks.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
- Exclusive discounts on ALM and CU Times events.
- Access to other award-winning ALM websites including Law.com and GlobeSt.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
