Consumers in, Businesses out.

A new survey from the Federal Reserve System has found that during the fourth quarter of 2015, a number of banks moderately eased lending standards for some consumer loans while tightening standards for a number of business loans.

According to the Fed’s January 2016 Senior Loan Officer Opinion Survey on Bank Lending Practices, banks largely tightened lending standards for commercial and industrial and commercial real estate loans during 4Q 2015, citing a “less favorable or uncertain” economic outlook this year.

Many small business bankers I’ve spoken with say they feel that we are currently in a contraction of the economy and that they fear a recession may be on the near horizon making them more reluctant to lend even to the most credit worthy.