Stricter Screening for 'Group Loans' Like Final Payment Loans... "Getting a Loan Is Difficult"

The Loan Limit for Final Payment Has Been Significantly Reduced

A loan counter at a bank in downtown Seoul

[Asia Economy Reporter Kwangho Lee] Banks are tightening loans not only for jeonse loans but also for group loans such as balance payment loans by providing only the necessary amount of money.

According to the financial sector on the 7th, Hana Bank limited the balance payment loan limit related to the sale of an apartment in Yuseong-gu, Daejeon, last month to within 70% of the sale price.

Hana Bank stated that this was not applied only to the loan for the apartment in question, but there is a possibility that the balance payment loan limit will be set based on the sale price for other projects in the future.

Woori Bank is strictly reviewing the balance payment loan limits for high-risk borrowers with a high Debt Service Ratio (DSR), and Shinhan Bank is also calculating the limit based on the current market price of the sale apartment but only lending up to the maximum sale price.

Since September 29, KB Kookmin Bank changed the collateral criteria for move-in balance payment loans among group loans from the existing 'KB market price or appraised value' to 'the lowest amount among sale price, KB market price, and appraised value.'

Until now, when calculating the balance payment loan limit, most loans were based on the current market price, applying the Loan-to-Value ratio (LTV), allowing borrowers to receive balance payment loans with some margin. However, if the lowest price among the sale price, KB market price, and appraised value is used as the standard, the balance payment loan limit is significantly reduced, usually based on the sale price.

Some banks are refraining from balance payment loans as part of managing the total household loan volume. NH Nonghyup Bank plans to refrain from balance payment loans until the end of this year and approve them from next year, but only for apartment projects where interim payment loans were previously provided.

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