Credit loan, negative account limit increase (KB Kookmin Bank, Hana Bank, Woori Bank, NH Nonghyup Bank, Shinhan Bank)
Today, we will look at the news of each bank increasing the negative account limit and increasing the credit loan limit for office workers. It is said that the limit of negative bankbooks of the four major banks and the limit of credit loans for office workers, which were tied to the 50 million won limit since September last year, are going up all at once.
Banks, which began to drastically reduce loans last year under pressure from the financial authorities, are loosening the lock on credit loans, such as negative bankbooks, following cheonsei loans. As commercial banks’ household loans continue to decline this year and the new government is easing loan regulations, it is expected that the bank’s move to lower the loan threshold will accelerate.
◈ Woori Bank negative account limit increase
From April 4, it is said that the limit of bankbook loans for credit loan products will be increased from 50 million won to 80 million won to 300 million won depending on the type of product. This is the first time in a year and two months since the limit of all negative bank accounts was lowered to 50 million won in January last year.
◈ KB Kookmin Bank negative account limit increase 마이너스통장 한도 증액
KB Kookmin Bank is said to have raised the limit of negative bank accounts to 100 million won for products for general office workers and up to 150 million won for products targeted to professionals. 좋은뉴스
Since the 7th, KB Kookmin Bank has increased the limit of credit loan (minus bankbook) products with a limit transaction method up to 150 million won for products for professional groups (KB Doctor Loan, KB Loan, Ace Professional Unguaranteed Loan, etc.), and products for general office workers. (KB employee care credit loan, KB salary transfer credit loan, headquarters-approved group credit loan, etc.) has been increased to 100 million won.
◈ Hana Bank negative account limit increase
At the end of January this year, Hana Bank also raised the limit of bankbook loans for ‘Hana One Q Credit Loan’ from 50 million won to a maximum of 150 million won.
◈ NH Nonghyup Bank negative account limit increase
NH Nonghyup Bank said it will adjust the negative account limit from 50 million won to 250 million won. From the 4th of next month, Nonghyup Bank is said to return the household credit limit (negative bankbook) limit to a maximum of 250 million won, the level before the regulation on the total amount of household loans was strengthened. In addition, it is said that the limit of general credit loans and the limit of matong have been met. Nonghyup Bank raised the credit limit twice in January and February to operate the credit loan limit to 250 million won.
◈ Shinhan Bank negative account limit increase
Shinhan Bank is also said to be planning to restore the limit of negative bank accounts and general credit loans by the end of March or early April at the earliest. Currently, Shinhan Bank’s negative account limit is also tied at 50 million won, and regardless of credit, ordinary employees can’t get more than 150 million won in credit loans.
For reference, banks’ general credit loan limits are also being expanded. From the 4th of next month, Woori Bank is said to increase the limit of its representative credit loan product, ‘Woori Won’s Loan for Office Workers,’ from the current 100 million won to 200 million won.
NH Nonghyup Bank is said to have raised the credit loan limit to a maximum of 250 million won through two upward revisions in January and February. Other banks are also considering reinstating their credit limit.
In addition, the policy of restricting non-face-to-face applications such as mortgage loans for the purpose of changing loans, high-value credit loans, and single-family jeonse loans will also disappear. From the 28th, Kookmin Bank said it will allow non-face-to-face applications for repayment conditional loans, which convert another bank’s mortgage loan to Kookmin Bank’s loan product.
Woori Bank is also said to be lifting the limit of ‘100 million won in credit loans to other banks’, which was applied to new credit loans through non-face-to-face such as apps, starting from the 4th of next month. Recently, the five major commercial banks are said to have raised the limit of the Jeonse loan, which was only given by the increase in the Jeonse price, to ‘80% of the rental deposit’ and extended the loan application period when renewing the global contract.
It is expected that banks will continue to lower the loan threshold for the time being. This is because banks, which made record-breaking profits from an increase in loans last year, are now in a position to worry about their performance deterioration due to a decrease in loans this year.
According to the five major commercial banks, including Kookmin Bank, Shinhan Bank, Hana Bank, Woori Bank, and Nonghyup Bank, the balance of household loans stood at 705,293.2 billion won as of the 24th of this month, down 644.1 billion won from the end of last month. If this trend is maintained until the end of this month, it is said that the five major commercial banks will face an unusual situation of a decrease in household loans for three months in a row and all banks for four months in a row.
However, as the Presidential Takeover Committee and the Financial Services Commission have reached a consensus on ‘relaxation of household loan regulations’, it is highly likely that the regulations on the mortgage loan ratio (LTV) and the total debt service ratio (DSR) will be eased in the future. Therefore, when LTV and DSR regulations are relaxed, loan demand is expected to increase again.
It is said that various lending regulations of commercial banks, which were implemented last year as the financial authorities strengthened household debt management, have begun to be loosened in earnest. Most of the regulations, such as limiting negative bank accounts to 50 million won and limiting credit loans to less than annual income, are said to have returned to before the enforcement of measures to strengthen household debt management.
However, although household loans are on the decline, some say that if the new government’s easing of loan regulations and banks’ lowering of loan thresholds go hand in hand, household debt could surge again.