The recent decline in jeonse (lease) transactions has led to a slowdown in the growth of household loans, and the increase in personal "debt investment" has also narrowed. According to 20th, the Financial Supervisory Service reported that household loans at banks and non-bank financial institutions increased by 4.9 trillion won in August, a decrease of 2.1 trillion won from the previous month's 7 trillion won. In August, jeonse loans, which are a type of household loan, increased by 700 billion won, down 1.6 trillion won from the previous month's 2.3 trillion won. The slowdown in household loans is attributed to the decline in jeonse transactions. The Korea Real Estate Agency reported that the number of jeonse transactions in Seoul and the metropolitan area decreased by 15.9% and 23.1%, respectively, compared to the previous month. The Financial Supervisory Service analyzed that "the slowdown in household loans is due to the decrease in jeonse transactions and the base effect of the previous month's large increase." The increase in household loans in August was mainly due to the increase in mortgage loans, which rose by 2.9 trillion won, up 400 billion won from the previous month. On the other hand, the increase in other types of loans, such as credit loans, decreased by 1.1 trillion won to 1.4 trillion won. The Financial Supervisory Service also reported that the increase in "debt investment" by individuals, which refers to borrowing money to invest in stocks or other assets, also narrowed. The stock investment credit balance, which is an indicator of debt investment, increased by 217.4 billion won in August, down 132.6 billion won from the previous month's 350 billion won. The Financial Supervisory Service stated that "we will continue to monitor the trend of household loans and debt investment, and take necessary measures if necessary."
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