Incheon City Supports Loan Interest and Moving Expenses for Jeonse Fraud Victims... Monthly Rent Support for Youths for One Year

Incheon City will support victims of jeonse fraud by covering loan interest and moving expenses for emergency rental housing, and especially provide young victims with 400,000 KRW per month for rent for one year.

On the 19th, Incheon Mayor Yoo Jeong-bok held a press briefing and announced additional support measures for victims of jeonse fraud.

The city plans to first support the deposit loan interest for victims of jeonse fraud.

Victims who receive a certificate confirming jeonse fraud damage and meet the related income criteria (annual income below 70 million KRW) will have the full interest on the Buteimmok jeonse loan, ranging from 1.2% to 2.1%, covered for two years.

Among the victims of jeonse fraud, young people aged 18 to 39 will receive monthly rent support of 400,000 KRW for 12 months.

The city will also provide moving expenses of 1.5 million KRW per household to those who apply for emergency housing support and move into public housing.

Incheon has secured 238 emergency rental housing units, of which only 11 units have been occupied. Another 27 units are currently waiting for tenants. Victims who urgently need temporary shelter can move in without rejection upon application.

The city plans to implement support for jeonse deposit loan interest and moving expenses after securing the budget through consultations with the Ministry of Health and Welfare and the establishment of social security systems.

Incheon Mayor Yoo Jeong-bok is announcing additional support measures for victims of jeonse fraud on the 19th.
[Photo provided by Incheon City]

Additionally, the city will provide loans up to 30 million KRW per business to small business owners with workplaces in Incheon who are victims of jeonse fraud. The loan period is five years, with an interest differential subsidy of 1.5% per year for three years.

Water supply cut-off notices have been immediately postponed. Cooperation for postponement has also been requested from Korea Electric Power Corporation (KEPCO).

From May, the city will add specialized legal counselors for auctions and public sales at the Incheon Jeonse Damage Support Center to expand legal support, and will also operate additional suicide prevention psychological support programs for victims.

Furthermore, free safe contract consultations to prevent jeonse fraud, investigations into violations by private rental business operators, and special inspections of real estate agencies suspected of jeonse fraud are being conducted.

The city explained that although victims of jeonse fraud are demanding suspension of auctions and public sales and changes to the timing of priority repayment application, these require legislative enactment or revision, making it institutionally difficult for the city to prepare measures on its own.

It has been identified that Incheon has 3,008 houses owned by so-called 'Construction Kings,' 'Villa Kings,' and 'Young Villa Kings.' Most of these houses are presumed to be involved in jeonse fraud.

Mayor Yoo said, "While negotiating with the government and establishing various measures regarding the jeonse fraud cases, unfortunate situations occurred," adding, "We recognized the need for stronger and more proactive measures."

He continued, "The government has actively accepted measures such as the previously requested auction suspension and granting victims priority purchase rights during auctions," and added, "There is a consensus that this is a social disaster, and we will continue to consult with the government on necessary measures going forward."

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