Loan News Roundup - August 27, 2025

SEOUL - South Korean banks saw a modest reduction in new loan rates for July as the Bank of Korea maintained its monetary easing cycle. The average interest rate on new bank loans fell to 4.06 percent, down 0.03 percentage points from June, driven by corporate lending at 4.04 percent and household loans at 4.20 percent. However, mortgage rates bucked the trend, rising 0.03 percentage points to 3.96 percent amid stricter government caps on high‐value home loans in Seoul and neighboring regions.

MOUNTAIN VIEW, Calif. - Google Play’s updated Personal Loans Policy officially takes effect today, August 27, 2025. Under the new rules, all apps offering personal lines of credit-including credit card and revolving credit services-must comply with enhanced transparency and disclosure requirements. Sensitive device permissions such as location, contacts, and external storage access are now prohibited for loan apps. Country‐specific licensing documentation (e.g., RBI approval in India, SEC registration in the Philippines) must also be submitted by developers.

LONDON - Her Majesty’s Revenue & Customs (HMRC) will lower its late‐payment interest rate on tax liabilities from 8.25 percent to 8.00 percent, effective today. This adjustment follows the Bank of England’s cut of its base rate to 4.00 percent on August 7. The quarterly installment interest rate was already reduced on August 18; non‐quarterly payments now align with the new base rate linkage, strengthening fairness for timely taxpayers while maintaining a minimum repayment floor of 0.50 percent.

VIENNA, Va. - Navy Federal Credit Union updated its mortgage offerings effective today, August 27, 2025. The Homebuyers Choice 30-year fixed-rate loan is now advertised “as low as” 6.875 percent interest with a 1.00 percent origination fee; Jumbo 30-year rates start at 7.250 percent. Servicemembers, reservists, and veterans using the Military Choice 30-year fixed program can secure rates “as low as” 6.750 percent with similar fee structures.