IBK Industrial Bank will forgive 120 billion won in long-term debt to assist vulnerable groups struggling with prolonged delinquency.
The bank announced on August 25 that it plans to forgive a total of 120 billion won in long-term delinquent debts by the end of the year.
This debt forgiveness aims to alleviate the financial burden on vulnerable groups suffering from extended collection efforts and to support their return to normal economic activities.
Initially, by September, the bank will forgive 67.5 billion won in debts held by approximately 3,600 individuals. The eligible debts include those with a special inclusion period exceeding five years and a balance of less than 5 million won, as well as those with an inclusion period exceeding seven years and a balance of less than 100 million won.
Additionally, by December of this year, the bank plans to forgive another 52.5 billion won in debts held by around 1,400 individuals. This will target debts with a special inclusion period exceeding five years and a balance of less than 100 million won.
An IBK official stated, "We decided to forgive debts to help vulnerable groups break free from the cycle of long-term debt. We will continue to support financially vulnerable individuals through proactive inclusive finance initiatives."
* This article has been translated by AI.
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