Dobong-gu, Special Low-Interest Credit Guarantee for Small Business Owners... Up to 200 Million KRW per Company

Total of 20 Billion Won... Applications Open from the 3rd of Next Month

On the 13th, Dobong-gu signed the "Dobong-gu Small Business Low-Interest Special Guarantee Business Agreement" at the district office to support small and medium-sized enterprises and small business owners in the area. Third from the left in the photo is Eo Un-seok, Mayor of Dobong-gu. Photo by Dobong-gu Office.

Dobong-gu, Seoul (Mayor Oh Eon-seok) announced on the 14th that it has signed a 'Dobong-gu Small Business Low-Interest Special Guarantee Agreement' with the four major commercial banks (Kookmin Bank, Woori Bank, Hana Bank, Shinhan Bank) and the Seoul Credit Guarantee Foundation to support small and medium-sized enterprises and small business owners in the area who face difficulties obtaining loans due to insufficient collateral.

According to this agreement, Dobong-gu will jointly contribute 50 million KRW, Kookmin Bank 1 billion KRW, Woori Bank 200 million KRW, Hana Bank 200 million KRW, and Shinhan Bank 150 million KRW to the Seoul Credit Guarantee Foundation. The Seoul Credit Guarantee Foundation will provide credit guarantees worth 20 billion KRW, which is 12.5 times the total contribution.

The guarantee limit for the 'Dobong-gu Low-Interest Special Credit Guarantee' is up to 200 million KRW per company. To alleviate the interest burden on small and medium-sized enterprises and small business owners, Dobong-gu will support 1% interest for one year from the loan execution date, and Seoul City will support 1.8% interest for four years, resulting in an applied interest rate in the mid-2% range (3-month variable rate, minimum 2.47% as of May 2, 2024).

Applications and consultations will be available from the 3rd of next month at the Seoul Credit Guarantee Foundation Dobong Branch, Kookmin Bank Sindobong Branch, Woori Bank Changdong Station Branch, Shinhan Bank Banghak-dong Branch, and Hana Bank Banghak-dong Branch. The application deadline is until funds are exhausted.

Mayor Oh Eon-seok said, "I hope this low-interest special credit guarantee will provide some help to small business owners struggling with financial difficulties," and added, "We will continue to prepare and implement various effective support measures for revitalizing the local economy and supporting small business owners."