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South Korea seeks to curb household debt exposure of consumer finance firms

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South Korea seeks to curb household debt exposure of consumer finance firms

South Korea's Financial Services Commission said March 20 that it will revise guidelines under the Specialized Credit Financial Business Act to tighten regulation of consumer finance companies' household debt exposure.

The law currently caps such companies' household debt exposure at 30% of their total assets, excluding cash lent to moneylenders.

This amendment is scheduled to take effect after cabinet approval in July, according to the FSC.