Housing Finance Corporation Prepares Product-Specific Support Measures for Customers Affected by Wildfires

Bogeumjari Loan and Eligible Loan Customers, 3-Year Principal Repayment Deferral and Full Waiver of Early Repayment Fees
Jeon-Wolse Guarantee Customers, Additional Support When Renting New Housing
Housing Pension Customers, Temporary Monthly Payment Provided Even if Registered Housing is Destroyed

[Asia Economy Reporter Sim Nayoung] Korea Housing Finance Corporation announced on the 6th that it has prepared support measures for disaster victims in special disaster areas affected by this year's East Coast wildfires among customers using the corporation's products such as Bogeumjari Loan, Housing Guarantee, and Housing Pension.

For Bogeumjari Loan (including qualified loans) customers whose own or direct ascendant/descendant residence was damaged by the wildfire, if they apply for principal repayment deferral within one year from the date of damage occurrence, they only need to pay interest for three years. In addition, customers who suffered damage to their own residence or other assets (such as rice paddies or fields) will be exempt from early repayment fees if they repay their loans early.

□ For customers using Jeonwolse Guarantee who rent a new house due to damage to the house they were living in, additional Jeonwolse Guarantee support will be provided. Also, if Housing Guarantee customers fail to repay interest or principal on time, the period for taking measures such as seizure of the customer's property will be temporarily extended, and overdue guarantee fees and additional guarantee fees due to delinquency will be reduced. Furthermore, customers whose owned houses were damaged by the wildfire will not be rejected for guarantees due to credit evaluation when using Construction Fund Guarantee (a guarantee used when constructing a house or compensating already paid construction funds) or Mortgage Credit Guarantee (MCG, a guarantee used when obtaining a mortgage loan from a bank without deducting a small lease deposit and wanting to borrow up to the LTV).

In cases where a house enrolled in the Housing Pension is destroyed by wildfire (severely damaged by natural disaster), the monthly Housing Pension payment will be temporarily maintained as before, and if the Housing Pension is canceled, a partial refund of the initial guarantee fee will be made reflecting the usage period.

For default debt customers whose debts were repaid by the corporation after failing to repay loans using Housing Guarantee and who suffered wildfire damage, the principal will be additionally reduced by up to 10 percentage points during debt adjustment of written-off debts (debts excluded from assets in accounting due to no recovery possibility but not abandoned), with a maximum reduction rate of 70%. Also, if the debt is already being repaid in installments, repayment can be deferred for up to 2 years.

An HF Corporation official said, “Customers eligible for wildfire damage support can prove it with a ‘Damage Confirmation Certificate’ issued by local governments, etc.,” and added, “For more details, please refer to the corporation’s website or contact the call center.” Korea Housing Finance Corporation donated a total of 30 million KRW, including voluntary contributions from executives and employees, to the Community Chest of Korea last month on the 11th to support the rapid recovery of the affected areas.

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