How have current credit conditions affected your business, community or industry?

Published July 1, 2009  | July 2009 issue

District Voices

How have current credit conditions affected your business, community or industry?

Upper Peninsula of Michigan

Consumers and businesses are both watching their money very closely. Loan volume is driven at its core by loan applications, which are down in both sectors. —Bank with $192 million in assets


We are currently constructing a parking ramp ... and were planning to issue tax-exempt debt next week. That debt issue has been put off indefinitely due to high interest rates required by potential bondholders. We will have to internally finance or use an existing line of credit until rates and the markets begin to normalize. Additionally, we have a $60 million construction project that was planned to begin in May 2009 that will likely be put off months or a year. —Engineering firm with 25 employees and $2 million in sales


Credit is taking longer to get than usual. More documentation is needed when it wasn’t in the past; more of a down payment is needed, and my credit hasn’t changed. —Insurer with one employee and $135,000 in sales

North Dakota

Our bank keeps telling us that our credit availability has not changed over the last 12 months. We are, however, being more conservative on pulling the trigger on borrowing. —Manufacturer with 380 employees and $52 million in sales

South Dakota

We provide government-relations services to businesses and business organiza- tions, so we are impacted as businesses consolidate and fewer players are in the market for our services. The current credit market has accelerated this consolidation trend for several business types (financial services and auto dealerships, for example), decreasing both the number of businesses in the market and the number of businesses paying dues to an organization. —Media company with 10 employees and $1 million in sales


Consumers, employees and businesses involved in the manufacturing sector seem to be the most affected. Consumer confidence of all others seems to be improving. —Bank with $70 million in assets

(Note: Comments are from anonymous respondents to fedgazette surveys on credit conditions conducted in late April.)