Noranwoosan Provides Interest-Free Loans Even During Rehabilitation and Bankruptcy Proceedings

Promotion of 'Noran Usan Gongje Development Plan'
Expansion of Social Safety Net for Small Businesses and Small Merchants

The Korea Federation of Small and Medium Business (Chairman Kim Ki-moon) recently announced that starting from the 1st, interest-free loans under the Yellow Umbrella program will be extended to subscribers who have received rehabilitation or bankruptcy decisions, to help small businesses and small merchants suffering from the recent triple crisis of high inflation, high interest rates, and high exchange rates overcome their difficulties and strengthen the social safety net.

In addition to the existing general loans and interest-free medical and disaster loans, Yellow Umbrella will now also implement interest-free rehabilitation and bankruptcy loans. The rehabilitation and bankruptcy loans allow Yellow Umbrella subscribers who have received rehabilitation or bankruptcy decisions to utilize interest-free loans up to 20 million KRW for up to two years, using their contributions as collateral.

This rehabilitation and bankruptcy loan support is part of the 'Yellow Umbrella Mutual Aid Development Plan' announced by the Korea Federation of Small and Medium Business in July to expand the social safety net and improve welfare services for small businesses and small merchants.

In addition to the interest-free rehabilitation and bankruptcy loans, a 450 billion KRW scale win-win growth agreement loan with Industrial Bank of Korea is also being implemented to help Yellow Umbrella subscribers overcome management difficulties. Through the deposit of funds in Yellow Umbrella, Industrial Bank of Korea provides loans at interest rates lower than market rates, which is expected to benefit small businesses and small merchants who find it relatively difficult to access loans.

Park Yong-man, Head of the Mutual Aid Operations Division at the Korea Federation of Small and Medium Business, said, "We expect that this rehabilitation and bankruptcy loan will serve as a much-needed relief for small businesses and small merchants who are practically unable to secure funds due to rehabilitation decisions and bankruptcy rulings," adding, "We will continue to strive to make Yellow Umbrella a reliable support throughout the entire lifecycle of small businesses and small merchants."

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