Inclusive Loan 'Saeheumang Holssi' Supply Increased by 20% to 5.1 Trillion Won This Year

Financial Authorities and Banks Strengthen Inclusive Finance

Significant Expansion of Support for Mid- and Low-Credit Borrowers

The financial authorities will expand the supply of the "Saeheumang Holssi" loan, a flagship inclusive financial product offered by banks for low-income individuals, to over 5 trillion won this year. This measure is aimed at alleviating the financial burden on low-income groups and supporting the country's policy of inclusive finance, with the target for this year significantly raised compared to the previous year.

According to the Financial Supervisory Service on March 23, the banking sector has set its supply target for Saeheumang Holssi loans in 2026 at 5.1 trillion won, an increase of 900 billion won (20.1%) from the previous year. Compared to last year's target, which was only up by 100 billion won from the year before, the goal for this year has been significantly raised.

Saeheumang Holssi is a representative policy financial product for low-income and low-credit individuals. Launched in November 2010 using banks' own resources, it had supplied a total of 42.2 trillion won to approximately 2.93 million people as of the end of 2025.

The eligibility criteria are: ▲ individuals with an annual income of 50 million won or less and a personal credit score in the bottom 20%, or ▲ individuals with an annual income of 40 million won or less. The loan interest rate is capped at 10.5% per annum, and the maximum loan amount is 35 million won.

Last year, the banking sector supplied 4.0167 trillion won in loans (to 214,000 people), an increase of 500.3 billion won from the previous year. Although the goal was missed by a small margin compared to the target of 4.2 trillion won, factors such as the expansion of non-face-to-face sales channels and the activation of specialized products contributed to the increase.

By bank, Woori Bank recorded the highest supply at 736.7 billion won, followed by Hana Bank (591.3 billion won), Shinhan Bank (584.8 billion won), NH Nonghyup Bank (567.6 billion won), and KB Kookmin Bank (540.6 billion won).

The interest burden has eased. The average interest rate for newly issued Saeheumang Holssi loans last year was 6.7% per annum, down from 7.6% in 2024. The delinquency rate stood at 1.6% at the end of last year, maintaining a similar level as at the end of 2024.

A Financial Supervisory Service official stated, "Amid growing financial difficulties for low-income groups, the banking sector's commitment to expanding inclusive finance for mid- and low-credit borrowers has been reflected in this year's target," adding, "We will actively support the supply of customized products by promoting specialized options such as refinancing and youth-targeted products, as well as expanding non-face-to-face sales channels."

This content was produced with the assistance of AI translation services.