Gwangju Bank-Toss Bank 'Together Loan' Surpasses 320 Billion Won

Only 100 Days Since Release

Gwangju Bank and Toss Bank, the first in the financial sector to jointly launch the ‘Hamkke Daechul’ (Together Loan), have achieved a loan scale of 320 billion KRW within 100 days of its launch.

This product was designated as an innovative financial service by the Financial Services Commission and is a personal credit loan product jointly created by Gwangju Bank and Toss Bank. Eligible applicants are wage earners currently employed for more than 3 months with a verified annual income of over 10 million KRW. The loan limit ranges from a minimum of 1 million KRW to a maximum of 200 million KRW.

Through the joint product launch, Gwangju Bank can reduce marketing costs, and Toss Bank can cut operational expenses, allowing them to pass on cost savings to customers. It is expected to result in an annual interest cost reduction effect of approximately 3.3 billion KRW.

According to Gwangju Bank, the factors behind surpassing the 320 billion KRW loan scale include not only the eligibility criteria and loan limits but also the loan interest rate applied at a minimum annual rate of 4.75% (variable rate as of the 5th).

Gwangju Bank and Toss Bank, the first in the financial sector to jointly launch the 'Together Loan,' have reached a loan volume of 320 billion KRW within 100 days of its launch. Photo by Gwangju Bank

Through this, on average, about 100 customers per day were provided with loan services of approximately 31 million KRW per customer. Unlike credit loans offered individually, utilizing the credit evaluation models of both companies allowed loans to be provided to a more diverse customer base. Approximately 1,500 customers who were difficult to screen solely by Gwangju Bank were additionally able to use this product.

Analysis of the customer base since the launch shows that among ‘Hamkke Daechul’ users, 54% work at medium-sized and small enterprises, which is a higher proportion than the 40% of customers mainly consisting of public officials, large corporations, and professionals. The age distribution of ‘Hamkke Daechul’ users is 40% in their 20s to 30s and 56% in their 40s to 50s, showing a higher usage rate among young customers compared to the national average of 31.4% for borrowers in their 20s to 30s (as of Q3 last year).

Park Jongchun, Vice President of Gwangju Bank, said, “We will strive to meet the expectations of financial authorities and consumers through the stable operation of Hamkke Daechul and maintain high customer satisfaction. We will continue to collaborate to develop innovative financial products and do our best to ensure more financial consumers can benefit.”