Search results for COFIX
Finance
Base rate raised twice, but loan rates move differently by product
The Bank of Korea has raised its policy rate twice in a row, but loan rates are moving at different speeds depending on the product. Variable-rate mortgages are typically linked to COFIX, while fixed and mixed-rate mortgages follow market rates such as bank debentures. Existing variable-rate borrowers also see changes only when their repricing cycle arrives. COFIX has risen for four straight months, while longer-term market rates can move earlier on policy expectations.
Finance
Race to pre-empt won stablecoin as third financial hub nears
South Korea\'s financial authorities raised their target for household loan growth this year and NH Nonghyup Bank resumed variable-rate mortgage lending, drawing attention to whether mortgage hurdles will fall across the sector. COFIX rose for a fourth month, increasing borrowers\' interest burdens. Financial support for mid-to-low credit borrowers and small businesses is spreading, while the government and regulators advance plans tied to regional finance hubs and debate over a won stablecoin shifts toward payment, distribution and custody infrastructure.
Finance
Cofix rises for fourth straight month, variable mortgage rates set to climb again
South Korea’s Cofix (Cost of Funds Index), a benchmark for banks’ variable-rate mortgage loans, rose for a fourth consecutive month, suggesting additional increases in variable mortgage rates. The Korea Federation of Banks said the July Cofix based on new loans came to 3.18 percent, up 0.13 percentage points from 3.05 percent a month earlier. The balance-based and new-balance-based measures also rose.
