mumbai auto and home loans have seen a marginal increase in the ratio of delinquent accountsfailure to make timely paymentover the last two years however gold loans and twowheeler loans have witnessed a reduction in delinquencies a report by credit information bureau transunion cibil tucibil has shown that the overall delinquency rates in retail have been stable while variation in delinquencies among different segments have come down defaults among borrowers of public sector banks and housing finance companies have shown a marginal uptick this can be attributed to the higher share of these institutions within the home loan segment that is displaying early portfolio deterioration for nbfcs nonbanking finance companies and private banks while the overall portfolio delinquency is showing a downward trajectory it should be noted that these institutions also displayed the most increase in disbursements over the last few periods that could suppress the delinquency ratios said harshala chandorkar chief operating officer tucibil while lenders have focused on retail growth nbfcs have made significant inroads in the last three years the nbfc share of retail lending grew from 15 to around 20 of disbursement between 2014 and 2017 according to tucibil the nbfc share in the number of accounts opened grew from 21 to around 45 27 to 49 among 2135 age group customers in the same time frame reflecting their predominance in smaller ticket consumer durables twowheelers small businesses and gold loans home loans continue to be the safest product for lenders since these are backed against collateral even if 1 borrowers default in making timely payments lenders still recover a large part of their funds by selling assets the difference in credit costs among various categories of personal loans has been narrowing the availability of bureau data is enabling far reaching changes in broader credit infrastructure in india this includes adoption of digitisation of processes instant credit decisioning and digital workflows and enhanced early warning systems lowering of costs of credit is yet another advantage achieved with extensive usage of bureau data and solutions said chandorkar however this will become more evident only after lenders start adopting holistically digitisation and credit information usage across all levels of their credit processes she added by mayur shetty tnn published on nov 25 2017 at 0831 am ist telegram facebook copy link be the first one to comment comment now comments comment now read comment 1 all comments post post find this comment offensive choose your reason below and click on the submit button this will alert our moderators to take actions reasons for reporting foul language defamatory inciting hatred against a certain community out of context spam others report join the community of 2m industry professionals subscribe to our newsletter to get latest insights analysis download etauto app get realtime updates save your favourite articles scan to download app auto loans nonbanking finance company transunion cibil tucibil nbfc gold loans home loans homenewsindustrysmall rise in auto loan default in 2 yrs