Thai household NPLs climb to 1.24 trillion baht as foreclosures of low-priced homes surge 210%
Thailand’s household NPLs reached 1.24 trillion baht in Q2, 2025, while foreclosures — especially homes and condos under 1 million baht — rose 210%, NESDC reports
• Thai household non-performing loans (NPLs) in Q2, 2025 reached 1.24 trillion baht.
• Asset seizures, especially homes and condominiums, rose 210% year-on-year.
• The NPL-to-total-credit ratio increased to 9.11%, with rises across all loan categories.
Today (November 24, 2025), Onfa Vechacheewa, secretary-general of the National Economic and Social Development Council (NESDC), reported that household debt in the second quarter of 2025 declined in line with a contraction in financial-institution lending, resulting in a lower household-debt-to-GDP ratio. However, she noted that households’ repayment capacity remains a concern.
Key issues requiring attention include: accelerating assistance for mortgage borrowers before foreclosure; supporting access to credit for households affected by floods through the “Clear Debt, Move Forward" scheme; and finding measures that also cover non-bank borrowers.
In Q2, 2025, total household debt stood at 16.31 trillion baht, a drop of 0.3% due to tighter caution in new lending as borrower credit quality deteriorated. This lowered the household-debt-to-GDP ratio to 86.8%, down from 87.1% in Q1, marking the sixth consecutive quarterly decline since Q1, 2024.
Meanwhile, personal loan balances overdue by more than 90 days (NPLs), based on credit bureau data, totalled 1.24 trillion baht, or 9.11% of total credit, up from 8.78% in the previous quarter, reflecting an across-the-board rise in NPLs across all loan types.
Exceptions were housing loans and personal loans, which grew 1.7%, driven by temporary easing of loan-to-value (LTV) rules, extended cuts in transfer and mortgage fees, and expectations of declining interest rates.
Personal loans saw an acceleration in growth from 3.8% in Q1 to 4.1% in the current quarter.
Vehicle loans continued to contract for the seventh consecutive quarter, shrinking 9.6%, in line with declining car sales since 2023. Likewise, credit card loans and regulated personal loans shrank by 2.6% and 0.2%, respectively.
In addition, asset seizures increased by 210% compared with the same quarter last year, driven by foreclosures of houses and condominiums, especially units priced below 1 million baht.
