Gyeonggi-do Expands Eligibility for Jeonse Loan Guarantees and Interest Support for Low-Income Households

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Gyeonggi Province is expanding the support targets for the 'Jeonse Deposit Loan Guarantee and Interest Support Project' and the 'Purchased Rental Housing Support Project,' which are implemented to stabilize housing for low-income households.

The Jeonse Deposit Loan Guarantee and Interest Support Project is a program in which the province guarantees Jeonse deposit loans up to 45 million KRW for low-income and low-credit households, and supports 2% of the loan guarantee fee and loan interest for up to 4 years.

The province plans to support 10,000 households by 2022 through this project, which started as a pilot project last year.

The province has added three new eligibility categories to the existing 11 application qualification types, which included basic livelihood security recipients, near-poverty class, permanent rental housing residents (or prospective residents), severely disabled persons, non-residential residents, and families supporting elderly parents. The new categories are prospective residents of national rental housing, single elderly households, and national merit recipients.

Additionally, the refinancing loan application, which was previously only available to users of first-tier financial institution Jeonse deposit loans, has been expanded to include users of second-tier financial institution Jeonse deposit loans.

Households wishing to apply can submit their applications to the local town or township community service centers, where the province will verify eligibility and issue a recommendation letter. Afterwards, applicants can apply for loans at NH Nonghyup Bank branches within the province. The province has also increased the number of eligible recipients and the support amount for the low-income purchased rental housing deposit support project.

This project provides interest-free support for part of the standard rental deposit for up to 20 years to households newly moving into purchased rental housing.

Starting this year, not only residents who applied through the town or township community service centers and received purchased rental housing but also newlyweds and young people who applied through LH Corporation and received purchased rental housing have been added to the support targets.

Applicants for conversion deposits, housing vulnerable groups, and emergency housing support recipients are also eligible to apply.

The support amount has been increased from the previous 2 million KRW to a maximum of 2.5 million KRW, considering the rise in the standard rental deposit. The province plans to support more than 1,000 households this year.

Kim Jun-tae, Director of the Urban Housing Office of the province, stated, "The expansion of beneficiaries will help resolve blind spots in housing welfare and contribute to housing stability for Jeonse and monthly rent tenants."

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