Credit cards lose ground to UPI, small-ticket loans: CIBIL

TransUnion CIBIL reports credit cards' share of India's unsecured loan market fell to 38% in 2026 from 56% in 2016, with wallet share dropping to 26% from 36%. Outstanding balances jumped to Rs 3.1 lakh crore from Rs 0.4 lakh crore across 5.2 crore users, though penetration stays low as Gen Z adoption rises.

— Filed Wed, 8 Jul, 2026, 19:07 IST · Source Financial Express · BrandWagon · Updated

CIBIL report finds credit cards losing ground to small-ticket personal loans and UPI in India's consumption-credit space, with card share of unsecured market falling to 38% from 56%, though penetration remains low and Gen Z adoption rises.

Why this matters

CIBIL data confirms credit cards losing share to UPI and small-ticket loans, echoing prior signals on stalled penetration at 25% despite Rs 3.1 lakh crore outstanding across just 5.2 crore holders.

Retail-company signals accelerating at +663800% QoQ.