Mumbai, 04th September 2025: CRIF High Mark, one of India’s leading credit bureaus and part of the global CRIF network, has released the quarterly edition of its flagship study, How India Lends based on data from April–June 2025.The report presents a comprehensive view of India’s credit landscape, with insights across retail lending and consumption loans such as home, personal, vehicle, consumer durable loans, and credit cards. This edition also introduces analysis on gold loans.
India’s lending dynamics are shifting as borrowers increasingly opt for larger ticket-size loans and lenders sharpen their focus on risk and product strategies. PSU banks and NBFCs gained ground, while private banks adopted a selective approach. Credit card growth moderated with higher balances but fewer new issuances, though private banks retained dominance with improved delinquencies. Gold loans surged on the back of higher golden prices, led by PSU banks in value and NBFCs in small-ticket lending, with asset quality staying resilient.
Highlights from How India Lends: June 2025 Edition
Lending Growth Diversifies: India’s consumption loan portfolio outstanding reached ₹105.6 lakh crore (+14.5% YoY), led by gold loans (+34.6%), two-wheeler (+14.9%) and auto loans (+14.5%), while personal loan growth slowed sharply to 8.7%.
Home Loans: Origination value touched ₹2.5 lakh crore in Q1 FY26, with PSU banks expanding their market share sharply from 37.6% to 46.2% by value over the year. Growth was led by big-ticket loans above ₹75 lakh, even as smaller-ticket loans continued to lose share.
Personal Loans: Personal loan portfolio outstanding grew from ₹13.8 lakh crore to ₹14.9 lakh crore between June 2024 and June 2025. NBFCs drove this expansion, gaining share in portfolio outstanding, while both private and public sector banks slowed.
Auto Loans: The auto loan portfolio rose 14.5% year-on-year to ₹8.3 lakh crore. However, origination growth moderated to 3.3% YoY in Q1 FY26 (₹0.81 lakh crore), compared to 6.2% in Q1 FY25. Loans in the ₹5–10 lakh segment remain the largest, though their share has steadily declined from 44.4% in Q1 FY23 to 39.7% in Q1 FY26.
Consumer Durables & Credit Cards: Consumer durable loans grew 7.9% YoY in June 2025 to ₹79.8k crore, showing signs of moderation. The credit card segment remained under pressure, with new issuances falling 28% YoY to 40.6 lakh in Q1 FY26, following a 17.9% drop in the same quarter last year.
Gold loans: Gold loans surged 34.6% YoY to ₹13.4 lakh crore as of June 2025, with originations rising 38.4% YoY in Q1 FY26 on the back of higher gold prices. Delinquencies in the 91–180 day bucket declined across most lenders, with PSU banks emerging as consistent strong performers.
Sachin Seth, Chairman, CRIF High Mark and Regional Managing Director – CRIF India & South Asia, commented on the report “India’s lending patterns are entering a phase of structural shift. Borrowers are seeking higher-value credit, and lenders are realigning portfolios with sharper risk focus and deeper customer segmentation. How India Lends provides timely insights into these trends, enabling institutions and policymakers to make more informed, inclusive, and sustainable credit decisions.”
The findings from How India Lends Jun’25 edition highlight a lending ecosystem in transition. With borrowers gravitating towards larger-value credit and lenders recalibrating portfolios with sharper segmentation and risk alignment, the year marks a structural shift in India’s credit landscape. These shifts are likely to shape lending behaviour, portfolio strategies, and financial inclusion efforts in FY26 and beyond.