The Federal Reserve reported that U.S. consumer credit increased at a seasonally adjusted annual rate of 4.2% in August, slower than the pace of borrowing in July, which was revised down to 5.7%.

Total outstanding consumer credit rose by $13.1 billion in August after a revised $17.7 billion monthly increase in the previous month.

Revolving credit increased by $5.8 billion and non-revolving credit grew by $7.3 billion.

Revolving and non-revolving credit rose at an annual rate of 7% and 3.2%, respectively.