Shinhan Bank, in collaboration with the city of Busan and the Busan Credit Guarantee Foundation, will offer low-interest loans at around 1% and high-interest loan refinancing for small businesses in the Busan area.
On September 14, Shinhan Bank signed a business agreement with the city of Busan and the Busan Credit Guarantee Foundation to jointly promote the '1% Low-Interest Loans and High-Interest Loan Refinancing for Small Businesses in Management Crisis' initiative, which was announced on the 15th.
This initiative involves five financial institutions, including Shinhan Bank, providing a total of 500 billion won in guarantee agreements. The 'Living Assurance Agreement Guarantee' program aims to support the management stability of small and micro businesses in Busan that are struggling with financial burdens.
Eligible participants are small and micro businesses registered and operating in Busan. The program offers a subsidy of 4.0 percentage points for the first year and 2.0 percentage points thereafter, allowing small businesses to access funds at an effective interest rate of around 1%.
Support is available for up to 30 million won per business, with repayment options including five-year equal installment payments or one year of grace followed by four years of installment payments.
Applications can be submitted starting on the 17th through the Busan Credit Guarantee Foundation's 'Guarantee Dream' app or at Shinhan Bank branches. A Shinhan Bank official stated, "We will continue to expand inclusive finance for small businesses and vulnerable groups in need of financial support, practicing win-win finance that grows together with the local community."
* This article has been translated by AI.
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