Financial Services Commission Discusses Household Loan Measures with Executives of Five Major Banks

[Asia Economy Reporter Kwangho Lee] Financial authorities will discuss measures related to household loans with executives from the five major commercial banks.

According to the financial sector on the 14th, loan officers (at the vice president level) from the five major commercial banks?KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup?are scheduled to attend a closed-door meeting held by the Financial Services Commission in the afternoon.

At this meeting, each bank is expected to report on the current status of household loan growth and the management measures implemented so far, and discuss additional measures with the Financial Services Commission.

In particular, management plans for the rapidly increasing jeonse deposit loans are expected to be the main topic of discussion.

The financial authorities are anticipated to seek opinions from the banking sector on ways to suppress jeonse deposit loans as much as possible without harming genuine borrowers.

Meanwhile, according to the 'Financial Market Trends' report released by the Bank of Korea the previous day, as of the end of last month, the outstanding balance of household loans at banks was 1,052.7 trillion won, an increase of 6.5 trillion won compared to the end of August.

Although this increase is smaller than the earlier rises in April (16.2 trillion won) and July (9.7 trillion won), it is actually larger than the 6.1 trillion won increase recorded in August.

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