• No change in overall consumer credit demand decline. Trend continues with decline in credit cards and personal loan growth remains steady. Mortgage demand continues to decline.

No change in overall consumer credit demand decline. Trend continues with decline in credit cards and personal loan growth remains steady. Mortgage demand continues to decline.

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  • Overall consumer credit applications fell -4.1% (vs December qtr 2017)
    • Credit card applications have declined significantly at -12.2% (vs December qtr 2017)
    • Personal loan applications rose slightly, up by +2.5% (vs December qtr 2017)
  • Mortgage applications fell for the seventh consecutive quarter, down -15.6% (vs December qtr 2017)

Consumer Credit Demand Index by Equifax, December Quarter 2018

NOTE
Historically, movements in Equifax mortgage application demand data has led movements in house prices by around six to nine months. Mortgage applications are not part of the Consumer Credit Demand Index, but are a good indicator of home buyer demand, and an excellent indicator of housing turnover.

Note to Editors
The Quarterly Consumer Credit Demand Index by Equifax measures the volume of credit card and personal loan applications that go through the Consumer Credit Bureau by financial services credit providers in Australia. Credit applications represent an intention by consumers to acquire credit and in turn spend; therefore, the index is a lead indicator. This differs to other market measures published by the RBA which measure credit provided by financial institutions (i.e. balances outstanding).

Purpose of Equifax media releases
The information in this release is general in nature, is not intended to provide guidance or commentary as to the financial position of Equifax and does not constitute legal, accounting or other financial advice. To the extent permitted by law, Equifax provides no representations, undertakings or warranties concerning the accuracy, completeness or up-to-date nature of the information provided, and specifically excludes all liability or responsibility for any loss or damage arising out of reliance on information in this release
including any consequential or indirect loss, loss of profit, loss of revenue or loss of business opportunity.