1. The plaintiff's appeal is dismissed.

2. The costs of appeal shall be borne by the Plaintiff.

Purport of claim and appeal

The first instance court.

1. Basic facts

A. On April 16, 2012, the Plaintiff entered into a credit transaction agreement with the Defendant on the lending amount of KRW 560 million, the agreed interest rate of KRW 7.8% per annum, the lending period until April 16, 2013, and the repayment method was to be repaid in full on the expiration date of the lending period (hereinafter “instant credit transaction agreement”), and received loans on the same day.

B. The credit transaction agreement of this case provides that with respect to damages for delay, if interest is not paid on the due date, damages for delay shall be paid immediately to the amount to be paid, and if liability is not performed upon the expiration date of the credit period or the benefit of time is lost pursuant to Article 7 of the Framework Agreement on Credit Transactions by Mutual Savings Bank, damages for delay shall be paid immediately to the balance of the credit from that time

C. The additional agreement entered into between the Plaintiff and the Defendant at the time of the instant credit transaction agreement is subject to the rate of damages for delay; 22% per annum if the overdue period is less than three months; 23% per annum if the overdue period is more than three months but less than six months; and 24% per annum if the overdue period exceeds six months.

On the other hand, Article 7(2) of the General Terms and Conditions for Credit Transactions in a mutual savings bank provides that when an obligor delays the payment of interest for one consecutive month from the time when the obligor is obligated to pay the interest, the obligor shall lose the payment deadline and be obliged to pay it immediately. However, the savings bank shall notify the obligor of the fact that the obligor delayed performance of the obligation and the loss of the payment deadline would be caused by the delay at least three business days prior to the date when the due date is lost, and if the obligor fails to notify at least three business days prior to the date when the due date is actually delivered, the obligor shall lose the payment due date and be obliged

E. On April 9, 2013, the Plaintiff extended a loan under the instant credit transaction agreement until April 16, 2014.