WASHINGTON -- The Federal Reserve said consumers boosted their borrowing in September, defying expectations for a cutback.

The Federal Reserve's report, released Friday, said consumer credit increased at a 3.2 percent annual pace in September. That was up from a 2.9 percent rate of decline in August and marked the biggest increase since July.

Economists expected consumers trimmed their borrowing at a 0.5 percent pace in September.

The Fed's measure of consumer borrowing does not include any debt secured by real estate, such as mortgage or home equity loans.