HF Offers Guarantee for chonsei loans Customized for Low Income and Socially Disadvantaged Groups

- HF lowers guarantee fees through partnership with Gyeonggi-do and NH Bank

HF takes the initiative to increase housing stability for low-income, socially disadvantaged, and other financially vulnerable groups.  

 * Socially disadvantaged groups: The lowest income group in the Basic Livelihood Security program; the next lowest income group; those with severe disabilities; North Korean defectors; young people discharged from child welfare institutions; children heads of household; multicultural families; households with seniors; and those on a permanent lease housing program    

Korea Housing Finance Corporation (HF, CEO Lee Jung-Hwan) stated on April 10, 2019, that it signed a memorandum of understanding (MOU) with Gyeonggi-do (Governor Lee Jae-Myeong) and NH Bank Gyeonggi Division (General Manager Gwon Joon-Hak). The MOU on Financing Support for the Housing Stability of Low-Income Families in Gyeonggi-do aims to assist low-income families in the province in taking out a jeonse loan. 

Under the MOU, HF offers the lowest guarantee fee of 0.05% a year to those covered by the MOU, while NH Bank provides them with jeonse loans of up to KRW 30 million (or KRW 45 million with the preservation of claims). Gyeonggi-do selects those eligible for the financing support and gives the recommendation list to HF and NH Bank. The full amount of the guarantee fee (for up to four years) and an interest rate of up to 2% a year will be offered to the final candidates.

HF CEO Lee Jung-Hwan said, “We hope that this MOU will ease the home financing burden of financially vulnerable Gyeonggi-do residents. We will make further efforts to realize inclusive home financing in the future.”

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HF reached the MOU on Financing Support for the Housing Stability of Low-Income Families in Gyeonggi-do with Gyeonggi-do and NH Bank at Gyeonggi-do Provincial Government Office on the 10th. HF CEO Lee Jung-Hwan (first from left), Gyeonggi-do Governor Lee Jae-Myeong (middle), and NH Bank Gyeonggi Division General Manager Gwon Joon-Hak (third from left) pose for a photo after signing the MOU.