Toss and SBI Savings Bank announced Monday they will jointly launch a new mid-rate personal credit loan.
The two companies signed a memorandum of understanding Thursday at Toss's Sinnonhyeon office in Gangnam-gu, Seoul, with Toss CEO Lee Seung-gun and SBI Savings Bank CEO Kim Moon-seok among those present. They plan to expand data-driven financial cooperation, starting with the new loan product.
The "SBI Inclusive Loan with Toss," set to launch Monday, carries an annual interest rate of 7.9 to 13.5 percent. Designed for customers with low credit scores who have struggled to access conventional loans, the product lets them borrow at reasonable rates. It will be available through the "Find the Right Loan for Me" search feature in the Toss app.
The product uses Toss Score, an alternative credit-scoring system Toss developed with Korea Data (KoDATA). Toss Score assesses creditworthiness by examining a broad range of financial behaviors, including account transaction history, card spending, and records of investment and insurance payments. Customers with limited credit histories or low credit scores have often faced unfavorable loan terms, but Toss Score's wider view of repayment capacity allows such customers to access loans at rates suited to their circumstances.
The two companies plan to broaden their cooperation in line with financial authorities' inclusive finance policy and the government's support framework for low-income borrowers. They aim to jointly introduce a range of products using Toss Score, helping more mid- to low-credit customers gain access to financial opportunities suited to their needs.
"Through this partnership, we hope that customers who have faced high barriers to borrowing will be able to get opportunities at rates that fit their circumstances," Lee said. "We will continue to explore various initiatives so that more customers can benefit equally from financial services."
Meanwhile, Toss has been expanding its lineup of loan products using Toss Score. In March, it teamed up with IBK Savings Bank to launch the savings bank industry's first personal credit loan for sole proprietors, using Toss's Soho Score.
won@heraldcorp.com
