Private credit seeks billions in credit-card debt incurred by consumers

Private credit is increasingly entering consumer lending, as seen in Bilt's recent $1.2 billion credit card balance transfer deal with investors like Blue Owl Capital and Goldman Sachs. This trend reflects a rise in private-credit funds, which held $350 billion in consumer loans last year. However, concerns about inflation and job market conditions pose risks to borrowers' repayment abilities. Additionally, the deal faced scrutiny from investors seeking more protections before approval.