Naver Launches 'Online Business Credit Loan' with Annual Interest Rate as Low as 3.2%

Mirae Asset Capital Launches Loan Product for Smart Store Operators Using Alternative Credit Scoring System
Loan Limit Up to 50 Million KRW, Interest Rates from 3.2% to 9.9% Annually

[Asia Economy Reporter Ki Ha-young] Naver Financial announced on the 1st that it is launching the 'Mirae Asset Capital Smart Store Business Loan,' a credit loan product for Naver Smart Store business operators, in collaboration with Mirae Asset Capital.

This service is designed for online small and medium-sized enterprises (SMEs) that belong to financially underserved groups who had difficulty obtaining loans due to not meeting qualification requirements at traditional banks or financial institutions. It is the first online business operator-exclusive loan product utilizing an Alternative Credit Scoring System (ACSS).

For Smart Store operators who have little financial information, Naver Financial created a proprietary alternative credit scoring system by combining various real-time data generated on Smart Store?such as sales flow, proportion of repeat customers, customer reviews, and return rates?with financial data from existing credit bureaus (CB). Additionally, Naver’s machine learning algorithms, artificial intelligence (AI), and big data processing technologies were applied. Through this, Smart Store operators who previously found it difficult to get loans from primary financial institutions or had to borrow at high interest rates from secondary financial institutions can now obtain loans at relatively reasonable interest rates if they maintain monthly sales of 1 million KRW for three consecutive months.

The actual loan application and execution are conducted through Mirae Asset Capital, with Naver Financial acting as Mirae Asset Capital’s designated agent responsible for loan screening based on the alternative credit scoring system. The loan limit is up to 50 million KRW, with interest rates ranging from a minimum annual rate of 3.2% to a maximum of 9.9%. There is no prepayment penalty.

The loan application requirements have also been significantly relaxed. Naver Smart Store operators with sales of at least 1 million KRW for three consecutive months immediately prior to the application date are eligible to apply. Applicants can check their loan limit and interest rate within one minute using only mobile phone identity verification. Without issuing documents or visiting branches, the entire process from screening to disbursement can be completed remotely using a personal digital certificate registered with Hometax and the representative’s mobile phone. Loan applications can be made through the Smart Store Seller Center, Mirae Asset Capital’s website, and 'Naver Partner Financial Support,' a financial information channel for small business owners.

Kim Tae-kyung, Loan Service Leader at Naver Financial, stated, "We plan to enhance the alternative credit scoring system based on accumulated loan repayment history data to expand the service so that more business operators can use it. We will do our utmost to support online business operators in financial blind spots to secure stable funding and focus solely on their business without financial worries."