Gen Z's Debt Dilemma: Loans Fuel Travel, iPhones & Status Spending in India

• India's Gen Z increasingly uses personal loans for lifestyle spending like travel and iPhones, shifting from asset-building.
• Financial consultant Sandeep Kulkarni notes 27% of H1 2025 personal loans were for travel; 70% of iPhones sold on EMI.
• Easy zero-cost EMIs and unattainable real estate goals drive this trend, fostering "micro-status symbols."
• A "disturbing" 36% of Gen Z borrowers use credit for essential expenses like rent and groceries.
• This contrasts with Chinese Gen Z's saving habits, highlighting a different financial mindset.

Why It Matters: Indian Gen Z increasingly uses loans for lifestyle and essentials, driven by social status and easy credit.