On average, the first debt is taking the first loan at the age of 25-28, the average age of taking a loan decreased by 21 years

New Delhi. The average age of debt -ridden customers has decreased. Earlier, on an average, people used to take loans at the age of 47, while now at the age of 25 to 28 years, the loan starts. This information is given in a study report. The report says that now customers are starting to take loans 21 years ago compared to the previous generations.

According to the study of the platform ‘Paisa Bazaar’, which reported the consumer debt and free ‘credit score’, that consumers born in the 1960s took their first debt at the age of 47 on an average. At the same time, consumers, born in the 1990s, are starting to take loans at the age of 25 to 28 years. This makes it clear that getting a loan has become easier than ever before and the consumer’s thinking has also changed. PB Fintech Group unit Paasabazar has analyzed the tendency of more than one crore consumers to take loans in this report.

Radhika Binani, Chief Excise Officer of Paisabazar, said that today’s young consumers are more aware, ambitious and digitally capable. Compared to earlier, they are not only taking a loan quickly but also using it more confidently and to meet various financial needs. He said that analysis also shows how the entire environment has improved over time and the debt has become easier.

According to the study of Paisa Bazar, there has been a clear change among generations in the products selected for debt. While the previous generations usually started their debt with safe loans such as housing loans or vehicle loans, consumers born in the 1990s are usually taking loans for credit cards, personal loans and sustainable consumer goods.

According to the study, earlier people used to take residential loan when they are aged, but now people have started taking loans in puberty. Earlier, the average age of taking loans for home was 41 years (for people born in the 1970s), while now it has come down to 28 years (for people born in the 1990s). Similarly, the average age of taking the first loan for business has also come down from 42 years to 27 years. It shows the growing sense of entrepreneurship in India and easy access to debt products for MSMEs (Micro, Small and Medium Enterprises). (Language)

Edited by: Ravindra Gupta