The fault vibration signal of a bearing has nonstationary and nonlinear characteristics and can be regarded as the combination of multiple amplitude- and frequency-modulation components. The envelope of a single component contains the fault characteristics of a bearing. Local characteristic-scale decomposition (LCD) can decompose the vibration signal into a series of multiple intrinsic scale components. Some components can clearly reflect the running state of a bearing, and fault diagnosis is conducted according to the envelope spectrum. However, the conventional LCD takes a single-channel signal as the research object, which cannot fully reflect the characteristic information of the rotor, and the analysis results based on different channel signals of the same section will be inconsistent. To solve this problem, based on full vector spectrum technology, the homologous dual-channel information is fused. A vector LCD method based on cross-correlation coefficient component selection is given, and a simulation analysis is completed. The effectiveness of the proposed method is verified by simulated signals and experimental signals of a bearing, which provides a method for bearing feature extraction and fault diagnosis.