Summary:

According to Paisabazaar research, Indian customers are starting their credit journeys at a younger age. Individuals born in the 1970s generally took their first credit in their late 30s or early 40s, while those born in the 1990s began in their mid-20s, representing a 15-year decline. This indicates increased accessibility and shifting perspectives. Earlier generations preferred secured loans, but the 1990s generation often started with unsecured products such as credit cards, personal loans, and consumer durable loans by ages 25 to 28.

The data suggest that home loans, previously accessed later in life, are now obtained sooner, with the average age dropping from 41 for those born in the 1970s to 28 for the 1990s. Business loans also decreased from 42 to 27, demonstrating India’s expanding entrepreneurship and improved MSME financing availability. Consumers born after 2000 begin credit around age 22, primarily through small loans and BNPL. Paisabazaar’s CPO notes that young customers are more knowledgeable, ambitious, and tech-savvy, using credit with confidence.

Source: IBEF

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