Credit Recovery Committee "Total of 800 Million Won Paid to Over 1,600 Unemployed Youths in Credit Recovery"

Support of 500,000 KRW Per Person
Average Credit Score of Over 2,500 People Increased by 66 Points Last Year

Provided by the Credit Recovery Committee

[Asia Economy Reporter Minwoo Lee] The Credit Recovery Committee has provided approximately 800 million KRW in credit improvement incentives to 1,634 unemployed youths whose credit scores have increased.

The Credit Recovery Committee announced on the 13th that, together with the Financial Industry Public Interest Foundation, it has been conducting the "Debt Adjustment Unemployed Youth Employment Promotion and Credit Improvement Support Project" since July last year. Following payments to 831 individuals in January this year, an additional 803 people were supported, bringing the total to 1,634 recipients and 817 million KRW in support since the project's inception.

Analysis of last year's project performance by the Committee and the Foundation showed that the average credit score of the 2,500 participants was 66 points, with the highest increase reaching 576 points (from 350 to 926 points).

Notably, participants who used credit welfare consulting (credit consulting, credit helper) experienced significant credit score improvements. Those who did not use credit welfare consulting saw an average increase of 31.6 points (from 574.1 to 605.7), whereas users of the service saw an average increase of 74.5 points (from 560.3 to 634.8).

Given the clear results from last year, the two organizations raised the eligible age for participation from under 35 to under 40 and increased the recruitment scale from 2,500 to 4,000 participants. Applications for this year's project can be submitted through the official Credit Recovery Committee application (app) until the end of this month.

Lee Jaeyeon, Chairman of the Credit Recovery Committee, stated, "With the expanded support this year, we hope that more unemployed youths will recognize the importance of credit management through this project and enhance their financial capabilities independently. We will continue to strengthen cooperation with the Foundation to discover and support projects aimed at the economic independence of young people."

Cho Daeyeop, CEO of the Foundation, said, "We will further strive to establish a financial industry social contribution system that supports the economic independence and financial resilience of young people."