The 5 largest commercial banks decreased by 1.33 trillion won
“Intermediate and low-credit borrowers flock to the Internet
Decrease in demand, such as those with high credit ratings on commercial bank lines.”
Household loans from commercial banks have steadily decreased this year, but loans from internet-only banks have continued to increase for the fifth consecutive month. This is believed to be the result of the rush of low- and mid-credit borrowers who need living expenses and borrowers who want to get home mortgage loans non-face-to-face to internet banks.
According to the banking industry on the 5th, Kakao Bank’s household loan balance as of the end of last month stood at 26,544.5 billion won, an increase of 310 billion won from a month ago. The balance of K-Bank household loans also increased by 288.1 billion won to 8.49 trillion won in one month. Toss Bank did not disclose the loan balance, but it seems that the number of loans has increased as it is expanding its loan business. The household loans of the three internet banks increased by regarding 960 billion won on average from January to April.
This is in contrast to the decrease in household loans from commercial banks for the fifth consecutive month this year. At the end of last month, the balance of household loans at the five major commercial banks, including KB Kookmin, Shinhan, Hana, Woori and NH Nonghyup, stood at 701.6 trillion won, down 1.33 trillion won from a month ago. The decrease was larger than in April (-802 billion won). This is interpreted as the result of a decrease in the demand for credit and mortgage loans, mainly among high-credit people, as the asset markets such as stocks and real estate froze.
On the other hand, Internet banks are expanding loans to low- and medium-credit users. Loans for low- and medium-credit borrowers have a relatively high demand for living expenses. In addition, non-face-to-face home mortgage loans and cheonsei loans, which have been released by internet banks this year, are also seeing a steady flow of borrowers. Internet banks have recently entered a loan product comparison and brokerage platform and are continuing their aggressive loan business by diversifying their loan portfolios.
Reporter Hyemi Song [email protected]