As per latest official figures released, the US consumer credit dropped in September, making it the eight consecutive month to record a fall. This has been the longest series of such declines, a result of the fact that thousands of Americans lost their jobs and banks tightened access to loans.

According to figures made public by the Federal Reserve report, there was a fall in borrowing, much more than predicted by economists, of $14.8 Billion, or 7.2%, at an yearly rate. The figure now stood at $2.46 Trillion. In addition, credit also slipped by $9.86 Billion for the month of August.

Every since the records began in 1943, these were the highest recorded consecutive declines. "This is truly an ugly report in what it portends for consumer spending", said Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York.

"If consumers are indeed the key to recovery, this economic expansion from the recession could be the weakest and most jobless one yet". Despite that the fact that the economy is showing signs of recovery and growth has been recorded, there is still a large unemployment problem which has led to this recorded fall in consumer credit. Authorities are now looking to combat this problem, while expecting the economy to stabilize.