After a seemingly never-ending rise in lending rates, the last few months have seen a reversal, with the lowest rates for home-related loans all hitting the 3% mark.

Credit loans have also fallen into the 5 per cent range, adding warmth to the lending market.

Reporter Park Ji-woon.

[Reporter]

As of the past two days, the lowest rates for home mortgage loans, both fixed and floating, and charter loans at major commercial banks were in the 3 per cent range, after falling to the 4 per cent range earlier this year.

It has been about 15 months since February last year that rates have fallen to this level.

The bottom of the fixed rate first fell to 3% in February, as the bond market stabilised amid expectations of a rate hike.

Since then, the bottom of the mortgage variable rate and loan-to-owner rates have also entered the 3 per cent range, reflecting the decline in market rates and deposit rates.

The lowest rate on buy-to-let loans has remained in the 3 per cent range for two months.

Credit loan rates, which soared to 6 per cent last year토토사이트, have also come down to 5 per cent, and are expected to fall further due to the implementation of online loan shifting services.

This is because the ease with which loans can be moved is likely to prompt lenders to compete to cut rates to prevent customer churn.

In fact, it was found that 100 billion won worth of loan assets were moved within two days of the online service.

“I think quite a few people can benefit from being able to switch (loans) online quickly and quickly….”

Meanwhile, household loans, which had frozen as interest rates fell, have started to grow again.

At the end of last month, the balance of household loans at the five largest banks stood at 677.612 trillion won, up 143 billion won from April, marking the first increase in 17 months.

After a seemingly never-ending rise in lending rates, the last few months have seen a reversal, with the lowest rates for home-related loans all hitting the 3% mark.

Credit loans have also fallen into the 5 per cent range, adding warmth to the lending market.

Reporter Park Ji-woon.

[Reporter]

As of the past two days, the lowest rates for home mortgage loans, both fixed and floating, and charter loans at major commercial banks were in the 3 per cent range, after falling to the 4 per cent range earlier this year.

It has been about 15 months since February last year that rates have fallen to this level.

The bottom of the fixed rate first fell to 3% in February, as the bond market stabilised amid expectations of a rate hike.

Since then, the bottom of the mortgage variable rate and loan-to-owner rates have also entered the 3 per cent range, reflecting the decline in market rates and deposit rates.

The lowest rate on buy-to-let loans has remained in the 3 per cent range for two months.

Credit loan rates, which soared to 6 per cent last year, have also come down to 5 per cent, and are expected to fall further due to the implementation of online loan shifting services.

This is because the ease with which loans can be moved is likely to prompt lenders to compete to cut rates to prevent customer churn.

In fact, it was found that 100 billion won worth of loan assets were moved within two days of the online service.

“I think quite a few people can benefit from being able to switch (loans) online quickly and quickly….”

Meanwhile, household loans, which had frozen as interest rates fell, have started to grow again.

At the end of last month, the balance of household loans at the five largest banks stood at 677.612 trillion won, up 143 billion won from April, marking the first increase in 17 months.