Borrowers Under 30 Show Highest Loan Default Rates On Unsecured & Vehicle Loans: Crif Report

Mumbai: Younger borrowers under 30 years of age are more likely to default on a loan than those in other age groups, a report said on Wednesday. They default more on unsecured products like personal loans and credit cards, and also auto or two-wheeler loans, according to the report by Crif High Mark.

"The under-30 or 30 years of age group exhibits higher delinquency levels compared to other age groups," the credit information company said. If one looks at the age-wise repayment performance across all retail products, 2.6 per cent of loans were unpaid as of November 2025 by those under 25 years of age while the same stood at 2.7 per cent in the 26-30 years age bracket, the report said.

The levels were much lower in all the other age groups. Private banks and non-banking financial companies (NBFCs) have more focus on the under-30 segment, while public sector banks lend across all age groups, the report said. From a geographical perspective, Uttar Pradesh and Maharashtra have the highest concentration of such borrowers under 30 years, contributing 35 per cent of the active loans, it said, adding that they are followed by Karnataka and other states. 

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