Personal loan activity including car, home improvement and green loans, surged to record highs in Q3 2025 with loan values up by 15.7% to €776 million, and volumes up by 17.6% to 73,626 compared to Q3 2024. That’s according to figures from the Banking & Payments Federation Ireland (BPFI).
These were the highest quarterly levels since the data series began in 2020. The BPFI Personal Loan Report, which is issued on a quarterly basis, details the volume, values and uses of personal loans drawn down from participating BPFI member banks. The following are the key figures from the report:
Total loans
- There were 73,626 personal loan drawdowns in Q3 2025, valued at €776 million, representing an increase of 17.6% in volume and 15.7% in value year on year.
- The average personal loan value fell by €172 year on year to €10,537.
Car loans
- The number of car or auto finance loans rose by 22.7% year on year to 20,954 in Q3 2025, while the value of loans increased by 16.5% to €267 million.
- The average car loan in Q3 2025 was €12,757 down from €13,434 a year earlier.
Home improvement loans
- There were 18,054 home improvement loans in Q3 2025, up by 11.5% year on year. These were valued at €230 million, 12.8% higher than Q3 2024.
- The average home improvement loan value in Q3 2025 was €12,758 up from €12,606 in Q3 2024.
Other loans – including education, holidays and special occasions such as weddings
- A total of 34,618 for other purposes were drawn down in Q3 2025, a rise of 18.0% in volume year on year, with values rising by 17.4% to €278 million over the same period.
- The average loan value in Q3 2025 for other loans increased to €8,035 down from €8,075 in Q3 2024.
Green loans
- The value of green personal loans rose by 31.5% year on year to €42.1 million in Q3 2025. The number of green loans rose by 34.5% over the same period to 1,788.
- The average green loan was relatively high at €23,567 in Q3 2025, more than twice the average of €10,537 for all loans in the same quarter.
Commenting on today’s report, Brian Hayes, Chief Executive, BPFI said: “Our latest figures show that personal loan drawdowns surged to record highs in Q3 2025 with volumes up by 17.6% to 73,626 in Q3 2025, while values were 15.7% higher at €776 million. These were the highest quarterly levels since the data series began in 2020. In fact, there were record levels in both volume and value seen across all loan categories. The number of car or auto finance loans climbed by 22.7% year on year to 20,954, with values up 16.5% year on year to €267 million. Home improvement loans were also up 11.5% in volume to 18,054 over the same period, while the number of loans for other purposes, including education, holidays and special occasions such as weddings rose by 18% to 34,618.”
Mr Hayes continued: “We saw the largest spike in activity in green personal loans which jumped by 31.5% year on year to €42.1 million in Q3 2025 and by 34.5% in volume to 1,788. These were the highest activity levels since we began tracking green loan data in 2022. This surge may be partly attributed to the Home Energy Upgrade Loan Scheme (HEULS) introduced in 2024, which aims to make residential energy upgrades more accessible and affordable for eligible homeowner. Over 750 loans have been drawn down to date, indicating strong consumer interest.”
Noting a shift in the average loan values, Mr Hayes added: “’In the third quarter of 2025, the average personal loan value experienced its first decline since the beginning of 2023, dropping by €172 year on year to €10,537. The average car loan value dropped by €677 between Q3 2024 and Q3 2025 to €12,757. The average green loan, although still more than twice the overall average personal loan value, also experienced a decline, dropping by €538 over the same period to €23,567. However, average home improvement loans bucked the trend, with the average value increasing by €152 to €12,758.”
Reflecting on the broader trends in personal loan activity since the beginning of the year, Mr Hayes noted: “In the first nine months of 2025, there were 205,354 personal loan drawdowns, amounting to over €2.2 billion. This represents more than double the value recorded during the same period in 2021. Additionally, the Central Bank of Ireland reported that medium-term household loans (over 1 year and up to 5 years) reached an outstanding value of almost €11.9 billion by the end of September 2025, the highest level since June 2012.”
The BPFI Personal Loans Report Q3 2025 can be downloaded here.