Dobong-gu Provides 20 Billion KRW in Low-Interest Special Credit Guarantees for Small Business Owners

Dobong-gu Provides Up to 2 Billion KRW and 1% Interest Support for 1 Year to Local SMEs and Small Business Owners
Special Credit Guarantee of 20 Billion KRW, Loan Interest Rate Applied at Mid-to-High 2% Range
Applications Open from June 3 Until Funds Are Exhausted

Dobong-gu (District Mayor Oh Eon-seok) signed a "Dobong-gu Small Business Low-Interest Special Guarantee Business Agreement" on May 13 with 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 have difficulty 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, which will provide credit guarantees worth 20 billion KRW, equivalent to 12.5 times the contributed amount.

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% for four years, resulting in an applied interest rate in the mid-to-high 2% range. (3-month variable interest rate, minimum 2.47% as of May 2, 2024)

Applications and consultations are available from June 3 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.

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