Positive impactEconomy
How buying mobile phones on EMI is leading to reduced defaults on two-wheeler loans
Times of India 2 hrs ago·13 Oct 2026, 2:25 pm
Lenders are finding it easier to approve loans for two-wheelers as more borrowers build a credit history through buying mobile phones and other consumer durables on EMI. This trend has helped lower the rate of loan defaults, which dropped to 1.4% in June 2026 from 2.7% in June 2019. A larger number of borrowers now have prime credit scores, making them safer candidates for vehicle financing.
For investors, this shift signals a healthier loan book for banks and NBFCs. As lenders gain confidence in younger borrowers, they may expand credit access, which supports asset growth. However, the long-term impact depends on whether these borrowers can sustain their repayment capacity as their incomes grow.
Key takeaways
- Category: Economy.
- AI reads the tone as positive (potentially bullish) for the stock.
Why it matters
A routine update. The tone is positive — historically associated with upward pressure, though not predictive. Use the price and stock snapshot to gauge how the market is responding.
