Woori Bank Launches Online Real Estate-Backed Loan for Sole Proprietors... "Up to KRW 1 Billion"

[Financial News] Woori Bank has expanded its online lending services for sole proprietors from unsecured loans to real estate-backed loans. 
On the 2nd, Woori Bank announced that it had launched the previous day an online real estate-backed loan that sole proprietors can apply for via mobile without visiting a branch. 
The service expands the online lending options of the bank's flagship product for sole proprietors, 'Woori Sajangnim Loan,' from existing unsecured loans to real estate-backed loans. Applications can be submitted through the 'Woori WON Banking for Business' app.
The types of real estate accepted as collateral have been expanded to include apartments, row houses and multiplex homes, officetels, commercial properties, and neighborhood commercial properties. Unlike existing online collateral loans, which were mainly limited to homes such as apartments whose market prices are easy to verify, the service now also accepts applications for commercial and neighborhood commercial properties, which are relatively more difficult to value, giving customers a broader range of options.
Eligible applicants are sole proprietors who provide real estate owned solely or jointly by them as collateral and meet Woori Bank's credit assessment standards. The maximum loan amount is KRW 1 billion. Applications can be submitted up to 15 business days before the desired disbursement date. Borrowers can choose between a lump-sum repayment at maturity and repayment in installments of principal.
After an application is submitted, a dedicated department handles document verification, collateral inspections, and on-site inspections of the business premises. Even when the applicant does not have registration information documents, only the registration-related procedures need to be handled at a branch, while the remaining steps can be completed online, minimizing the need for customers to visit a branch.
Park Jun-seok, head of Woori Bank's SOHO Business Division, said, "We have expanded our online financial services to include real estate-backed loans so that sole proprietor customers can conveniently secure the business funds they need." He added, "We will continue improving our financial services for sole proprietors so that customers can reduce the burden of visiting a bank and focus more on their businesses."

[email protected] Lee Hyun-jung Reporter