Tag - Korean banks to tighten home loan standards

Korean banks to tighten home loan standards

Korean banks are expected to tighten credit standards for home loans starting from February next year, amid concerns over the country’s record-high household debt. The Korean Association of Lenders and the watchdog Financial Services Commission jointly announced new lending guidelines Monday, which will be introduced in Seoul in February and the rest of the country in May. The industry-led guidelines call for lenders to require new borrowers to prove their income and repayment ability, a departure from current practice that puts [...]

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