What is the story about?
Younger Indians are entering the credit ecosystem earlier and showing a growing preference for secured, asset-backed products, according to PB Fintech’s year-end analysis of its Credit Score consumer base.
In 2025, 16% of new home loan borrowers were under the age of 30, nearly doubling from 9% in 2022. The trend reflects earlier homeownership driven by stable salaried incomes, dual-income households, and improved access to credit. Overall housing loans grew 12% year-on-year, while the average ticket size rose to around ₹37 lakh from ₹29 lakh in 2022.
Joint ownership continued to dominate, accounting for 58% of home loans.
Credit card trends mirrored this shift. Issuance of traditional unsecured cards declined 21% year-on-year, while secured credit cards grew 62%.
Among new cardholders, 34% were under 30 and 9% under 25, up from 3 percent in 2022, highlighting a preference for collateral-backed credit to build a safe credit history.
Delhi NCR and Mumbai led the market, contributing 11% and 6% of new card issuance, respectively.
Personal loans saw a 35% year-on-year increase, driven by smaller, short-term loans that grew 77%.
Borrowers primarily used these loans for short-term liquidity needs rather than long-term consumption, with salaried individuals accounting for around 70% of disbursals. The top 10 metro cities contributed 34% of total personal loan volumes, led by Delhi and Mumbai.
PB Fintech notes that these trends indicate a more informed and deliberate approach to credit among younger Indians. Experts suggest that the growing preference for secured and asset-backed products may support healthier credit profiles and a more balanced retail credit ecosystem in the years ahead.
In 2025, 16% of new home loan borrowers were under the age of 30, nearly doubling from 9% in 2022. The trend reflects earlier homeownership driven by stable salaried incomes, dual-income households, and improved access to credit. Overall housing loans grew 12% year-on-year, while the average ticket size rose to around ₹37 lakh from ₹29 lakh in 2022.
Joint ownership continued to dominate, accounting for 58% of home loans.
Credit card trends mirrored this shift. Issuance of traditional unsecured cards declined 21% year-on-year, while secured credit cards grew 62%.
Among new cardholders, 34% were under 30 and 9% under 25, up from 3 percent in 2022, highlighting a preference for collateral-backed credit to build a safe credit history.
Delhi NCR and Mumbai led the market, contributing 11% and 6% of new card issuance, respectively.
Personal loans saw a 35% year-on-year increase, driven by smaller, short-term loans that grew 77%.
Borrowers primarily used these loans for short-term liquidity needs rather than long-term consumption, with salaried individuals accounting for around 70% of disbursals. The top 10 metro cities contributed 34% of total personal loan volumes, led by Delhi and Mumbai.
PB Fintech notes that these trends indicate a more informed and deliberate approach to credit among younger Indians. Experts suggest that the growing preference for secured and asset-backed products may support healthier credit profiles and a more balanced retail credit ecosystem in the years ahead.
