Citibank, Launching “Very Good Revolving Loan”
Citibank Korea, Inc. will launch “Very Good Revolving Loan” on January 9 which provides an annual 3% interest rate discount additionally to a contracted interest rate for customers who use less than 5% of the total overdraft limit.
For example, a customer who opens a “Very Good Revolving Loan” account at an interest rate of 7% at year with a limit of 30 million won may need to use the loan to pay an unexpected card spending amount. If using up to 1.5 million won or 5% of the 30 million won limit, the customer will be able to pay a 4% interest rate discounted by 3% annually from the contracted rate of 7% a year. However, if the revolving loan amount taken by the customer grows more than 1.5 million won, the customer has to pay the original 7% interest rate on the total outstanding loan amount.
An official from the bank explained that in an internal survey about 70% of revolving loan customers open the account to prepare for emergency and use only a part of the revolving limit in particular. Based on this result, the bank designed this product to allow salaried workers take small amount loans without a burden from high interest rates.
Main bank customers aged from 24 to 65 who are working at qualified companies by the bank criteria are eligible for “Very Good Revolving Loan.” The minimum contracted interest rate is annual 6.2% (annual 3.2% for the outstanding amount of less than 5%) and maximum loan limit is 30 million won.
Website: http://www.citibank.co.kr
Contact
Shin, Hyeon Jeong
Communication Dept.
Communication Dept.
+82-2-3455-2330
This news is a press release provided by Citibank Korea Inc..
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2월 13일 10:59
