That, of course, is the bankers' problem, not yours. In fact, the Fed survey shows key loan terms became more attractive this quarter, with maturities rising to an average of 165 days, from 156 days, on the smallest loans and with fewer loans subject to prepayment penalties. These banks were also less likely to demand collateral or a call provision. In any case, what makes the report so striking is that the Fed has been prodding lenders to tighten credit terms. But the figures tell a different story.
Banks are evidently more worried about competition and their bottom lines than regulators.