Gyeongnam Province Adds 30 Billion KRW to 'First Life Special Guarantee'... Equitable Benefits for Small Business Owners

[Asia Economy Yeongnam Reporting Headquarters Reporter Ju Cheol-in] Gyeongsangnam-do announced on the 26th that it will provide an additional 30 billion KRW in 'First Lifetime Special Guarantee' support for local small business owners and small enterprises starting from the 27th.

The First Lifetime Special Guarantee is a special product launched on July 5th in collaboration with BNK Gyeongnam Bank and NH Nonghyup Bank, targeting new customers who have no prior experience using the credit guarantee products of the Gyeongnam Credit Guarantee Foundation.

This additional support was introduced to evenly benefit small business owners struggling due to the prolonged COVID-19 pandemic. The Gyeongnam Credit Guarantee Foundation guarantees the entire loan amount up to a limit of 100 million KRW per business, and users can receive benefits such as relaxed guarantee screening, preferential loan interest rates, and a significant reduction in guarantee fees (0.6% per annum).

Businesses that have previously used the Gyeongnam Credit Guarantee Foundation or are currently using other guarantee institutions, as well as certain industries (manufacturing, construction), are excluded from eligibility.

Additionally, Gyeongsangnam-do is currently implementing a 'Bridge Guarantee' worth 48 billion KRW through the Gyeongnam Credit Guarantee Foundation. The Bridge Guarantee is a product that allows small business owners who have closed their businesses to convert their business loans into personal loans and repay them in installments over a maximum of five years.

Previously, guarantee debts had to be repaid in a lump sum upon business closure, but this product reduces the burden of having to repay a large sum at once.

Guarantee applications can be made through the Gyeongnam Credit Guarantee Foundation website or by scheduling a phone consultation at the customer support center.