Lending services for foreign nationals becomes next battleground for banks
Korean banks are expanding lending services to foreign residents as they seek to tap a growing customer base beyond traditional services such as bank accounts and overseas remittances, industry officials said Tuesday. The shift reflects intensifying competition for foreign customers, including migrant workers and international students, as lenders broaden their offerings to include loans. Major…
Korean banks are broadening their lending services to foreign residents in a bid to attract a burgeoning clientele beyond conventional offerings such as bank accounts and overseas transfers, according to industry insiders. This trend underscores the escalating competition for foreign customers, encompassing migrant workers and international students, as financial institutions expand their portfolios to encompass loans.
Leading commercial banks have introduced specialized loan products for foreign borrowers in recent times. Hana Bank initiated the Hana Foreigner EZ Loan in August, catering to E-7 and E-9 visa holders, providing loans ranging from 10 million won ($7,500) with repayment periods up to 30 months. Shinhan Bank launched its SOL Global Loan, with a maximum loan amount of 20 million won.
NH NongHyup Bank also entered the market with its K-Foreigner Credit Loan, offering loans up to 30 million won to foreign borrowers. Regional banks have already established a presence in the sector. Jeonbuk Bank, located in North Jeolla Province, commenced offering loan services to foreign customers in 2016 and introduced online lending services in 2023. Kwangju Bank, another regional lender, was also mentioned in the source.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
