IBK Industrial Bank of Korea will introduce a non-face-to-face loan product that provides up to 10 million won at an annual interest rate of 6.0 percent to improve financial access for low-income and low-credit borrowers.
The bank said on Aug. 6 it will launch the non-face-to-face-only product, called the i-ONE Sunshine Loan special guarantee, on Aug. 7.
The product targets salaried workers who have been employed for at least three months, with annual income of 35 million won or less, and whose credit scores from external credit rating agencies NICE and KCB are in the bottom 20 percent.
The loan limit is up to 10 million won per person and the interest rate is 6.0 percent a year. The early repayment fee is fully waived.
For borrowers who meet certain requirements, including keeping cumulative overdue days within 60 days after the loan is disbursed, the guarantee fee rate will be reduced by up to 1.5 percentage points per year for faithful repayment.
A bank official said, "We will improve financial access for vulnerable groups through this product," adding, "We will continue to expand non-face-to-face financial products for ordinary people."
Ji-young Lee
ljy@d-today.co.kr