South Korean financial authorities deny mortgage restriction rumors

South Korean financial regulators have officially denied rumors circulating online regarding new mortgage restrictions. Specifically, Lee Eok-won, Chairman of the Financial Services Commission, clarified during a National Assembly audit that the government is not planning to ban mortgage loans for homes priced above 1.5 billion won.

Addressing the misinformation, Lee stated that such claims are “absolutely not true” and announced that the commission intends to take strict measures, including requesting investigations, against those spreading false information that undermines market order.

Despite the denial of new restrictions, both the Financial Services Commission and the Financial Supervisory Service emphasized the necessity of maintaining current high-intensity household debt management. Chairman Lee noted that South Korea’s household debt levels are viewed as excessively high by international organizations, stating, “There is no country where loans are issued as easily as in Korea.”

Financial authorities indicated that managing total household debt volume remains a priority to mitigate systemic financial risks, suggesting that strict regulatory stances on lending will likely continue into the next year.