KB Kookmin Bank Also Blocks Mortgage Loans for Single-Homeowners

Restrictions on Additional Mortgage Loans for Housing Purchase in the Seoul Metropolitan Area
Mortgage Loans Allowed When Existing Housing is Disposed

Lee Bok-hyun, Governor of the Financial Supervisory Service, is attending and speaking at the on-site meeting for household loan borrowers and experts held at KB Kookmin Bank in Yeouido, Seoul on the 4th. Photo by Jo Yong-jun jun21@

Following Woori Bank, KB Kookmin Bank will also restrict mortgage loans for additional housing purchases in the Seoul metropolitan area by households owning one home. Beyond measures to reduce loan limits and maturities to curb the surge in household loans, they are blocking mortgage loans altogether for homeowners.

According to the financial sector on the 5th, KB Kookmin Bank decided through an internal meeting to restrict mortgage loans for additional housing purchases by one-homeowner households starting from the 9th.

However, mortgage loans for moving or switching homes, conditional on disposing of the existing home, will still be available. In such cases, submission of the sales contract and proof of deposit receipt for the existing home is required.

Additionally, from the same day, KB Kookmin Bank will also limit unsecured loans to within the borrower’s annual income.

Previously, Woori Bank was the first in the banking sector to restrict mortgage loans for additional housing purchases in the Seoul metropolitan area by one-homeowner households.