Mumbai, Feb. 11 -- Barely a month after the Reserve Bank of India (RBI) warned of a contagion, lenders, especially non-bank financiers, have also started witnessing stress in their collateral-backed secured loan books.

Early signs of stress are visible in micro-loans against property (micro LAP), and lending for two-wheelers and some other vehicle categories, according to experts. It is more prominent for non-bank lenders who cater to small secured loans, they said.

Some experts said the initial signs of credit stress became evident when more borrowers started applying for loans, leading to higher rejection rates, followed by an increase in delinquencies in unsecured lending.

"This, in turn, led to a tightening of credit norms and a re...