KJDC "Student Loan Interest Rate Uniformly Reduced from 7.2% to 2.9%"

About 18,000 Users of Jugumgong Student Loans Expected to See 60% Reduction in Interest Burden

[Asia Economy Reporter Minwoo Lee] Korea Housing Finance Corporation (HF) will uniformly lower the interest rate on student loans, which averaged 7.2% per year, to 2.9% per year.

HF announced this reduction policy on the 27th. The beneficiaries are approximately 18,000 people who took out student loans from HF between July 2005 and May 2009 and are currently using them. HF plans to apply the interest rate reduction uniformly without requiring a separate application process from the beneficiaries.

The interest rate reduction will be applied from the first interest payment date after the completion of the IT system development at the banks where the loans were taken, based on July 28 (expected by the end of August). Since the interest calculation timing may vary depending on the bank and interest payment date, detailed information can be obtained by contacting the handling bank, HF call center, or the official website.

Previously, HF cooperated with the Korea Student Aid Foundation to convert the loan interest rate to 2.9% per year for about 300,000 people in two rounds in 2014 and 2020.

An HF official said, "The loan interest rate, which was an average of 7.2% per year in the past, has been lowered to 2.9%, reducing the interest burden by about 60%. We will continue to actively promote institutional improvements to enhance the rights and interests of financial consumers."

□

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