Hope Plus Credit Loan Limit and Eligibility Expanded... Up to 30 Million Won and Including Loss Compensation Recipients

Shinbo-Bank Federation, Expanding Credit Loan Limits and Eligibility

[Image source=Yonhap News]

[Asia Economy Reporter Yu Je-hoon] The Korea Federation of Banks and the Korea Credit Guarantee Fund announced on the 8th that they will significantly expand and reorganize the loan limits and support targets of the 'Hope Plus Credit Loan,' which has been in effect since January.

The Hope Plus Credit Loan is a financial support program worth a total of 4.8 trillion KRW, where banks provide loans up to 10 million KRW at an interest rate of 1.5% to high-credit self-employed individuals and small business owners through interest support from the Credit Guarantee Fund. The Credit Guarantee Fund and the Korea Federation of Banks decided to expand the loan limits and support targets of the Hope Plus Credit Loan in accordance with the Financial Services Commission's new support measures for self-employed individuals and small business owners.

Specifically, the loan limit has been expanded from the existing 10 million KRW to 30 million KRW. High-credit self-employed individuals and small business owners who have previously received the Hope Plus Credit Loan can now borrow an additional 20 million KRW, and those who have received regional Credit Guarantee Fund special guarantees or Small Enterprise and Market Service (SEMAS) Hope Loans can also receive credit loans within the total loan limit of 30 million KRW.

For example, if a person with medium or low credit received a 10 million KRW regional Credit Guarantee Fund special guarantee and a 10 million KRW SEMAS Hope Loan and later became a high-credit borrower, they can now receive an additional loan within the remaining limit of 10 million KRW out of the total 30 million KRW limit.

Additionally, high-credit self-employed individuals and small business owners who have received SEMAS's 20 million KRW Special Recovery Loan will also be able to receive additional credit loans within a 10 million KRW limit, with the plan to complete the computer system upgrade by next month.

Furthermore, the Credit Guarantee Fund and the Korea Federation of Banks will expand the support targets of the Hope Plus Credit Loan from the previous recipients of quarantine support funds to recipients of either quarantine support funds or loss compensation funds (high-credit borrowers).

This revision of the Hope Plus Credit Loan will apply to loan applications received from today, and applications will be accepted until the budget (100 billion KRW) is exhausted. Applications can be made at branches of 14 domestic banks, and among them, 9 banks (KB Kookmin, Shinhan, Woori, Hana, NH Nonghyup, Industrial Bank of Korea, Busan, Daegu, Gyeongnam) also offer non-face-to-face application and reception through their applications.