Personal loan drawdowns jump to €1.6bn in 2022, up by almost 19% on previous year – BPFI Personal Loans Report
- Home improvement loans up 15.3% year on year to €533 million surpassing car loans for the first time
Thursday 9th February 2023 – Banking & Payments Federation Ireland (BPFI) has today published the BPFI Personal Loans Report for Q4 2022 showing continued strong growth in personal loans activity on the same time last year.
The report shows the value of personal loan drawdowns increased by 14.4% year on year in Q4 2022 to €394 million. On an annual basis, €1,634 million was drawn down in 2022, some 18.8% more than in 2021.
Looking at the various loan types, some €126 million was drawn down in home improvement loans in Q4 2022, 8.7% more than in the same period of 2021. The value of personal loan drawdowns for car or auto finance rose by 18% year on year to €126 million while the value of loans for other purposes which includes loans for education, holidays and weddings increased by 16.8% year on year to €142 million.
Commenting on today’s report, Brian Hayes, Chief Executive, BPFI said: “Today’s report shows continued growth in the value of personal loan drawdowns with an annual jump to €1.6 billion in 2022, up by almost 19% on the previous year and the highest figure since the data series began in 2020. The value of home improvement loans rose by 15.3% year on year to €533 million, meaning they have surpassed car loans (€523 million) for the first time. The fastest growing segment remains the ‘other loans’ category which includes education, holidays and special occasions such as weddings with a jump of 36% on 2021, to €577 million.”
Data Series: Personal loans report data from Q1 2020 onwards is available in Microsoft Excel format (*.xls) in the BPFI Personal Loan Report data series. Download the BPFI Personal Loans 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 125 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace.