Mortgage borrowers 37% also hold personal loans, facing the direct impact of a rate hike
Among borrowers who have taken out a mortgage, 37% also hold personal loans, meaning their interest burden is expected to rise immediately if the Bank of Korea’s base-rate hike next month becomes a reality. The key issue is the impact of this dual-loan structure on household repayment capacity.
Among mortgage borrowers, 37% also hold personal loans at the same time, and their repayment burden could increase immediately as the possibility of a Bank of Korea base-rate hike next month grows.
The report noted in particular that when mortgages and personal loans are used together, the interest burden overlaps. Personal loans often carry higher interest rates than mortgages, making total interest costs more likely to rise faster.
Meanwhile, some borrowers expressed concern that additional rate hikes would intensify financial pressure. Voices have emerged from people holding two or more loans, worrying about greater volatility and a worsening repayment burden.
This report points out that household debt and loan structures should be considered together when deciding interest rates next month. In particular, the key issue is the impact on households with low fixed expenses and those with a high proportion of loans.
The report also noted that the possibility of an interest rate hike itself is already changing the expectations of markets and households. Loan repayment schedules and securing disposable funds have emerged as immediate challenges.
Finally, the report said that changes in loan delinquency rates and consumption indicators should be monitored alongside policy decisions. These indicators are key variables in assessing household soundness.
Sources: 매일경제 경제
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