Segeumwon, 'Two Years of Innovation in Seomin Financial Services'... 560,000 People Using Policy Finance

[Asia Economy Reporter Song Seung-seop] The Korea Inclusive Finance Agency revealed on the 7th the "Two Years of Customer-Centered Innovation in Inclusive Financial Services."

According to the data, the total number of beneficiaries of policy inclusive finance supported by the agency last year was 560,000, a 1.9-fold increase compared to 300,000 in 2018. Sunsal Loan 17, targeting the lowest credit borrowers who previously used private loans and illegal financial services, and Sunsal Loan Youth, for young people with insufficient financial transaction history, were used by 147,000 and 58,000 people respectively.

The agency also stated that the number of users of the customized loan service, which is provided to reduce interest burdens for low-credit and low-income individuals, has significantly increased. The customized loan service is a program that helps users compare and select the most advantageous loan products. The number of users of this service increased 4.6 times from 23,000 to 107,000 during the same period, and the average interest rate on high-interest loans over 20% dropped to 11.3%.

Regarding educational programs, the agency focused on content for vulnerable groups with relatively low financial literacy, such as youth and the elderly. Especially as demand for non-face-to-face services increased due to COVID-19, online financial education was expanded sixfold, and the number of users grew 3.8 times to 272,000 last year.

Lee Gye-moon, President of the Korea Inclusive Finance Agency, said, "This year, we will activate a system to promote financial stability for the underprivileged, supporting practical credit improvement and settlement into the formal financial market."

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