SEOUL, South Korea - South Korea's state auditor says households and companies had been burdened with unnecessarily high interest payments even as other interest rates went down since the 2008 financial crisis.
The auditor also criticized commercial banks for adopting dubious criteria for determining how much to charge borrowers. It said the financial watchdog failed to scrutinize the lenders.
The revelations come after South Korea's Fair Trade Commission said last week it is investigating nine banks and 10 stock brokerages over possible collusion in the setting of interest rates.
The auditor's report added to public anger toward the country's banking sector as ordinary South Koreans struggle with high levels of debt.