If you need emergency living expenses, you can borrow 1 million won on the same day without asking or questioning

The Korean government has decided to launch a new micro-livelihood loan product for the vulnerable from March 27th.

The support target is an adult over the age of 19, who is in the bottom 20% of the credit score and has an annual income of 35 million won or less.

With a limit of 1 million won, we lend money immediately on the day of application, regardless of overdue history.

The reason why the Korean government launched such a financial product is to prevent people who cannot borrow money from banks due to low credit from using illegal private finance and being victimized.

Small livelihood loan products directly loaned by the Small Finance Promotion Agency can be used by those who have overdue loans and those who have difficulty verifying income. Funds can only be borrowed if they are used for living and medical expenses.

The loan limit is up to 1,000,000 won, and additional loans can be made by paying interest for more than 6 months after the initial loan of 500,000 won. If the source of funds such as hospital expenses is proved, loans of up to KRW 1 million are possible from the beginning.

Repayment is due for a basic one-year maturity, and if you faithfully pay interest, you can extend the maturity up to five years through your own application.

If your credit conditions have improved, you can switch to products with favorable conditions, such as the minimum credit guarantee special guarantee and the loan limit such as Sunshine Loan 15.

You can repay the principal at any time without any prepayment fees, and you only have to pay interest each month until maturity.

The interest rate is initially 15.4%, but after completing the financial education, the interest rate is reduced by 0.5%, so if you borrow 500,000 won, the initial monthly interest burden is about 6,416 won, and then sincere payment of interest the interest rate is lowered by 3% twice every six months, reducing the interest rate burden to 5166 won after six months and 3916 won(interest rate of 9.4%) after an additional six months.

You can get a loan by visiting the National Minority Financial Integration Support Center (46) and consulting in person. Depending on the applicant's circumstances, various self-sufficiency support programs such as debt restructuring, welfare, and employment are also provided.

Those who want a loan must make a reservation in advance. You can make a reservation on the online reservation page (sloan.kinfa.or.kr) or by phone (1397 without an area code at the Minnesota Finance Call Center).

For more information, check the online webpage of the Small Finance Promotion Agency (sloan.kinfa.or.kr) or call the Small Finance Call Center (1397 without an area code).

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