That "no-cost EMI" offer on your phone feels irresistible lately — you're not imagining it.
NBFCs (non-bank lenders) handed out personal loans, gold loans and consumer EMIs at a 21.4% growth rate this year, and their total lending jumped nearly 15%.
Translation: lenders really want you to borrow, and they're making it very easy to say yes.
What this means for you
- Loan approvals are faster and the marketing is louder — but a ₹2 lakh personal loan at 14% interest still costs you roughly ₹4,800/month for 4 years.
- "No-cost EMI" almost always hides a processing fee or a slightly inflated price — check the total cost, not just the EMI number, before you sign.
- This trend doesn't touch your SIP or FD directly — it's about consumer borrowing, not your investments.
What you can do
- Before signing up for festive EMIs, add up the total interest and fees, then compare it to simply saving up and paying cash.
- If you already have a personal loan running, clear it before taking a new one — stacking loans is how EMIs quietly eat into your salary.
Borrowing easily doesn't mean borrowing wisely — that choice is still entirely yours.
Grow with clarity 🌱