Handling 13 long-term, fixed-rate products
Possibility of early exhaustion in 2Q
In response to the soaring loan interest rate, with the upper end of the bank’s mortgage loan (main loan) interest rate exceeding 6% a year, the ‘open run’ (the act of running to buy goods as soon as a store door is opened) has started once more.
On the 4th, Hana Bank and NH Nonghyup Bank started selling qualified loans, a policy finance product for Judamdae. Eligible loans are long-term (10-40 years) fixed-rate loans that can be borrowed up to 500 million won when the homeless or single homeowner who is disposing of a house soon purchases a house with a market price of 900 million won or less. . Banks are dealing with loans by receiving allocations from the Korea Housing Finance Corporation on a quarterly basis. In the second quarter of this year, a total of 13 financial companies, including 10 banks including Woori, Hana, Nonghyup, IBK Enterprise, SC Cheil, Suhyup, Gyeongnam, Gwangju, Busan, and Jeju Bank, and three insurance companies, including Samsung, Kyobo, and Heungkuk Life, are eligible. deal with loans
The interest rate for eligible loans applied to most financial institutions this month is 3.95% per annum. Compared to the weighted average loan interest rate for eligible loans of financial companies in April of last year, which was 2.98% a year, it rose by regarding 1 percentage point in one year. However, the interest rate is relatively low compared to other loan products handled by banks. Qualified loan handling performance fell from 8,494.1 billion won in 2019 to 4.287.4 trillion won in 2020 due to the low interest rate due to Corona 19, but has been on an upward trend since last year. However, in the financial sector, there is an observation that the eligible loan limit will decrease in the future as the burden on metalsmiths increases due to an increase in market interest rates.
Hana Bank and Nonghyup Bank did not disclose the exhaustion rate on the same day, but there is a high possibility that the supply in the second quarter will be exhausted early. It is known that Hana Bank’s 2Q limit is around 250 billion won and Nonghyup Bank is around 30 billion won. Woori Bank used up regarding 38% of the 100 billion won limit in the second quarter on the second business day of qualifying loan sales. At the beginning of this year, Nonghyup Bank exhausted its first quarter supply within two business days of sales, and Woori Bank, which handled eligible loans with a monthly limit at the time, used up its limit on the first day of sales. Seong Tae-yoon, a professor of economics at Yonsei University, said, “It is necessary to review the qualification requirements according to income in order to keep the purpose of policy financial products and manage the risk of metalsmiths.”
Reporter Hwang In-ju
