"Student Loan Interest Exempted During Military Service"… Korea Student Aid Foundation Promotes Program at 29 Major Stations

990,000 Beneficiaries Over 12 Years

The Korea Student Aid Foundation (Chairman Bae Byungil) announced on April 24 that it will conduct a promotional campaign for the interest exemption program on student loans during military service, in cooperation with the Armed Forces Railroad Transportation Support Unit (TMO).

The purpose is to ensure that service members are fully aware of the interest exemption program, so they can be relieved from the burden of repaying student loans during their military service and complete their service smoothly.

A promotional board at Seoul Station about interest exemption during military service period.

Starting with an on-site promotional event at the Seoul Station Armed Forces Railroad Transportation Support Unit (TMO) from 10 a.m. to 12 p.m. on April 24, the foundation will place informational posters and brochures about the program at TMOs in 29 major stations nationwide to promote the initiative.

The interest exemption program during military service has been operated by the Korea Student Aid Foundation since 2012, based on the "Act on the Establishment of the Korea Student Aid Foundation" and the "Special Act on the Repayment of Student Loans after Employment." The program fully exempts interest on student loans incurred during the service period for active-duty soldiers, full-time reserve soldiers, social service agents, and alternative service personnel.

After the Korea Student Aid Foundation and the Military Manpower Administration exchange military service information, eligible recipients are selected and interest is exempted, allowing service members to receive support without separate applications. As of 2024, 990,000 service members have had a total of 75.1 billion won in student loan interest exempted.

Bae Byungil, Chairman of the Korea Student Aid Foundation, stated, "There is a need to foster a social culture that supports military service and respects those fulfilling their duty of national defense." He added, "We will continue our efforts to ensure that service members can complete their military service without worrying about student loan repayments."