PeopleFund Partners with Acuon Savings Bank to Expand Mid-Interest Rate Loans

Kim Dae-yoon, CEO of PeopleFund (left), and Lee Ho-geun, CEO of Accuon Savings Bank, taking a commemorative photo after the business agreement ceremony. Photo by PeopleFund

[Asia Economy Reporter Song Seung-seop] Accuon Savings Bank is joining PeopleFund, an online investment-linked finance company, as an investor, becoming the first in the savings bank industry to do so.

According to PeopleFund on the 12th, the two institutions will begin full-scale collaboration this month based on the strategic business agreement signed at the end of last year. Accuon Savings Bank will join as an institutional investor to support mid-interest rate loans. It is explained that mid- to low-credit borrowers with a grade of 4 or below, who have been using high-interest loans, will receive better interest rates and limit conditions.

Additionally, the two companies will join forces in ▲ developing new partnership financial products and financial services ▲ mutual cooperation for the advancement of new financial businesses ▲ exchange of technology and know-how ▲ research and investigation for feasibility studies of new businesses.

Based on this, PeopleFund plans to focus on enabling customers who have taken out high-interest loans to use its mid-interest loan products with an average rate of 10-11%. Currently, the proportion of loans to mid- to low-credit borrowers with a grade of 4 or below has also expanded to the 80% range.

Kim Dae-yoon, CEO of PeopleFund, emphasized, “We will coexist with existing financial sectors to provide greater benefits to financial consumers,” adding, “Mid- to low-credit borrowers can now quickly obtain loans under better conditions.”