Loans to individuals, France - 2025-01
Published on the 7th of March 2025
Average interest rates on housing loans appear to be stabilizing at a much lower level than a year ago
- SA production of housing loans (excluding renegotiations) reached €9.9 bn in January (after €11.6 bn in December), slightly above the average for the last 10 months (€9.6 bn) since the positive turnaround in housing lending last Spring.
- The average interest rate on new housing loans seemed to have stabilized in January (3.32% after 3.30% in December for transactions excluding renegotiations), at a much lower level than a year ago (4.17% in January 2024).
- Utilization of the flexibility margin authorized by the HCSF standard remained below the 20% limit in January (15.4%).
Production of new housing loans ![]()
(Monthly seasonally adjusted new loans in € Bn)
Interest rates on housing loans, all maturities (excluding renegotiations) ![]()
(Narrowly defined effective rate, average weighted by long and short term flows, in %)
Production of new loans (excluding overdrafts, monthly flows seasonally adjusted (a))![]()
(volumes in €bn, proportion in percentage)
| Nov- 2024 | Dec- 2024 (r) | Jan- 2025 (p) | |
| -housing loans | 12.6 | 13.3 | 11.9 |
| of which housing loans excluding renegotiations | 10.6 | 11.6 | 9.9 |
| -proportion of renegotiation (not seasonally adjusted) in % (c) | 15.7 | 13.2 | 16.8 |
| -loans for consumption purposes (b) | 5.7 | 5.7 | 5.7 |
Interest rates on new loans (narrow defined effective rate, monthly average)![]()
(in percentage)
| Nov- 2024 | Dec- 2024 (r) | Jan- 2025 (p) | |
| -housing loans | 3.18 | 3.15 | 3.13 |
| of which housing loans long term and fixed rates | 3.16 | 3.12 | 3.10 |
| of which housing loans short term or floating rates | 3.80 | 3.86 | 3.88 |
| of which housing loans excluding renegotiations | 3.38 | 3.30 | 3.32 |
| -loans for consumption purposes (b) | 6.52 | 6.42 | 6.46 |
| -overdrafts for individuals (d) | 7.58 | 7.18 | 7.52 |
(a) Parameters for seasonal adjustment are updated each month, taking into account monthly data under review; (b) Excluding revolving loans. Loans for splitted-cost payments (mainly "loans granted on market place" and "extended credit-card credits" are included into consumption loans; (c) Ratio of renegotiated loans on housing loans, both not seasonally adjusted (d) Overdrafts: negative balance of ordinary accounts + commercial credits + factoring + cash credits without fixed repayment schedule (including mobilization of revolving loans). (r) Revised data; (p) Provisional data
Renegotiated loans are loans where at least one of the terms of the initial contract is modified with the active participation of the borrower, giving rise to the declaration of a new contract. They include in particular loans for which the insurance contract has been modified (since February 2022 the Lemoine law authorizes the termination at any time of the borrower's insurance contracts, without any notice period or fees or penalties) even if the other characteristics of the loan remain unchanged.
Renegotiated loans are loans where at least one of the terms of the initial contract is modified with the active participation of the borrower, giving rise to the declaration of a new contract. They include in particular loans for which the insurance contract has been modified (since February 2022 the Lemoine law authorizes the termination at any time of the borrower's insurance contracts, without any notice period or fees or penalties) even if the other characteristics of the loan remain unchanged.
Share of new housing loans not meeting HCSF lending criteria thresholds in total production* ![]()
* Total new housing loan production excluding renegotiations and excluding bridging loans
Outstanding amounts and annual growth rates (without seasonal adjustment) ![]()
(Outstanding amounts in €Bn, annual growth rate in %)
| End-of-month level | Annual growth rate | |||||
| Nov- 2024 | Dec- 2024 | Jan- 2025 | Nov- 2024 | Dec- 2024 | Jan- 2025 | |
| Total | 1,523 | 1,528 | 1,526 | -0.1 | 0.2 | 0.2 |
| Lending for house purchase | 1,282 | 1,283 | 1,282 | -0.9 | -0.8 | -0.6 |
| Credit for consumption | 211 | 213 | 212 | 2.5 | 3.7 | 3.3 |
| Other lending | 31 | 32 | 32 | 16.4 | 16.8 | 16.6 |
Net flows of housing loans to individuals (seasonally adjusted) ![]()
(In €bn)
Net flows of credit for consumption (seasonally adjusted) ![]()
(In €bn)
Euro area : Annual growth rate of outstanding housing loans to households (in %) (1) ![]()
Euro area : Interest rates for new housing loans (excluding renegotiations , in %) ![]()
(1) Households = Individuals + sole entrepreneurs + non-profit institutions serving households. The annual growth rate of outstanding housing loans to households in France is -0.7% in January 2025 and -0.6% for individuals alone.
