Credit card customers getting younger

MUMBAI: Credit card issuers are increasingly acquiring customers in the age group of 25-34 years, data released by credit information company CIBIL ( Credit Information Bureau (India) Ltd) shows.

In the second quarter of 2011-12, 65% of those who were issued a credit card were under 35 years of age. Of this, 10% of customers were under the age of 25. In contrast, during the same period, only around 5% of new credit cards were issued to customers who were over 55.

"Over the years, the age profile of credit holders has reduced. In 2009, approximately 50% of credit card holders were below 35, which has gone up to 65% in Q2 2012," notes the CIBIL study. CIBIL MD Arun Thukral reckons that card issuers could be focusing more on the 25-34 bracket as the older age-group has reached a saturation point.

"Earlier, issuers used to simply sanction a credit card to an individual already holding one. However, the customer acquisition strategy has changed now. Since the 35 and above category seems saturated, they have shifted focus to the younger group," he added.

This apart, banks have also become more prudent while issuing credit cards, choosing to target individuals with credit scores of over 700. In 2011, more than 80% of the consumers who were granted a credit card had a score of 700 and above, the CIBIL study observed.