Loans for consumer durables during festive season—a business stagnant for three years—increased in financial year 2021-22 (FY22) to Rs 26,075 crore from Rs 19,683 crore in FY19.
The festive season, which spans over October-December period (Q3), saw origination worth Rs 19,356 crore in FY21 and Rs 20,261 crore in FY 20, according credit information bureau CRIF High Mark.
In conventional sense, Originations in Q1 & Q2 FY22 were already at Rs 35,120 crore, compared to Rs 55,202 crore in Rest of FY20 (Q1, Q2 & Q4 FY20). At this rate, originations in Rest of FY22 could reach or surpass that of pre-pandemic levels of Rest of FY20.
CRIF High Mark said lenders – banks and finance companies -- showed 33 per cent growth in originations (volume) of consumer loans from 91.6 lakh accounts in FY19 to 121.9 lakh accounts in FY22.
There was an increase in originations share (both value and volume) of Private banks from Q3 of FY19 – FY22. Also, even though the category is dominated by NBFCs, there was a decline in their share for consumer loans, bureau said.
Personal loans witnessed nearly two-fold growth in originations (value) from Rs 75,088 crore in FY19 to Rs 147,236 crore in FY22. The rise was much higher in-terms of volumes.
The originations (volumes) rose four-fold from 3.99 million accounts in FY19 to 15.8 million accounts in FY22.
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