K-Bank Encore Sale of 'Boss Guarantee Loan' for Busan Small Business Owners... Interest Rate as Low as 3.97% per Year

1.0% Annual Interest Subsidy for Five Years
Loan Limit Up to 100 Million KRW... One-Year Grace Period, Four-Year Equal Principal Repayment
Over Half of First-Round Guarantee Loans Supported Low to Medium Credit Small Business Owners

K Bank announced on the 19th that it will encore the sale of the 'Sajangnim Guarantee Loan,' an interest support guarantee loan product for small business owners in the Busan area.

The Sajangnim Guarantee Loan is an interest subsidy loan product in which local governments and others bear part of the loan interest to support local small business owners. K Bank provides it 100% non-face-to-face through a special contribution from the regional credit guarantee foundation.

The Busan area Sajangnim Guarantee Loan, which is being resold this time, is a product that subsidizes interest by 1.0 percentage point (p) annually for five years for individual business owner customers operating businesses located in Busan.

The minimum interest rate is 3.97% per annum as of this date, and the loan limit is up to 100 million KRW. The loan period is five years (one-year grace period, four years of equal principal repayment).

The Busan Sajangnim Guarantee Loan, launched last October and sold in the first round, embraced low to medium credit (KCB credit score lower 50% or below) small business owners and showed significant effects in supporting regional win-win finance. It was reported that 58% of the total number of transactions were provided to low to medium credit individual business owners.

Also, 68% of the total number of transactions were provided to the 40s and 50s generation, the backbone of the regional economy, serving as a clue to revitalizing the local economy. The businesses that took out loans were mainly neighborhood commercial districts such as restaurants, convenience stores, PC rooms, gyms, and parking lots.

Meanwhile, according to the Bankers Association loan interest rate comparison, K Bank had the lowest average interest rate of 4.54% among internet banks for all newly handled individual business owner guarantee collateral loans in the fourth quarter (October to December) of last year.

A K Bank official said, "The guarantee loan introduced for regional win-win finance has been effective and contributed to revitalizing the local economy," adding, "We plan to expand the areas where guarantee loans are handled and continue to practice regional win-win finance by supplying loans at affordable interest rates."

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