HF Cuts Bogeumjari Loan Rate by 0.20%p This July

- Akkim e-Bogeumjari Loan available at a record-low annual rate of 2.30%

Korea Housing Finance Corporation (HF, CEO Lee Jung-Hwan) stated on June 21, 2019, that it will lower the annual interest rates on Bogeumjari Loan products, its long-term, fixed-rate mortgage loans, by 0.20%p for July 2019.

With the rate cut, the rates of u-Bogeumjari Loan, a mortgage loan offered through the HF homepage, and t-Bogeumjari Loan, an offline mortgage loan available at commercial banks, will remain at 2.40% (10-year term) to 2.65% (30-year term). At the same time, the rates of Akkim e-Bogeumjari Loan, a cost-saving online-only Bogeumjari Loan that offers a 0.10%-point rate reduction thanks to its online loan agreement system and other online features, will stay in the record-low range of 2.30% (10-year term) to 2.55% (30-year term) since the launch of the Bogeumjari Loan. 

HF offers the u-Bogeumjari or t-Bogeumjari Loan rates for those switching to the Deonaeun Bogeumjari Loan scheme from their existing floating-rate, bullet-payment mortgage loans taken out from non-bank lenders. It also offers the Akkim e-Bogeumjari Loan rates for those signing up for the scheme online using an online agreement system.

In addition, HF offers a further rate discount for socially underprivileged households (including single-parent and multicultural families or families with three or more children or those with disabilities) and newlywed couples.

  ※ An additional rate discount of up to 0.80%p available for those with the prime lending rate and a 0.02%p rate discount coupon offered for those using Ansim JuMoney, an HF smartphone application

An HF official said, “Given the falling government bond interest rates and other internal and external housing market conditions, we’ve come to the decision to cut the Bogeumjari Loan rates. As the Bogeumjari Loan rates hit a record-low level, we recommend that customers feeling the interest burden from their higher-rate or floating-rate loans seriously consider our Bogeumjari Loan products.”