Hwaseong City Financial Welfare Counseling Support Center Proves a Lifeline for Debt-Burdened Individuals Seeking Rehabilitation

1,372 Counseling Sessions in Just One Year of Operation
Debt Adjustment Achievements Totaling 39.5 Billion Won
Jung Myunggeun: "We Will Build a Warm and Comprehensive Financial Welfare Safety Net"

Mr. A, who was crushed under a debt of approximately 280 million won due to business failure and fraud, had been relying on a basic living allowance of 910,000 won per month. After suffering from relentless collection efforts by financial institutions for 15 years, he turned to the "Financial Welfare Counseling Support Center" operated by Hwaseong City at the end of last year as a last hope.

Visiting the center became a stepping stone for Mr. A, who had lost all hope, to make a fresh start. Through counseling, he applied for bankruptcy discharge at the Suwon Bankruptcy Court in December last year, and in May this year, he was finally discharged, freeing himself from the cycle of debt that had lasted for 15 years.

A counselor at the Hwaseong City Financial Welfare Counseling Support Center is conducting a consultation with a visitor for debt adjustment. Provided by Hwaseong City

The "Hwaseong City Financial Welfare Counseling Support Center," which Hwaseong City began operating in April last year, is gaining attention as a financial safety net for debtors facing crises due to the economic downturn and other factors.

According to the city on the 10th, the center conducted a total of 1,372 counseling sessions over the year from its opening until April this year, achieving debt adjustment results in 136 cases, amounting to 39.5 billion won.

During this period, the largest portion of debt adjustments involved personal bankruptcy and rehabilitation through the courts. There were 71 such cases, totaling 36.6 billion won, which accounted for 92.6% of all debt adjustments by amount. Workouts in cooperation with the Credit Counseling and Recovery Service accounted for 65 cases (2.8 billion won).

In terms of counseling type, in-person counseling accounted for more than half of all sessions. Out of 1,372 total cases, 715 were conducted through in-person visits, and among these, 505 involved five or more repeat sessions. This indicates that ongoing management and follow-up measures were provided, going beyond simple one-time counseling.

The center also made significant efforts to address gaps in the financial safety net by providing "outreach financial welfare counseling" for vulnerable groups such as the elderly and homeless, who have limited access. By visiting facilities such as Hwaseong Southern Senior Welfare Center, rehabilitation centers for the homeless, and general social welfare centers, a total of 16 individuals received counseling. Among them, 7 were connected to debt adjustment services, and 2 underwent creditor negotiations.

To reduce the burden on debtors, the center also supports the cost of issuing debt certificates required for personal rehabilitation or bankruptcy applications to the court. In addition, professional counselors at the center provide detailed guidance on document preparation and application procedures.

Hwaseong City Mayor Jung Myunggeun said, "What people struggling with debt need most is the reassurance that someone is standing by their side," adding, "We will continue to stand firmly by our citizens with an even warmer and more comprehensive Hwaseong-style financial welfare safety net."

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