Higher Payment in Initial Years Available in JTYK

Beginning the next month, JTYK borrowers will be able to select the "decrease" option, in which the monthly payments start high and then decrease each year.

At present, only the "fixed" option, in which a fixed amount is paid out each month for life, and the "increase" option, in which the monthly payments start lower but increase by three percent each year, are available.

On September 28, KHFC announced that, beginning on October 1, it would introduce the monthly payment "decrease" option to offer JTYK users more options. For instance, if a 75-year-old applicant owning a house valued at KRW 300 million selects the "decrease" option, he/she will receive KRW 1.63 million per month in the first year. The payment will be at least KRW 300,000 more than when an applicant with a home of the same value chooses the "fixed" option (KRW 1.33 million per month) or the "increase" option (KRW 1.06 million per month). After 10 years, the monthly payment will decrease to KRW 1.2 million under the "decrease" option, stay the same at KRW 1.33 million under the "fixed" option, and