Up to 400,000 Won Support for Guarantee Insurance Fees
When Jeonse Deposits Are Not Returned at Lease Expiry
Seongnam City in Gyeonggi Province (Mayor: Shin Sangjin) is promoting a support program for the guarantee fee of the Jeonse Deposit Refund Guarantee to prevent damages where tenants are unable to recover their deposits even after the end of their lease contracts.
The Jeonse Deposit Refund Guarantee is a system in which the Korea Housing & Urban Guarantee Corporation (HUG), Korea Housing Finance Corporation (HF), or Seoul Guarantee Insurance (SGI) pays the deposit on behalf of the landlord if the landlord fails to return it. The city will provide support for the guarantee fee paid when signing up for this guarantee insurance, up to a maximum of 400,000 won.
Eligible applicants are tenants without home ownership who meet the following criteria: a jeonse deposit of 300 million won or less; for youth (ages 19 to 39), an annual income of 50 million won or less; for applicants other than youth, an annual income of 60 million won or less; and for newlyweds (within 7 years of marriage), an annual income of 75 million won or less.
Youth and newlyweds can receive support for the full amount of the guarantee fee they actually paid, up to a maximum of 400,000 won. Other eligible applicants can receive support for up to 90% of the paid guarantee fee, also capped at 400,000 won.
However, the following are excluded from support: foreigners and overseas Koreans, tenants of private rental housing, corporate tenants, and those who reapply using the same guarantee certificate number.
Applications can be submitted online through the Government24 portal (https://plus.gov.kr) or in person at the local community service center in the applicant’s residential district.
A Seongnam City official said, “By supporting guarantee fees, we will protect citizens’ valuable jeonse deposits and promote residential stability.”
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