Toss Bank and Seoul Credit Guarantee Foundation to Provide 200 Billion KRW in Loans to Small Business Owners

Second Phase of the "Safe Account Special Guarantee" Launched

Toss Bank announced on August 18 that it has signed a business agreement with the Seoul Metropolitan Government and the Seoul Credit Guarantee Foundation for the "Safe Account Special Guarantee (Phase 2)" program. This initiative is part of the "Small Business Support Project" and aims to expand financial assistance for small business owners with limited access to financial services. Under this agreement, the Seoul Credit Guarantee Foundation will provide guarantees, while partner banks-including Toss Bank, Woori Bank, Hana Bank, and KakaoBank-will handle the loan disbursement.

Starting August 28, Toss Bank plans to launch the "Seoul Safe Overdraft Account." This product, with a total supply of 200 billion KRW, will offer overdraft loans of up to 10 million KRW to individual business owners based in Seoul. Eligible applicants must be individual business owners who have operated their business in Seoul for at least one year, have a representative credit score of 600 or higher (based on NICE standards), and have either total sales of at least 2 million KRW over the past three months or reported annual sales of at least 10 million KRW over the past year.

Applications are processed by first applying for a guarantee certificate non-face-to-face through the Seoul Credit Guarantee Foundation’s mobile application (app), after which approved applicants can execute the loan at Toss Bank. Because the guarantee-based overdraft account is offered in a non-face-to-face manner, it provides both accessibility and convenience.

In particular, Toss Bank is offering new customers a cashback benefit of up to 50,000 KRW. This benefit is calculated as 1% per annum of the credit line amount used during the first six months after launch. For example, if a customer uses 10 million KRW for six months, they will receive 50,000 KRW, which is half of the annual 1% (100,000 KRW) cashback.

A Toss Bank representative stated, "Through our collaboration with the Seoul Metropolitan Government and the Seoul Credit Guarantee Foundation, we have prepared to ensure that more small business owners can enjoy simple and practical financial benefits." The representative added, "Toss Bank will continue to actively support the financial foundation that enables local small business owners to operate stably, based on our digital capabilities and customer-centric strategy."