HF Freezes Bogeumjari Loan Rate This February

- Bogeumjari Loan rates as low as 2.85% depending on product type and maturity

Korea Housing Finance Corporation (HF, CEO Lee Jung-Hwan) said on January 25, 2019, that it will freeze the annual interest rates on Bogeumjari Loan products, its long-term, fixed-rate mortgage loans, for February.  

The rate freeze will keep the interest rates of u-Bogeumjari Loan, a mortgage loan offered through the HF homepage(www.hf.go.kr), and t-Bogeumjari Loan, an offline mortgage loan available at commercial banks, at 2.95% (10-year term) to 3.20% (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, will stay in the range of 2.85% (10-year term) to 3.10% (30-year term).

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

For those who switch from non-banking lenders' floating-rate or bullet-payment mortgage loans to the Deonaeun Bogeumjari Loan scheme, the rates of u-Bogeumjari Loan and t-Bogeumjari Loan apply. If they sign up for the scheme online using an online agreement system, HF offers them the Akkim e-Bogeumjari Loan rates.

An HF official said, “As the possibility of interest rate hikes in the United States cannot be ruled out, we’d better prepare until uncertainty clears. It is beneficial to take out a fixed-rate mortgage loan while interest rates are low.”