Flush with deposits and with high levels of capital, most banks seem willing and able to lend, a situation much different from the period following the 1990-91 recession.
The Fed's Senior Loan Officer Survey has found very little tendency toward tightening of loan standards for consumers, either in regard to residential mortgages or other types of consumer loans; and, as I have already discussed, the demand for mortgage loans and home equity loans has been exceptionally strong. Business lending, by contrast, has been weak.