Banks plan to supply 3.5 trillion won this year
About 3.2 trillion won of ‘New Hope Spore’ loans, which lend money to low-income and low-income people with low credit, were supplied last year.
According to the Financial Supervisory Service on the 28th, the amount of New Hope Spore loans supplied by 15 domestic banks, excluding Korea Development Bank and Eximbank, totaled 3.17 trillion won last year.
This is 90.8% of the existing supply target (3.5 trillion won).
The Financial Supervisory Service explained the background to the failure of the target, saying, “The sales capacity has contracted due to the effect of the reduction of branch offices in the banking sector and the decrease in customers visiting the branches due to Corona 19.”
The slight decrease in demand for funds was also affected by the effect of extension of maturity and deferment of repayment for small business owners since April 2020 after the COVID-19 crisis.
However, the proportion of new Hope Spore loans through non-face-to-face channels showed an increasing trend in the second half of the year.
The proportion of non-face-to-face loans rose 5.5 percentage points (p) from 35.3% in the first half of last year to 40.8% in the second half.
This is interpreted as the effect that Shinhan, Woori, and Hana Banks started non-face-to-face loans earlier, and Kookmin Bank also started non-face-to-face loans from August last year.
The average interest rate (newly handled) for new Hope Spore loans supplied last year was 5.94%, down 0.09 percentage points from the previous year.
Although the average interest rate on household credit loans in the banking sector turned upward last year, it means that borrowers with low incomes and creditworthiness were provided with funds at relatively low interest rates.
Among borrowers eligible for support, 91% of the total were accumulated loans to low-credit borrowers with a credit score of the bottom 10% or to low-income earners with an annual income of 30 million won or less.
The delinquency rate stood at 1.43% as of the end of last year, and it is improving by 0.28 percentage points compared to the previous year (1.71%).
By bank, Kookmin (549 billion won), Hana (529.7 billion won), Shinhan (510.8 billion won), Nonghyup (563 billion won), Woori (460.8 billion won), and corporate (244.4 billion won) are in order. with a lot of supply.
The performance of the top six banks (2.8 trillion won) accounted for 88.3% of the performance of domestic banks.
This year, the bank plans to supply a new hope spore loan worth 3.5 trillion won.
Each bank decides its own supply target for this year in consideration of last year’s performance of handling new hope spores, operating profit, and household loan growth.
The New Hope Spore Loan is a financial product for low-income earners that lends up to 30 million won at an interest rate of 10.5% per annum to those with an annual income of 35 million won or less or 45 million won or less with a credit score of the bottom 20%.
Specific advice on applying for a loan can be obtained from a bank branch or call center.
/yunhap news
