Korea SMEs and Startups Agency (KOSME) said on the 10th that it will carry out a "debt adjustment campaign to expand inclusive finance" to support the comeback of delinquent debtors.
The campaign targets borrowers among delinquent debtors whose agreements were terminated after long arrears on KOSME loans who have closed their businesses but are willing to repay, and will support ▲debt reduction ▲new agreements for installment repayment by partitioning ▲lifting of arrears information upon partial repayment.
Partitioned repayment of delinquent debt can be newly agreed for up to five years. The plan is to offer preferential reduction rates of up to 70% to socially vulnerable groups and debtors willing to make a lump-sum repayment of the loan principal.
Kim Il-ho, corporate finance director at Korea SMEs and Startups Agency (KOSME), said, "This campaign was promoted to expand inclusive finance that provides a chance to recover and strengthens the financial safety net by adjusting the repayment amount and period for delinquent debtors," adding, "We will help ease the debt burden on businesspeople struggling with repayment and support them so they can make a comeback."
Debt adjustment consultations can be applied for non-face-to-face on the KOSME website.