The interest on bank loans extended to households recorded a near ten-year high of four-point-76 percent in August.

According to Bank of Korea data released on Friday, the interest rate on banks' total loans rose zero-point-31 percentage points on-month to four-point-52 percent in August.

The interest on corporate loans climbed to four-point-46 percent, while household loans reached four-point-76 percent, the highest in nine years and seven months since early 2013.

The cost of borrowing for households rose for the 15th consecutive month, with loans on the hook for five percent or more in interest accounting for 21 percent of all household loans, the highest level since January 2013.