Demand for Gold Loans, Personal Loans and Home Loans Increased Strongly in FY26: Experian Report
Chennai, June 03, 2026: Experian, a leading global data and technology company, has released its latest Industry Insights – May 2026 report. The report shows strong growth in India’s retail credit market. It highlights higher loan demand, growth in secured lending, and better repayment trends. Together, these trends show a stronger and more stable credit environment.
India’s retail credit market continued to grow in FY26. Total Assets Under Management (AUM) reached Rs. 137 lakh crores in March 2026, growing 19% year-on-year. New loan sourcing also increased by 31% year-on-year to Rs. 75 lakh crores. This shows that more consumers are taking loans.
Secured lending continued to grow strongly. Gold loans, home loans, and other asset-backed products led this growth. This shows that lenders are focusing more on lower-risk lending, while borrowers are also choosing secured loan options.
Gold loans continued to help bring first-time borrowers into the formal credit system. Faster loan processing and simpler lending steps are supporting this growth. Gold loans are also helping people meet household and business needs.
Unsecured lending also saw strong growth in FY26 after a slowdown in the previous year. Personal loans and consumer finance products led this recovery. This shows strong consumer demand and growing confidence among borrowers. Personal loans also continued to grow across Tier 2, Tier 3, and Tier 4 cities, supported by stronger digital adoption and wider reach from lenders, especially fintech companies.
The report also showed improvement in repayment trends across the industry. Net 30+ delinquencies improved to around 3.0% in March 2026. This reflects stronger lending practices and better repayment behaviour.
NBFCs and fintech companies continued to play an important role in expanding retail credit, especially in unsecured and consumption-led products. Public sector banks also strengthened their presence in secured lending categories, particularly home loans and priority-sector segments.
Across categories, personal loans, gold loans, consumer durable loans, home loans, auto loans, credit cards, and two-wheeler loans continued to grow, showing broad-based demand across India’s credit market.
