Gyeongnam Province Supports Youth Facing Difficulties Due to Student Loans

Implementation of Student Loan Credit Recovery Support Program

[Asia Economy Yeongnam Reporting Headquarters Reporter Park Saeyan] Gyeongsangnam-do is implementing the 'Student Loan Credit Recovery Support Project' for young people who have failed to repay their student loans for more than six months and have credit judgment information registered.

The 'Student Loan Credit Recovery Support Project' is a program designed to help young people facing a credit crisis due to long-term delinquency on student loans.

When Gyeongnam Province pays 5% of the debt amount (initial payment of the installment repayment contract) to the Korea Student Aid Foundation, the foundation will waive all overdue interest.

Thereafter, the remaining amount can be repaid in installments without interest over 10 years (or 20 years if the amount exceeds 20 million won).

The eligible applicants are young people aged 19 to 39 residing in the province who have credit judgment information registered due to long-term delinquency on student loans.

Applications can be submitted by registered mail from the 25th until the budget is exhausted.

Meanwhile, the province first launched this project in 2019 with the goal of rescuing all young people in the province with long-term delinquent student loans.