Personal loans rose by 3 trillion won in one month as leveraged investing spreads again
Amid the recent sharp rise in the KOSPI, individual investors have again been turning to leveraged investing, and bank personal loans increased by 3 trillion won in a month. Interest rates on personal loans rose to the upper 5% range, and some tallies put the upper end of rates close to 6%.
As the KOSPI has surged recently, more individual investors are again borrowing to invest. Multiple tallies showed that bank personal loans increased by 3 trillion won in a month. Another tally put the increase over the same period at 2 trillion won.
Even as interest rates on personal loans rose to the upper 5% range, demand for loans grew rapidly. Some tallies reported that the upper end of rates was close to 6%. The rise in rates and the expansion of lending have been observed at the same time.
Household debt growth had generally slowed under regulations limiting the total volume of household loans. The recent stock market rally brought a renewed surge in investment demand, and lending jumped. The monthly increase was the largest since the coronavirus19 pandemic.
The balance of personal credit loans 2reached its highest level in a year and a half. Banks are keeping a close watch on the rise in lending. More consumers are also turning to credit to invest.
Authorities and financial institutions are monitoring trends through household loan statistics. The relevant statistics and interest rate trends provide a basis for assessing future lending patterns. The market is watching both the rise in lending and the upward trend in interest rates.
Sources: 매일경제 경제
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