Saemaul Geumgo Records 6% Delinquency Rate in Q3, Aims to Lower to 5% Range by Year-End

Active Sale of Non-Performing Loans Through MG Asset Management Company, Fully Operational Since Q3
Targeting a 5% Delinquency Rate by Year-End... Ongoing Sales in Q4

Saemaul Geumgo announced on November 6, 2025, that it plans to lower its delinquency rate to the 5% range by the end of 2025.

The delinquency rate at Saemaul Geumgo has been on the rise, reaching 6.81% at the end of 2024 and 8.37% in the first half of 2025.

In response, Saemaul Geumgo has been actively selling off non-performing loans this year and significantly reduced its delinquency rate, recording a rate in the 6% range at the end of September 2025, similar to the level at the end of the previous year.

To lower the delinquency rate, Saemaul Geumgo has established a continuous system for selling and managing non-performing loans, centered around Saemaul Geumgo Asset Management Company (MG AMCO), which was launched in July and began full-scale operations in the third quarter. The institution has also built various channels for handling non-performing loans, including Korea Asset Management Corporation (KAMCO), asset securitization, and NPL funds, thereby establishing a stable foundation for soundness management.

As of the fourth quarter of 2025, Saemaul Geumgo is continuing with its planned sales of non-performing loans, aiming to achieve a year-end delinquency rate in the 5% range.

Kim In, Chairman of Saemaul Geumgo Federation, stated, "As a financial institution serving the general public, Saemaul Geumgo is working closely with the Ministry of the Interior and Safety to pursue fundamental structural reforms. Although there are various challenges in the process of selling non-performing loans, we will do our utmost to restore financial soundness and normalize management as quickly as possible."

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