New Delhi, June 23 -- Personal loans have now moved beyond covering urgent needs and aspirations of borrowers. They are now increasingly used for emotional and discretionary purchases, financing holidays, gadgets or celebratory events such as anniversaries, birthdays among other life events. This trend underlines a clear shift in how credit interplays with instant gratification and emotion based spending.

Elucidating on the same, Chintan Panchmatya, Founder, Switch My Loans, says "More than 40% of personal loan applications in India are linked to lifestyle and emotional spends-weddings, vacations, home upgrades-rather than emergencies or essentials. This trend reflects a shift in consumer mindset where aspirational needs are driving cred...