On June 30, the Financial Services Commission held the third meeting of the "Financial Counseling Task Force for Youth," chaired by Vice Chairman Kwon Dae-young, where they announced the final implementation plan.
Young people aged 19 to 34 will be able to apply for counseling through the "Financial Counseling for Youth" website starting July 6, with actual sessions beginning on July 16. Those who exceed the age limit but are enrolled in youth savings accounts or youth future savings plans can also receive counseling through the same process.
The initiative allows youth to conduct an online financial assessment of their income, expenses, and debt, after which they can choose the type and schedule of counseling they prefer. They can then receive one-on-one counseling either by visiting a financial institution or having a counselor come to them. Online counseling will also be available for those who find in-person meetings challenging.
The Financial Services Commission plans to initially expand counseling locations to 133, including 115 banks, 12 securities firms, and 6 insurance companies. Locations will include 46 in Seoul, 22 in Gyeonggi Province, 11 in Busan, 9 in Gwangju, and 8 in Daegu. The proportion of counseling locations outside the capital region will increase from about 30% to 47%. Additionally, 119 regional financial counselors will be appointed to facilitate on-site counseling.
Youth with low credit scores or excessive debt will be connected to consulting services from the Korea Financial Services Agency for credit and debt management, as well as pre-counseling for debt adjustment from the Credit Recovery Commission. Young individuals who complete the financial counseling will also receive a preferential interest rate of 0.2 percentage points on youth future savings plans. Participation in the Youth Future Loan program will require prior completion of financial counseling.
The expansion of this counseling initiative stems from the recognition that young people generally have lower financial management skills. In a national financial literacy survey conducted in 2024, individuals in their 20s scored an average of 62.6, below the overall adult average of 65.7. Previously, the annual number of youth receiving financial counseling was limited to about 4,600, representing only about 0.05% of the youth population.
* This article has been translated by AI.
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