Overview
- Unsecured products such as credit cards and personal loans made up 53.1% of fresh retail slippages, the RBI’s Financial Stability Report shows.
- Private-sector banks saw unsecured loans account for nearly 76% of their retail slippages, compared with 15.9% at state-run lenders.
- The RBI said the unsecured portfolio’s gross NPA ratio stood at 1.8%, which it described as stable versus 1.1% for overall retail advances.
- Fintech lenders grew lending 36.1% year-on-year to September 2025, with unsecured loans exceeding 70% of their books and a majority of borrowers under 35.
- Impairment was elevated among borrowers tapping five or more lenders, and bank lending is reviving in unsecured retail even as credit to large corporates remains subdued.