S. Korea Household Loans Post Record Fall on Tax Break End
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South Korea’s bank lending to households fell the most on record after home-transaction tax benefits expired at the end of last year.
Banks’ loans to households declined 3.5 trillion won ($3.2 billion) last month to 463.1 trillion won, the biggest drop since the central bank began to compile the data in 2003, the Bank of Korea said in an e-mailed statement today. Mortgage lending dropped 2.3 trillion won to 314.7 trillion won while loans to companies rose 4.7 trillion won to 593.7 trillion won.