[DigitalToday reporter Ji-young Lee (이지영)] Shinhan Bank will expand inclusive finance, including lowering interest burdens for financially vulnerable groups.

Shinhan Bank said on Monday it will expand the "Saehuimang Holssi loan installment repayment preferential interest-rate discount" to 1.1 percentage points from 0.3 percentage points.

Along with the expanded discount, it also extended the installment repayment period for Saehuimang Holssi loans to a maximum of 84 months from 60 months.

With the change, the interest rate for newly issued Saehuimang Holssi loans can be applied as low as the 4 percent range depending on customer conditions. The bank plans to ease the financial cost burden for ordinary borrowers.

Since February, Shinhan Bank has also operated the "Saehuimang Holssi virtuous-cycle inclusive finance program" that converts customers' high-interest unsecured loans into a long-term installment repayment structure under Saehuimang Holssi loans. After conversion, it provides a fixed interest rate of 6.9 percent a year and a loan term of up to 10 years.

A Shinhan Bank official said, "We are pursuing inclusive finance in a direction that does not stop at one-off support, but provides real help for long-term credit recovery," adding, "We will continue to help customers build a foundation for a restart."