Last Year, 3.3 Trillion Won in 'Saeheemang Holssi Loans' for Low-Income Households

42% Increase Compared to Last Year, Average Interest Rate 7.9%
Supply Target for This Year is 4.1 Trillion Won

Financial Supervisory Service, Yeouido, Seoul. Photo by Younghan Heo younghan@

Last year, banks supplied approximately KRW 3.3414 trillion in Saehopeulssi loans to 179,000 people.

The Financial Supervisory Service (FSS) announced on the 25th that the supply of Saehopeulssi loans increased by KRW 1 trillion (42.3%) compared to the previous year due to efforts to expand supply, including expanding the target support, increasing non-face-to-face recruitment channels, and newly lowering interest rates last year.

The Saehopeulssi loan was introduced in November 2010 to provide funds to low-income households and alleviate financial burdens. Since its launch, it has supported about 2.53 million people with approximately KRW 34.7 trillion.

The average interest rate of Saehopeulssi loans last year was 7.9%, up 0.4 percentage points from 7.5% the previous year. The delinquency rate was 1.4% as of last year, and the FSS explained that the delinquency rate is being maintained stably.

By bank, the top five banks?KB Kookmin (KRW 551.9 billion), Shinhan (KRW 515 billion), Hana (KRW 498.5 billion), NongHyup (KRW 492.4 billion), and IBK Industrial (KRW 473.9 billion)?accounted for 75.8% of the total supply volume.

This year's supply target is about KRW 4.1 trillion, an increase of KRW 130 billion compared to last year. An FSS official stated, "We will continue efforts to improve accessibility for low-income and vulnerable borrowers and to alleviate interest rate burdens through linking Saehopeulssi with the comprehensive low-income financial platform in the future."