BNK Busan Bank charged higher-than-rule additional interest margins on thousands of loans and refunded the interest revenue to customers.
According to the financial sector on the 29th, Busan Bank set and collected additional interest margins about 0.5 to 1 percentage point higher than regulations on some unsecured credit loan products, before being caught by the Financial Supervisory Service.
When extending the terms of the loans in question, Busan Bank sets the additional interest margin according to the number of nonbank loans, such as those with secondary financial institutions, held by the customer. It was reported that Busan Bank included loans that were exceptions and not subject to the additional interest margin and set the additional interest margin after summing them.
Even if they are nonbank loans, capital and card company auto installment finance, student loans, mortgage loans, jeonse deposit loans, and employee loans operated by a financial institution where the borrower is employed are excluded from the scope of additional interest margins.
The Financial Supervisory Service found a large number of similar cases while checking the matter after customers using the loans filed related complaints. Busan Bank then proactively refunded the extra interest and the interest revenue to customers in line with the Financial Supervisory Service's recommendation. The refunds reportedly covered about several thousand loans, with the refund amount reaching several hundred million won.