Viva Republica, the operator of Toss, will lower brokerage fees for savings banks offering the "Sunshine Loan special case" product listed on its loan comparison service. The move aims to reduce savings banks' fee burdens and expand the supply of public finance products for the lowest-credit borrowers.

Toss said on Tuesday it will cut the brokerage fees savings banks pay when handling the Sunshine Loan special case by about 16 percent from current levels.

The Sunshine Loan special case is a public finance product for the lowest-credit borrowers with annual income of 35 million won or less and credit scores in the bottom 20 percent.

Eight savings banks currently handle the Sunshine Loan special case on the Toss loan comparison service. The fee cut applies through the end of this year.

Toss plans to use the fee cut to reduce savings banks' burden in handling the Sunshine Loan special case and support an expansion in product supply. Users can compare and apply for products from several savings banks through the Toss loan comparison service.

A Toss official said, "We hope the fee cut will help expand the supply of public finance products for the lowest-credit borrowers."