SEOUL, April 27 (Korea Bizwire) – For young adults and college students suffering from high interest rate loans, a special service has been introduced to convert them to products with lower interest rates.
The Credit Counselling and Recovery Service (CCRS) rolled out the revised Sunshine Loan Program on April 27, which was originally introduced for low income families and for young adults aged less than 29 (aged less than 31 who fulfilled military service), to convert their high interest loans to lower ones.
According to the CCRS, anyone with debt featuring interest rates over 15 percent are eligible for the new service, which offers loans at rates between 4.5 and 5.4 percent. Recipients can borrow up to 10 million won, and must repay the loan within 7 years.
Meanwhile, the CCRS will offer loans for living expenses in which young adults can borrow money from banks. Like the Sunshine Loan Program, anyone under 29 years of age can apply for loans of up to 8 million won for four years.
An official at the CCRS said, “By offering low interest rate loans to university students and young adults, we hope they can focus on their study or job-seeking activities. At the same time, the service will reduce their burden to repay their debts.”
By John Choi (email@example.com)