As household loan growth accelerates, banks are tightening overall management, with Woori Bank limiting mortgage loans to 1 billion won per branch.
According to the financial sector on July 14, Woori Bank will reduce the monthly sales limit for housing-related loans (mortgage loans and jeonse loans) from 3 billion won to 1 billion won per branch starting July 16.
Previously, Woori Bank had set the housing-related loan limit at 1 billion won per branch in November last year, which was later increased to 3 billion won this year. However, due to the growing need for household loan management, the bank has decided to reduce the sales limit again after eight months.
Additionally, starting July 16, Woori Bank will also impose restrictions on mortgage insurance (MCI, MCG) subscriptions.
MCI and MCG are insurance policies required when taking out a mortgage loan. Without this insurance, only the amount excluding small rental deposits can be borrowed, effectively reducing the loan limit. In the Seoul area, the loan limit will decrease to 55 million won, while in the Gyeonggi area, it will drop to 48 million won.
* This article has been translated by AI.
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