Figure 9. Change in unused bank loan commitments to businesses and households, 1990-2008.
Data are plotted as curves. The change in total unused bank loan commitments begins in 1990 at about 20 percent, at an annual rate, drops to negative 2 percent in the third quarter of 1990, then rebounds to just more than 1 percent by the end of the year. From 1991 through 1993, the change in total unused commitments trends up, on balance, reaching a peak of almost 27 percent in the first quarter of 1995. It trends down, falling to negative 3 percent in the second quarter of 1999, moves up to about 18 percent by the third quarter of 2000, down about 1 percent by the first quarter of 2002, moves within a range of about 3 to 9 percent, then drops to negative 8 percent by year-end 2003, moves within a range of 2 to 12 percent in 2004, then drops to negative 5 percent in the first quarter of 2005. The change in total unused bank loan commitments then moves in a range of about 9 to 16 percent until year-end 2007, when it drops to near zero, continues to fall to negative 3 percent in the first quarter of 2008, and then falls sharply to negative 32 percent by year-end 2008. The change in unused bank loan commitments for commercial real estate, construction, and land development loans begins in 1990 at negative 66 percent, trends mostly upward, but remains negative, with the exception of the first quarter of 1991 and the third quarter of 1992 until the beginning of 1993. It peaks in the first quarter of 1994 at about 39 percent, then begins to move downward again, bottoming at negative 4 percent in the first quarter of 1995. It then moves within a range of 7 to 27 percent until falling below zero in the middle of 1999. The change in unused bank loan commitments for commercial real estate, construction, and land development loans moves within a broad range of negative 13 percent to 22 percent until the beginning of 2004, then it moves sharply up to a peak of 43 percent at the end of 2004, falls to 18 percent by the beginning of 2005, increases to 37 percent in the second quarter of 2005, and then begins to trend downward, becoming negative in the third quarter of 2007 and ending 2008 at negative 56 percent.
NOTE: The data, which are quarterly, begin in 1990:Q2 and are not seasonally adjusted. The total consists of unused commitments relating to credit card lines; revolving, open-end lines secured by one- to four-family residential properties; commercial real estate, construction, and land development loans; securities underwriting; and "other."
