South Korean household credit is expected to have surpassed the KRW 2 quadrillion ($1.4 trillion) mark for the first time in the second quarter, driven by increased home-backed lending and rising stock loans, according to industry sources.

Household credit stood at a record KRW1,993 quadrillion at the end of March, up KRW14 trillion from the end of last year, according to the sources cited by the Yonhap News Agency. That marked the seventh consecutive quarterly increase, although the pace of growth slowed for a second straight quarter.

Household credit covers credit purchases and loans extended to households by financial institutions.

Outstanding household loans across all financial institutions are estimated to have increased by at least KRW21 trillion during the second quarter. That would put total household credit above the KRW2 quadrillion threshold.

The increase comes despite government efforts to cool South Korea’s overheated housing market and contain household debt.

Authorities have introduced a series of measures aimed at restricting housing-market speculation and limiting the growth of household borrowing. But demand for homes has remained firm.

Stock-related borrowing has also increased alongside the strong performance of the country’s equity market.

The combination of higher home-backed loans and growing stock loans has added to pressure on household credit, pushing it towards the landmark level during the second quarter.

The latest estimate follows a period of sustained growth in household borrowing. Credit has risen for seven consecutive quarters, although the rate of increase has moderated over the past two quarters.

For the full year of 2025, household credit increased by KRW56.1 trillion, or 2.9%, from a year earlier, according to the data. That was the fastest annual rate of growth since 2021.