October Senior Loan Officer Opinion Survey on Bank Lending Practices

Once a quarter the Federal Reserve surveys the senior loan officers of 73 domestic banks and 22 U.S. branches and agencies of foreign banks. Questions cover changes in the standards and terms of the banks’ lending and the state of business and household demand for loans.

The survey preamble was as follows. “The October 2013 Senior Loan Officer Opinion Survey on Bank Lending Practices addressed changes in the standards and terms on, and demand for, bank loans to businesses and households over the past three months. The survey also contained special questions about changes in banks’ lending standards on, and demand for, the three main types of commercial real estate (CRE) loans over the past year, and on the current levels of banks’ lending standards for many types of business and household loans relative to longer-term norms. In the October survey, domestic banks, on balance, reported having eased their lending standards and having experienced little change in loan demand, on average, over the past three months. The survey contained two sets of special questions. Motivated by the increase in long-term interest rates since the spring, the first set of questions asked banks to describe whether they had experienced changes in the volume of applications for residential mortgages and whether they had changed lending policies for new home-purchase loans. The second set of questions examined the standards and terms on subprime auto loans over the past 12 months.”