Card Payment and Utility Bill Due Dates Postponed Until After Chuseok
Rescheduled to October 10, After the Holiday
Financial Support for Small Businesses and Low-Income Households
If the maturity date for loans from financial institutions, credit card payment dates, or automatic payment dates for utility bills coincide with the Chuseok holiday, these will be postponed to October 10, after the holiday. Additionally, a total of 101 trillion won in funding will be provided to small and medium-sized enterprises and mid-sized companies to help alleviate economic difficulties for the public.
On September 28, the Financial Services Commission announced these measures to supply funds through the financial sector and improve consumer convenience during the Chuseok holiday.
First, if the maturity date for a loan from a financial institution falls between October 3 and October 9, which is the Chuseok holiday period, the maturity will be automatically extended to October 10 without any overdue interest. Borrowers may also choose to repay early on October 2, before the holiday, without incurring any early repayment fees, by coordinating with their financial institution.
Credit card payments will also be automatically withdrawn from the payment account on October 10 without any late fees, and the same applies to insurance premiums, telecommunications fees, and utility bills. Deposits reaching maturity at financial institutions during the Chuseok holiday will be refunded on the same day, including interest accrued during the holiday period. However, in the case of housing pensions, payments will be made in advance on October 2.
Given the possibility of increased funding needs before and after the Chuseok holiday, large-scale funding will also be provided to small and medium-sized enterprises and mid-sized companies. Policy financial institutions will proactively support a total of 22.2 trillion won in special loans and guarantees for these businesses.
Korea Development Bank will supply 3.9 trillion won for operating funds and offer interest rate reductions of up to 0.4 percentage points. Industrial Bank of Korea will also provide up to 300 million won per company for operating funds, and for settlement loans, it will offer interest rate reductions of up to 0.3 percentage points, supplying a total of 9.3 trillion won in funding.
Banks will supply a total of 78.7 trillion won in loans to small and medium-sized enterprises and small business owners, reflecting preferential interest rates based on transaction contributions and credit ratings.
The Korea Inclusive Finance Agency will provide a total of 5 billion won in special funds to merchants in traditional markets. Through merchant associations, merchants can access microloans of up to 10 million won at annual interest rates of up to 4.5% during the two months prior to the Chuseok holiday.
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