7.27.21
On July 27, the Consumer Financial Protection Bureau (CFPB) published an issue brief reflecting that by May 2021 consumer applications for auto loans, new mortgages and credit cards had mostly returned to pre-pandemic levels. The CFPB highlights a general increase in credit applications, which they directly attribute to support from stimulus payments. Key findings show that for borrowers with super prime and subprime credit scores, applications are down for all types of credit but mortgages. Overall, after an initial drop, applications for new mortgages were above their usual levels in pre-pandemic years, which comes to no surprise with skyrocketing consumer demand for homes throughout the pandemic.