NBFCs stop lending on fear of rising defaults

From an average default rate in collection efficiency at 2-3 per cent in pre-Covid times, non-banking finance companies (NBFCs) are now seeing 6-8 per cent of borrowers missing their payment schedules during the second wave of the pandemic. IIFL Finance has halted fresh disbursements for unsecured loans for micro-businesses & personal loans.

from Banking/Finance-Industry-Economic Times https://ift.tt/3vf5Gd3