India digital NBFC personal loan book grows 28% to Rs 1.54 lakh crore

India’s digital non-banking finance companies (NBFCs) saw their personal loan book grow by 28 percent year-on-year, reaching Rs 1.54 lakh crore as of June 2026. According to a report by FACE, a fintech self-regulatory organization, digital NBFCs sanctioned approximately 3.4 crore personal loans worth Rs 64,656 crore during the April–June 2026 quarter.

Digital lenders dominate in volume, accounting for 70 percent of sanctioned loan volumes, though they represent only 22 percent of the total sanction value in the personal loan market. This is largely due to a significantly smaller average ticket size of Rs 18,802, compared to Rs 70,025 for other NBFCs and Rs 4.52 lakh for banks.

The digital lending segment features a young demographic, with 58 percent of sanction value going to borrowers under the age of 35. Additionally, 40 percent of the sanction value was directed toward Tier III cities and beyond. Portfolio quality remains stable, with the 90-day or more days past due rate standing at 1.4 percent in June 2026.