[E-Daily Reporter Park Jung-Soo ] MIRAE ASSET SECURITIES(006800)announced on the 6th that it will lower interest rates on margin loans and late payment interest rates on cash balances to alleviate the financial burden on customers amid increased market volatility.
This customer protection measure was implemented to substantially alleviate the financial burden customers face during the funding and repayment processes—amid increased short-term volatility in financial markets due to domestic and international uncertainties—and to reduce the burden of forced liquidation that may inevitably follow the occurrence of unpaid balances.
The interest rate on margin loans will be reduced from 9.0% per annum to 7.95%, and the late payment interest rate on cash receivables will be reduced from 9.9% per annum to 7.95%.
A margin loan is a product that allows customers to access short-term funds after selling their shares without having to wait until the settlement date. This interest rate reduction is expected to ease the burden on customers seeking short-term funding.
As the interest rate on delinquent cash balances has also been reduced, the burden on customers with delinquent balances is expected to decrease, and the burden of additional costs—which may inevitably arise amid increased market volatility—is also expected to be alleviated.
The revised interest rates are scheduled to take effect on the 27th. For margin loans, the new rates will apply to new loans taken out after the effective date, while the late payment interest rate for cash balances will apply to all customers, including those already in arrears, starting on the effective date.
An official from MIRAE ASSET SECURITIES stated, “We implemented these interest rate cuts to provide tangible financial cost savings for our customers amid ongoing market uncertainty,” adding, “We will continue to prioritize customer protection and provide systems and services designed to foster a more stable investment environment.”