Shinbo Launches 'Special Campaign' to Support Debtor Rehabilitation

On the 30th, the Korea Credit Guarantee Fund announced that it will conduct a "Special Campaign to Strengthen Support for Debtor Rehabilitation."
[Photo by Korea Credit Guarantee Fund]

[Asia Economy Reporter Song Seung-seop] The Korea Credit Guarantee Fund (KODIT) will launch the "Special Campaign to Strengthen Debtor Rehabilitation Support" starting from the 3rd of next month.

Accordingly, KODIT will apply principal reductions to all written-off claims and expand the debt reduction rates applied to written-off claims over five years based on repayment ability. The repayment amount requirements for early release of credit management information will also be significantly relaxed. Through this, the repayment burden on debtors will be eased, and credit recovery through early repayment will be encouraged.

This campaign is being implemented two months earlier than last year. It is intended to support the rehabilitation of debtors suffering from excessive debt due to the prolonged COVID-19 pandemic and business failures. The campaign period runs until June 30.

A KODIT official stated, "We expect more than 30,000 debtors to benefit from preferential debt reduction through this campaign," and emphasized, "We will continue to support rapid credit recovery and substantial economic rehabilitation, and expand inclusive finance for financially vulnerable groups."

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