No. of loan seekers under 30 significantly jumps in 5 years

No. of loan seekers under 30 significantly jumps in 5 years

The number of loan seekers under the age of 30 years significantly increased in the last five years, credit information provider Cibil said in its latest report.

According to the Cibil report, loan seekers under the age of 30 years accounted just around 7 per cent of total new credit applicants in the year of 2008, but this figure significantly grew to more than 25 per cent now.

The credit information provider also pointed out that demographics had undergone a sweeping shift in the last ten years, with India getting more 'younger' working population. The percentage of the working population aged between 15 and 35 years has grown rapidly.

The percentage of people under 40 years seeking their first credit grew from 50 per cent of the total loan seekers in 2008 to 60 per cent in 2014.

The report said, "Youth are driving credit growth with 60 per cent of new loan applications coming from applicants, who are under 40."

The above discussed youth's eagerness to get into debt came at a time when most people started complaining about sluggishness in the economy, declining growth and job cuts.

The Indian economy, the third largest in Asia, was doing quite well till the financial year of 2009 but it suffered steep decline in growth in wake of global economic recession. During the last financial year, it grew just 5 per cent, its lowest level in ten years.

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