Personal loans soared to highest levels on record in Q2 2024 with over 60,000 drawdowns valued at €641 million – BPFI Personal Loans Report
- Car loan drawdowns rose by 12.4% in volume year on year to 17,794 valued at €224 million
- Number of home improvement loans up 1.7% year on year while values rose by 17.5% in the same period
- Green loans up by 5.1% year on year with the average value more than double the average for all loans at €22,933
Tuesday 5th November 2024 – Personal loans soared to the highest levels on record across all categories in Q2 2024, according to the latest Banking & Payments Federation Ireland (BPFI) Personal Loans Report, with over 60,000 (60,674) drawdowns valued at €641 million.
Looking at the various loan types:
- The number of car loans rose by 12.4% year on year to 17,794, while the value of loans jumped by 18.9% to €224 million, the highest quarterly volumes and values since the data series began in Q1 2020.
- The number of home improvement loans rose by 1.7% year on year to 16,086 while the value rose by 17.5% to €202 million over the same period.
- A total of 26,794 loans for other purposes, including education, holidays and special occasions such as weddings were drawn down, a rise of 8.3% in volume year on year, with values rising by 20.1% to €214 million over the same period.
- The value of green personal loans rose to €30.1 million in Q2 2024, an increase of 2.9% year on year while the number of green loans also rose by 5.1% over the same period to 1,314.
- The average green loan was more than twice the value of an average personal loan at €22,933 in Q2 2024, compared with the average for all loans at €10,560.
Commenting on today’s report, Brian Hayes, Chief Executive BPFI said: “Our latest report shows a record level of activity in personal loan drawdowns in Q2 2024 across all categories, with 60,674 loans issued, valued at €641 million. This represented a year on year increase of 7.6% and 18.9% in volume and value respectively, the highest levels since the data series began in Q1 2020. These figures came as the Central Bank of Ireland reported that there was almost €17.9 billion in outstanding consumer loans. Within that, loans with terms of over one and up to five years increased to more than €10.9 billion, the highest value since July 2012.”
Mr Hayes continued: “Looking more closely at key categories, car loan drawdowns in particular continued to rise by 12.4% in volume on the same period last year, while values jumped by 18.9% with the average car loan up by €683 to €12,605. While there was a modest increase in the number of home improvement loans, up 1.7% year on year, they were valued at €202 million, 17.5% higher than the previous year and represented the highest jump in average value, increasing by more than €1,600 to €12,568.”
In relation to green loans, he added: “We are also continuing to see growth in green loans which rose by 5.1% in volume to 1,314, with the average value more than double the average for all loans at €22,933. We expect to see continued growth in the category in the months ahead supported by the introduction in April of the Government’s Home Energy Upgrade Loan Scheme to help make home energy upgrades more accessible and affordable.”
The BPFI Personal Loans Report Q2 2024 can be downloaded here.
ENDS/
Data Series: Personal loan report data from Q1 2020 onwards is available in Microsoft Excel format (*.xls) in the BPFI Personal Loan Report data series. BPFI data on green loans is available from Q1 2022. Download the BPFI Personal Loan Report time series here.
Note: Banking & Payments Federation Ireland (BPFI) represents the banking, payments and fintech sector in Ireland. Together with its affiliates, the Federation of International Banks in Ireland, and the Fintech & Payments Association of Ireland, BPFI has over 110 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace.
For further information contact: Fiona Murphy, Head of Communications, 087 9740046, Fiona.murphy@bpfi.ie or Jillian Heffernan, Director of Communications, 087 9016880, jillian.heffernan@bpfi.ie.
