The real crack in the banking index started after HDFC Bank started falling at a rapid rate in the stock markets. In a recent report lowering the targets of HDFC Bank, Alliance Bernstein has raised serious concerns over the high unsecured credit in the books of private banks. Most private banks have relied on consumer loans to boost their books. This will not only be impacted by weak income growth but even repayment cycles are likely to get hit. Alliance has clearly pointed at a likely increase in the rate of delinquencies of consumer loans given out by private banks, which is a worry. Yes Bank raised a worry on two fronts. Firstly, the retail model and consumption-driven approach would only work up to a point and the focus will have to shift back to corporate credit. Secondly, the worsening economic situation could force higher NPAs on these private banks.