Korean Credit card delinquencies hit 10-year high in Q1 amid economic slump

Delinquency rates at Korea’s major credit card companies surged to their highest levels in a decade during the first quarter of 2025, reflecting the prolonged economic downturn, industry data showed Sunday.

The number of payments overdue by more than one month, such as credit card bills, installment payments and credit card loans, rose across all major credit card firms — Shinhan, KB, Woori and Hana — in the first three months of the year, the data showed.

Hana Card reported a delinquency rate of 2.15 percent, up 0.21 percentage point from the previous quarter and 0.28 percentage point from the same period last year. This marks the highest rate since Hana Card was established in December 2014.

KB Kookmin Card saw its delinquency rate climb to 1.61 percent, the highest level since the end of 2014. Shinhan Card also recorded a delinquency rate of 1.61 percent, its highest level since the third quarter of 2015.

“Due to the sluggish economy, delinquency rates are rising, particularly among financially vulnerable groups, such as small business owners and self-employed individuals,” said an industry official, speaking on condition of anonymity.