Household loans at South Korea's five major banks fell for the first time in six months in September as higher borrowing costs and tighter bank loan management reduced demand. The combined balance dropped 1.2852 trillion won to 780.834 trillion won, with credit loans accounting for nearly all of the decline. Credit loan balances fell 1.3415 trillion won to 108.2303 trillion won after rising sharply alongside the stock market in May, June and July. Mortgage loans still increased, but by only 125.3 billion won to 621.3983 trillion won. The Bank of Korea raised its base rate by a combined 0.5 percentage point in July and August to 3.00%, while August lending rates reached multiyear highs.