household loans-rebound

SEOUL, Nov. 2 (Yonhap) -- Household loans by major banks again rebounded in October from a month earlier despite tight borrowing regulations and higher rates, data showed Monday.

Outstanding household loans at five major lenders -- KB Kookmin Bank, Shinhan Bank, Hana Bank, Woori Bank and NH Nonghyup Bank -- stood at 783.6 trillion won (US$584 billion) as of end-October, up 2.77 trillion won from the previous month, according to data compiled by the banks.

The rebound came a month after such loans fell for the first time in six months.

The rise in household loans by banks was mainly attributed to a rise in both mortgage and credit loans.

Mortgage loans rose for the seventh consecutive month in October, gaining 1.7 trillion won to 623.99 trillion won at the end of last month, according to the data.

Credit loans also advanced 669 billion won to 108.89 trillion won over the cited period, following the previous month's 1.34 trillion-won fall.

The Bank of Korea (BOK) kept its benchmark interest rate unchanged last month at 3 percent after two consecutive rate hikes to give the central bank time to assess economic conditions amid prolonged tensions in the Middle East and robust exports.

The rate freeze came after the BOK raised the benchmark rate in its July and August meetings, citing "preemptive action" to curb mounting inflationary pressure and ensure macroeconomic stability.

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