In April 2025, the Polish credit market recorded significant year-on-year growth in two loan categories: cash loans and housing loans. Banks and credit unions granted 21.6% more cash loans and 11.6% more housing loans compared to April 2024. At the same time, the number of installment loans dropped by 26.6% and credit card issuance fell by 5.5%. In terms of loan values, cash loans rose by 25.1%, housing loans by 17.7%, and credit cards by 0.9%, while installment loans declined by 8.8%. During the period from January to April 2025, only cash loans saw an increase in the number of agreements (+25.1%) compared to the same period last year. Installment loans, housing loans, and credit card agreements declined by 28.6%, 17.3%, and 6.2% respectively. The value of cash loans rose by 35.6%, and credit card limits by 3.8%, while housing and installment loans fell by 14.9% and 11.5% respectively. Installment loans experienced a sharp decline. The number of these loans dropped by 26.6% year-on-year in April, and their value decreased by 8.8%. According to Dr. hab. Waldemar Rogowski, Chief Analyst at the BIK Group, the fall is primarily due to a slowdown in low-value transactions, particularly those involving deferred payments transferred from the non-banking to the banking sector. Although some high-value loans were granted, which cushioned the overall decline in value, the market continues to be influenced by broader economic uncertainty. The average amount of an installment loan in April 2025 was PLN 2,275, up 24.3% from the previous year. The cash loan segment continued its upward trend. In April, banks issued 21.6% more cash loans than a year earlier, with the total value of these loans increasing by 25.1%. Customers are increasingly taking out loans for higher amounts, often over PLN 50,000, driven by loan consolidation. Clients are combining existing liabilities into single loans, sometimes in the same bank or by switching to new providers. This strategy is supported by longer repayment terms or lower interest rates, increasing borrowing capacity. In the first four months of 2025, banks granted PLN 38.26 billion in cash loans. The average cash loan in April was PLN 26,864, marking a 2.9% increase year-on-year. Housing loans also showed signs of recovery. Banks issued 11.6% more housing loans in April compared to the same month last year, and 3.7% more than in March. In terms of value, the increase was 17.7% year-on-year and 5.7% month-on-month. The total value of new housing loans in April reached PLN 8.13 billion, a level not seen since 2021, excluding the months impacted by the Safe Loan 2% programme. The average housing loan rose to PLN 436,870, 5.5% higher than in April 2024. This growth is likely tied to expectations of further interest rate reductions and favourable market conditions for buyers. All four BIK loan quality indicators improved both year-on-year and month-on-month in April. The indicators remain at low, stable levels. According to Professor Rogowski, while credit quality is not currently at risk, ongoing monitoring is essential. He noted that legal risks—rather than traditional credit risk—pose a more significant concern for banks at present, particularly in relation to housing and consumer loans. Further interest rate cuts could support continued improvements in credit quality.