Euro area: New housing loans (excluding renegotiations) to households, cumulative in €Bn
Quarterly additional information on credit for consumption
Changes in outstanding consumer credit to individuals ![]()
| Outstanding amounts in Billions | Annual growth | ||||||
| (in %) | |||||||
| Dec- 2023 | Mar- 2024 | Jun- 2024 | Sep- 2024 | Dec- 2024 | Sep- 2024 | Dec- 2024 | |
| Credit for consumption to individuals | 205.9 | 205.3 | 207.6 | 208.8 | 213.0 | 2.9 | 3.7 |
| Overdrafts | 8.4 | 8.1 | 8.3 | 8.2 | 8.2 | -6.3 | -2.3 |
| Revolving loans | 21.4 | 21.3 | 21.4 | 21.8 | 22.1 | 4.2 | 3.4 |
| Leases | 20.4 | 21.4 | 22.7 | 23.4 | 24.8 | 13.8 | 21.6 |
| Personal Loans | 96.7 | 97.3 | 95.9 | 96.0 | 97.0 | -0.8 | 0.3 |
| Credits at the point of sale (of which buy now pay later loans) | 21.2 | 22.9 | 21.1 | 21.2 | 20.6 | 5.6 | -3.2 |
| Other tresury loans | 12.5 | 11.5 | 11.3 | 11.5 | 13.1 | -10.4 | 4.3 |
| Securitised loans | 25.1 | 22.7 | 26.8 | 26.8 | 27.2 | 14.3 | 8.3 |
Note: Revolving credit (formerly called revolving credit) is a form of credit that consists of making available to a borrower a sum of money that can be reused as it is repaid to finance non-predefined purchases.
Within consumer credit, leasing is the most dynamic component (+21.6% year-on-year in December 2024). Conversely, overdrafts continue to shrink (-2.3% year-on-year in December, after -6.3%), while point-of-sale loans are down year-on-year (-3.2%).
Interest rate (narrowly-defined) on new revolving loans by type of credit institution, % ![]()
Distribution channels of revolving loans, in % of the total outstanding amount of revolving credits![]()
Additional information
- 'Indivduals' are a subset of the 'households' economic sector, which also includes sole proprietors and uncoporated partnerships and NPISH.
- The outstanding growth rates are calculated from monthly changes in stocks (including sales and securitization) by correcting from modifications that do not reflect economic changes, especially, the accounting derecognition of loans from the MFI's statistical balance sheet due to write-offs/write-downs. Conversely, exchange rate effects are taken into account without any change for technical reasons.
- Monthly growth rates are those of new loans agreed, i.e. disbursed. Nevertheless, new loan production represents new loans granted, even when they are not actually disbursed to the borrower, in accordance with the Eurosystem harmonised methodology. For this reason, the production of new loans differs from monthly changes in outstanding loans. Indeed, on the one hand, outstanding loans are recorded after the effective disbursement of funds and, on the other hand, they are reduced by the amortization of old loans.
- The weighted average rates and new business volumes are calculated according to the harmonized definitions of the Eurosystem. Published rates are the narrowly defined effective rate (NDER). They correspond to the interest component of the Annual Percentage Rate of Charge (APRC). Renegotiated loans also include external mortgage repurchases.
- The outstanding growth rates are calculated from monthly changes in stocks (including sales and securitization) by correcting from modifications that do not reflect economic changes, especially, the accounting derecognition of loans from the MFI's statistical balance sheet due to write-offs/write-downs. Conversely, exchange rate effects are taken into account without any change for technical reasons.
- Monthly growth rates are those of new loans agreed, i.e. disbursed. Nevertheless, new loan production represents new loans granted, even when they are not actually disbursed to the borrower, in accordance with the Eurosystem harmonised methodology. For this reason, the production of new loans differs from monthly changes in outstanding loans. Indeed, on the one hand, outstanding loans are recorded after the effective disbursement of funds and, on the other hand, they are reduced by the amortization of old loans.
- The weighted average rates and new business volumes are calculated according to the harmonized definitions of the Eurosystem. Published rates are the narrowly defined effective rate (NDER). They correspond to the interest component of the Annual Percentage Rate of Charge (APRC). Renegotiated loans also include external mortgage repurchases.
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Updated on the 6th of March 2025