Loan against Property_b

Post In:  Case Study

Loans against property: a time bomb ticking away?

By       -   July 23rd, 2015

The biggest risk factor is the fact that some of the LAP customers have been using it as a loan in perpetuity.

 

The last three years have seen the industry grow at 30 percent every year while the non-banking lenders grew faster at 36 percent.

 

Crisil expects the loans against property segment to double to Rs 5 trillion by 2019 but has cautioned that risks in the high-margin segment are building up in the banking system.

 

 

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