Gwangju Bank Expands and Extends Special Loan Program for Youth Customized Jeonse and Monthly Rent

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] Gwangju Bank (President Song Jong-wook) announced on the 20th that it will expand and extend the limit of the ‘Gwangju Bank Youth Customized Jeonse/Wolse Special Loan’ to 100 billion KRW.

The ‘Gwangju Bank Youth Customized Jeonse/Wolse Special Loan,’ which applied preferential interest rates to the youth Jeonse/Wolse loan jointly launched by banks in May last year and began sales in June of the same year, has received great response by selling 51 billion KRW (about 1,060 people), far exceeding the first supply amount of 50 billion KRW.

Accordingly, Gwangju Bank decided to increase the supply amount to 100 billion KRW to address the housing concerns of young people and to expand and extend the program.

This special loan is available to applicants who can obtain a guarantee certificate from the Korea Housing Finance Corporation, are between the ages of 19 and 34, are household heads without a home or prospective household heads, and whose combined annual income with their spouse is 70 million KRW or less. Notably, students without income can also apply.

The interest rates for the special loan range from a minimum annual rate of 2.51% to a maximum of 2.73% for Jeonse/Wolse deposit loans, and from a minimum annual rate of 2.32% to a maximum of 2.42% for monthly rent loans. Refinancing of existing loans is also possible.

The eligible housing includes apartments, row houses, detached houses, multi-family houses, and multi-unit houses as defined by the Housing Act, as well as quasi-housing (officetels, senior welfare housing). The housing must be used for actual residence, have no rights infringement on ownership in the building registry, and the lease deposit must be 500 million KRW or less.

Kim Jae-chun, Head of Sales Promotion Department at Gwangju Bank, said, “We will take the lead in expanding support for low-income finance and win-win management by providing low-interest Jeonse/Wolse funds to young people who lack financial capacity, easing the burden of lump-sum preparation, and solving housing concerns. As a representative bank of Gwangju and Jeonnam, we will strive to think together with the youth, the future of our region, and develop together.”

This content was produced with the assistance of AI translation services.