What best describes consumer lending?

Consumer lending specifically refers to financial products and services that are offered to individual customers for personal use. This can include loans for various purposes such as purchasing a car, financing education, consolidating debt, or making home improvements. By focusing on the needs of individuals rather than businesses, consumer lending encompasses a wide range of personal loans, credit cards, and other financial products tailored to meet the borrowing needs of consumers. The distinction is important, as it highlights the target demographic (individuals) and the personal nature of the loans, which contrasts with business lending that serves commercial entities. Understanding this definition helps in grasping the overall landscape of lending and the specific strategies and products developed for personal finance.