{
  "id": 1659660,
  "title": "Banks grow frustrated as regulator leaves exception decisions to lenders",
  "url": "https://urgent.news/2026/08/18/banks-grow-frustrated-as-regulator-leaves-exception-decisions-to-1659660",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-18T07:17:03.000Z",
  "source": {
    "name": "The Korea Times",
    "slug": "the-korea-times-koreatimes",
    "url": "https://www.koreatimes.co.kr/business/banking-finance/20260818/banks-grow-frustrated-as-regulator-leaves-exception-decisions-to-lenders"
  },
  "original_language": "en",
  "account": "Confusion and frustration are escalating throughout the banking industry following the decision by financial authorities to leave the determination of exceptions in loan reviews to the lenders themselves, according to industry officials. The Financial Services Commission (FSC) announced this approach, stating it is intended to enable lenders to consider each borrower's unique situation. However, banks contend that this policy effectively shifts the responsibility of making such judgments onto them. They also express concern that worries about accountability for flawed assessments might cause lenders to tighten their standards even further.\n\nThe FSC's recent package, announced on Thursday, includes a restriction on jeonse loan guarantees for one-home owners in the Seoul metropolitan area and other regulated zones. Homeowners who rent out properties they or their spouses do not personally occupy will be classified as speculators. Jeonse is a distinctive Korean housing rental system where tenants pay a substantial initial deposit.",
  "summary": "Confusion and frustration are growing across the banking sector after financial authorities left banks to determine when to grant exceptions in some loan reviews under the latest comprehensive real estate finance measures, industry officials said Tuesday. The Financial Services Commission (FSC) said the approach is designed to allow lenders to take borrowers’ individual circumstances into…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "The Korea Times",
        "title": "Banks grow frustrated as regulator leaves exception decisions to lenders",
        "url": "https://urgent.news/2026/08/18/banks-grow-frustrated-as-regulator-leaves-exception-decisions-to",
        "published": "2026-08-18T07:07:03.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}