Number of Multiple Debtors Declines, but Surges Among Those Aged 60 and Older

While the number of multiple debtors continues to show a downward trend, the demographic is becoming increasingly aged, with those aged 60 and older being the only group to record a double-digit increase.
According to data received from the Financial Supervisory Service by the office of Representative Lee Hun-seung of the People Power Party, a member of the National Assembly's National Policy Committee, on June 30, the number of multiple debtors stood at 1,637,532 at the end of the first quarter, a 1.1% decrease from the end of last year (1,655,461).
The total outstanding loan balance also fell to 155.381 trillion won, a 1.7% decrease from the end of last year (158.068 trillion won).
This is based on multiple debtors who hold credit loans from three or more financial institutions.
The population of multiple debtors is showing signs of aging.
The number of multiple debtors aged 60 and older rose by 10.5% to 313,806, and their outstanding loan balance increased by 12.5% to 23.953 trillion won.
In contrast, the number of debtors in their 20s through 40s decreased during the same period, and the growth rate for those in their 50s remained at the 1% level.
For those in their 20s, the number of debtors and the loan balance fell by 22.3% and 27.3%, respectively, to 63,499 people and 2.692 trillion won.
For those in their 30s, the figures dropped by 5.2% and 10.4% to 279,191 people and 23.505 trillion won, while those in their 40s saw a 4.4% and 4.6% decline to 479,396 people and 53.487 trillion won.
Those in their 50s recorded 501,640 people and 51.744 trillion won.
The number of elderly multiple debtors has been increasing every year from 254,267 people and 19.153 trillion won at the end of 2023.
The total number of borrowers, including both credit loans and mortgage loans, had been decreasing until the end of last year but turned to an increase this year.
In the first quarter, the total number of borrowers was 19,327,101, and their outstanding loan balance was 1,914.931 trillion won, an increase of 0.1% and 0.3%, respectively, compared to the end of last year.
The number of borrowers had decreased from 19,503,098 in 2023 to 19,301,485 at the end of last year before returning to an upward trend.
The outstanding loan balance has increased every year from 1,849.382 trillion won during the same period.
Bank of Korea statistics also show an expanding trend of multiple debtors among the elderly.
According to data received from the Bank of Korea by the office of Representative Park Sung-hoon of the People Power Party, a member of the National Assembly's Strategy and Finance Committee, the proportion of multiple debtors aged 60 and older reached 16.0% at the end of the first quarter, up from 15.4% at the end of last year.
This is the first time it has reached the 16% range in about five years.
The proportion of outstanding loan balances for those in their 60s also increased by 0.5 percentage points from the end of last year to 15.9%.
The proportion of multiple debtors and the proportion of loan balances for those in their 40s recorded 27.7% and 32.7%, respectively, down by 0.7 percentage points and 0.5 percentage points.
Those in their 50s also saw a decrease of 0.1 percentage points and 0.2 percentage points to 26.8% and 28.7%, respectively.
However, for those under 30, the figures rose by 0.2 percentage points and 0.3 percentage points to 29.5% and 22.7%.
This is based on borrowers who are using total loans, including credit loans, from three or more financial institutions.
In fact, the outstanding loan balance of elderly self-employed individuals is also on the rise.
According to data from NICE Information Service, as of the end of April, the outstanding loan balance of individual business owners aged 60 and older at financial institutions was 406.7544 trillion won, a 2.5% increase from the end of last year, making it the only age group to see an increase.
(Photo: Yonhap News)
※ Please note: This article was translated by AI and may contain errors.