Fair Trade Commission Accelerates Investigation into Collusion on Loan Interest Rates Among Commercial Banks

The Fair Trade Commission (FTC) is accelerating its investigation into allegations of loan interest rate collusion among major commercial banks.

According to industry sources on the 12th, the FTC's Cartel Investigation Bureau conducted on-site inspections last month at six banks, including the five major commercial banks (KB Kookmin, Shinhan, Hana, Woori, NH Nonghyup) and IBK Industrial Bank of Korea.

It is reported that the FTC stated in the investigation notice sent to the banks that it would investigate whether there were any unfair joint actions regarding fees and interest rates.

The FTC plans to review the materials obtained during the investigation and conduct additional on-site inspections if necessary. The core issue is to determine whether there was an agreement among the banks to collude.

Earlier, on the 15th, President Yoon Suk-yeol criticized the finance and telecommunications industries at an emergency economic and livelihood meeting, instructing related ministries to "prepare special measures to strengthen the practical competition system."

Following President Yoon's remarks, the FTC is understood to have conducted the on-site inspections after internal review.