In an era of high interest rates and high inflation, many people are facing economic difficulties. This reality is particularly harsh for vulnerable groups who face high barriers to financial services and cannot receive help when they need it most. In this situation, NH Nonghyup is drawing attention for its large-scale support in line with the government’s inclusive finance policy. Nonghyup plans to write off or reduce nearly 900 billion won in long-term delinquent debt this year and provide over 15 trillion won in inclusive finance over the next five years. This will be a significant turning point, going beyond simply providing funds to help financially marginalized groups regain economic independence.
Inclusive Finance, Why is it More Important Now?
Inclusive finance refers to a policy that allows all economic actors to access financial services regardless of credit rating or collateral. In the past, financial services were primarily provided to those with high credit scores, often leaving low-credit individuals, small business owners, and farmers in financial blind spots. However, finance is now recognized as an essential social infrastructure that goes beyond a means of increasing assets, enabling individuals to engage in economic activities and overcome crises.
Recently, the Financial Services Commission also announced that it would promote inclusive finance as a structural reform task for the entire financial system, not just a one-time support. This is part of an effort to solve the problem of low-credit individuals and those with insufficient financial history being excluded from institutional finance, and to comprehensively overhaul the credit evaluation, loan, and debt adjustment systems to improve financial accessibility. Ultimately, it is a key task to enhance the overall economic vitality of our society and resolve inequality.
NH Nonghyup Inclusive Finance: Key Support Details
To expand inclusive finance, NH Nonghyup is mobilizing all its capabilities, including NH Nonghyup Financial Group affiliates such as Nonghyup Bank, Capital, and Savings Bank, as well as nationwide agricultural and livestock cooperatives and Nonghyup Asset Management. The specific support details are as follows:
- Write-off and Reduction of Long-Term Delinquent Debt: This year, 887.6 billion won in long-term delinquent debt will be written off or reduced, supporting the rehabilitation of approximately 90,000 vulnerable individuals. In particular, for delinquent debts of three years or more held by socially vulnerable individuals such as the elderly and basic livelihood recipients, a program will be operated to reduce the principal by up to 90% and waive all unpaid interest.
- Low-Interest Loans Exclusively for Farmers: The ‘Nongsimcheonsim Hope Loan’ product, a low-interest loan at 2% exclusively for farmers, including young farmers, has been sold since March at 1,109 agricultural and livestock cooperatives nationwide.
- Living and Housing Cost Relief Products for Youth: Products to alleviate the burden of living and housing costs for young people are scheduled to be introduced this month. Last month, the ‘Credit Recovery Partner Loan’ was also launched, providing up to 1 million won in funds to vulnerable individuals undergoing credit recovery procedures.
- Establishment of Inclusive Finance Companion Desks: ‘Inclusive Finance Companion Desks’ have been established at regional agricultural and livestock cooperatives to help vulnerable individuals conveniently access financial services.
How to Apply for and Receive Inclusive Finance Benefits?
To receive NH Nonghyup’s inclusive finance benefits, it is important to first confirm if you are eligible for support. Vulnerable groups, farmers, and young people are the main targets, and detailed eligibility requirements may vary for each product. NH Nonghyup has established ‘Inclusive Finance Companion Desks’ at agricultural and livestock cooperatives nationwide, allowing customers to visit in person for consultation. There, you can receive detailed guidance on suitable products and application procedures.
In addition, the , which oversees government-level financial support for ordinary citizens, operates the ‘1397 Inclusive Finance Call Center’. Here, you can receive one-stop guidance on various financial supports, including loans, debt adjustment, and employment/welfare linkages, so it is a good idea to actively utilize it if needed. It is a wise choice to seek expert help rather than struggling with financial problems alone.
NH Nonghyup’s large-scale provision of inclusive finance will be of practical help to many people experiencing economic difficulties. It is expected to be an important step towards lowering financial barriers and creating a society where everyone can grow together. If you are in difficulty, do not hesitate to grasp the string of hope through NH Nonghyup’s Inclusive Finance Companion Desk or the Korea Inclusive Finance Agency Call Center.