Not getting personal loan to manage an emergency? Offer collateral

Starting a fixed deposit may make a bank more willing to offer you a credit card

Lenders had turned cautious in disbursing unsecured loans in 2020-21. According to data from the Reserve Bank of India's (RBI) April 2021 monthly bulletin, pe­rsonal loans, which had clocked a growth rate of 14 per cent in 2019-20, could register only 8.6 per cent growth in 2020-21.

Growth in credit card outsta­nding fell from 25.7 per cent to 7.6 per cent. Even as loan growth had picked up in the fourth quarter of 2020-21, players are likely to turn cautious again amid the second wave of Covid.

Who will be affected?

Some sections of borrowers, in particular, have been, and