Irish Personal Loan Drawdowns Reach Record Highs in Frist Half of 2025
DUBLIN – Personal loan activity in Ireland surged to record levels in the first half of 2025,with significant increases across car finance,home enhancement,and loans for special occasions,according to new figures released by the Banking & Payments Federation Ireland (BPFI).
A total of 33,087 loans were drawn down for purposes including education, holidays, and weddings, representing a 23.5 percent increase in volume. The total value of these loans rose by 24.3 percent to €266 million, with the average loan value increasing slightly from €7,997 to €8,049.
Notably, car or auto-finance loans exceeded 20,000 for the first time since data collection began in 2020.
Green loans, earmarked for environmentally amiable investments like home retrofitting and electric vehicle purchases, experienced notably strong growth. The value of green loans increased by 24.4 percent to €39.3 million, with the number of loans rising by 30.5 percent to 1,635.The average green loan stood at €24,051 – more than double the overall average personal loan value of €10,620.
“The figures indicate a ‘sustained increase in demand’ for personal lending in the quarter, achieving the highest quarterly loan activity levels on record across all categories,” said BPFI chief executive Brian Hayes.
Looking at the broader picture, 131,728 personal loans were drawn down in the first half of 2025, totaling over €1.4 billion – more than double the volume and value recorded in the same period of 2021.
These figures align with a recent report from the Central Bank of Ireland, which indicated that medium-term household loans (over one year and up to five years) exceeded €12 billion in outstanding value by the end of September 2025 – the highest level since October 2012.
