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During the festive season, people are not only shopping but also investing in giving a new look to their home. According to a recent survey, most of the people taking personal loans are taking loans for home repair and decoration. Faster disbursal and digital processes have made this trend easier.
New Delhi. According to a survey by Paisabazaar, this time the number of people taking personal loans has increased rapidly during festivals. A survey conducted on more than 10,200 people revealed that 41 percent consumers took personal loans for the first time for festivals. And 46 percent said that they would like to use this facility next time also. This shows that now people have started considering personal loan as a reliable option for festival expenses.
Increased demand for digital facilities
It was also found in the survey that now customers are giving priority to digital facilities and getting instant loan more than interest rate. About 42 per cent people said that they chose their loan because of fast disbursal and less documentation, while only 25 per cent considered low interest rates as important. Almost 80 percent of consumers prefer digital platforms that make the entire process easier. According to experts, this change is a sign of increasing confidence and digital trust among consumers.
Home decoration is the biggest reason
The biggest reason for taking personal loan during festivals was home repair and furnishing, which was 18 percent of the total. After this, 15 percent people took loans for electronic goods and gifting. Whereas 12 percent chose loan for gold and jewelery and 10 percent chose loan for repaying old loans or for fashion shopping. About 60 percent people took loans of less than Rs 5 lakh, while 42 percent chose the tenure of less than 5 years. This shows that people are now enjoying the festivals by borrowing responsibly.
Increasing use of loan wisely
Despite increased expenditure during festivals, consumers are now taking loans more thoughtfully. Experts believe that digital platforms have increased transparency, giving people the opportunity to compare offers from different banks and NBFCs. This not only keeps the interest rates under control, but also develops the habit of timely payment. Overall, the festive season in India is now becoming a symbol not only of shopping but also of smart financial planning.
