Household Loans via Loan Comparison Platforms Reach 3 Trillion Won... 1.7% of Total Loans

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It has been identified that the scale of household loans executed through online loan comparison and brokerage platforms at banks last year was approximately 3 trillion won.

According to the financial sector on the 20th, the Financial Supervisory Service recently inspected the actual use of online loan platforms by domestic banks and found that the total amount of household loans raised through loan platforms last year was 3.1 trillion won, accounting for 1.7% of the total new loans (181.8 trillion won).

As of March, 13 domestic banks were reported to have signed consignment contracts with online loan platforms. Loans executed by regional banks, which have relatively limited branch networks, amounted to 2.3 trillion won, three times that of commercial banks (700 billion won).

Among the 14 online loan platforms, KakaoPay and Viva Republica (Toss) accounted for 86.8% of the total loan volume.

According to the ‘Mid-interest Rate Loan System Improvement Plan’ announced by the Financial Services Commission in April last year, the number of loan inquiries and borrowers through non-face-to-face loan platforms has steadily increased since 2020. In particular, it was found that middle- and low-credit borrowers are using loan platforms to execute loans at relatively low interest rates. In this regard, the Financial Supervisory Service plans to manage potential risks and strengthen related monitoring.

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