All Financial Sectors' Household Loans Increased by 9.5 Trillion Won in February... Up 8.5% Compared to a Year Ago

Increase of 9.5 Trillion Won Due to Moving Season, with 7.7 Trillion Won in Mortgage Loans

[Asia Economy Reporter Park Sun-mi] Household loans across all financial sectors, including banks and the secondary financial sector, increased by 9.5 trillion KRW last month. Although this increase was 900 billion KRW less than the 10.4 trillion KRW rise in January, the scale of household loans grew by 8.5% compared to February of last year.

On the 10th, according to the 'Household Loan Trends' report by the Financial Services Commission and the Financial Supervisory Service, the increase in household loans across all financial sectors in February was 9.5 trillion KRW, with bank household loans rising by 6.7 trillion KRW. This increase was smaller than January's 7.6 trillion KRW and decreased by 2.6 trillion KRW compared to 9.3 trillion KRW in February last year. The increase in household loans in the secondary financial sector, including mutual finance, was 2.8 trillion KRW in February, the same as in January. Compared to February last year, it expanded by 2.6 trillion KRW.

By loan type, mortgage loans increased by 7.7 trillion KRW in February. This was an expansion of 1.8 trillion KRW compared to the previous month and an increase of 800 billion KRW compared to February last year. In particular, bank mortgage loans expanded by 6.4 trillion KRW, including jeonse deposit loans (+3.4 trillion KRW), general mortgage loans (+2.3 trillion KRW), and group loans (+700 billion KRW). The increase in mortgage loans is interpreted as being influenced by the moving season. In the secondary financial sector, mortgage loans increased by 1.3 trillion KRW in February, expanding by 400 billion KRW compared to the previous month and by 2.2 trillion KRW compared to the same month last year.

Other loans, including credit loans, increased by 1.8 trillion KRW in February. In the banking sector, credit loans decreased by 14.3 billion KRW due to reduced demand for stock-related funds and Lunar New Year bonuses. Conversely, in the secondary financial sector, credit loans increased by 1.5 trillion KRW in February.

The financial authorities stated, "While closely monitoring household loan trends, we will prepare household debt management measures within this month to ensure a smooth landing of household debt."

This content was produced with the assistance of AI translation services.