[Economy PICK] I raised the extra interest rate, but bank interest income "Ttuk"... Why?

[Anchor]
Bank Interest Income 'Ttuk' Raised Additional Interest Rate... Why?

In the second quarter, banks' net profit increased significantly and became a hot topic.

Loan interest rose a lot in the third quarter, but banks' profits are not as expected?

[Reporter]
Yes, in conclusion, banks' net profit did not increase further in the third quarter of this year, contrary to expectations.

The Financial Supervisory Service released data today, which showed that both net income and interest income were down from the previous quarter.

Net profit in the third quarter was 6.2 trillion won, down 1 trillion won and 13.9% from 7.2 trillion won in the second quarter, and interest income was 14.6 trillion won, down 300 billion won from the previous quarter.

However, if you cumulatively look at interest profits through the third quarter of this year, it is 44.4 trillion won, up 0.6% from the same period last year.

This is because cumulative interest income was high in the first half of this year.

[Anchor]
But didn't banks keep raising lending rates in the third quarter, after July, saying they had to cut household loans?

Why did interest income decrease compared to the second quarter?

[Reporter]
You may be curious about that.

As you said, in the third quarter of this year, banks competitively raised lending rates under the leadership of financial authorities.

Considering that the reduction of preferential interest rates is an act of raising interest rates in the end, the five major banks have raised lending rates 26 times since July.

However, this is because the additional interest rate raised applies only to new loans incurred in the third quarter.

Because the bank's interest income is the interest income of the entire loan that's been built up a long time ago, new loans in the third quarter have only a fraction of the impact.

So the effect of the rate before that is greater than the effect of the additional rate increased in the third quarter,

From the beginning of this year, market interest rates began to fall in the first and second quarters on expectations of a base rate cut,
The
loan interest rate fell sharply, but deposit rates were relatively small, and the sharp drop in net interest margins affected the settlement of interest income in the third quarter.

[Anchor]
But even if it's a loan that's been borrowed before, if it's a variable-rate loan, isn't the newly raised interest rate applied when the interest rate changes?

Yes, I generally think so, but in the case of variable-rate loans, when interest rates change, they are affected by the "base interest rate" at the time of change, but the additional interest rate arbitrarily raised by the bank is not applied.

The additional interest rate of the variable interest rate is only applicable at the time of the initial loan,
Let's hear from a bank official about
.

[Banking official: As you know, the additional interest rate has gone up a lot, and (for existing loans), the maturity of the mortgage loan is more than 30 years, so the additional interest rate does not change for 30 years. The base rate changes. The additional interest rate agreement was made when the agreement was first made, so the additional interest rate has not changed for 30 years.]