SEOUL, Aug. 28 (Xinhua) -- South Korean banks' deposit and lending rates hit a record low last month as the policy rate was cut to an all-time low, central bank data showed Friday.

The rate for fresh deposits, taken by banks, averaged an annualized rate of 0.82 percent in July, down 0.07 percentage points from the previous month, according to the Bank of Korea (BOK).

It marked a new record low, keeping a record-breaking trend for two straight months as the BOK lowered its target rate by 25 basis points to an all-time low of 0.50 percent in May.

The rate for new loans, extended by banks, slipped 0.02 percentage points over the month to reach a new low of 2.70 percent in July.

The lending rate for small companies fell from 2.90 percent in June to 2.87 percent in July, but rate for loans to big corporations rose from 2.54 percent to 2.55 percent.

The rate for bank loans to households retreated from 2.67 percent to 2.62 percent in the cited period. Rate for banks' mortgage loan slipped 2.49 percent to 2.45 percent last month.