Special contract workers get to benefit from HF Principal Payment Deferral Program

- HF comes to aid for the borrowers of Bogeumjari and conforming loans hit by Covid-19.

Korea Housing Finance Corporation (HF, CEO Choi Joon Woo) announced on May 4 its plan to roll out the ‘Special Principal Payment Deferral Scheme for Covid-19 Response’ for workers in the special form of contract(dependent self-employed, freelancers, and non-standard contract workers) as parts of its efforts to alleviate burden of mortgage payment for those hit by Covid-19.

HF improved the deferral application process to make it more accessible for the borrowers of HF public mortgages or their spouses who have received “Covid-19 Emergency Employment Stability Subsidy”, as non-standard contract employees or freelancers without employment insurance, such as door-to-door sales person or home-study teachers. 

Eligible applicants only need to submit the receipt of the subsidy to HF, which can be printed out on the website of Covid-19 Emergency Employment Stability Subsidy (https://covid19.ei.go.kr)“ or issued at a local employment support center. Without having to submit other documents, they can benefit from the HF principal payment deferral program. Before the process improvement, those in the specific employment form could not access to the deferment scheme due to difficulties of income proof, as there was no income proof documents issuable at NTS for them. 

With the scheme, those in the specific form of employment and other struggling borrowers only need to make an interest payment for a year. Giving the proof on the income decrease at the time of deferral expiration is presented, the deferral can be extended on a yearly basis. Total allowed deferral period is up to three years.  

HF commented, “With the special act on the deferral scheme, special contract workers left in the Covid-19 induced employment blind spot can benefit from the program as well. HF will continue to develop various financial support programs for disadvantaged groups. More information on the scheme is available through HF Call Center (1688-8114), on the HF website, or HF branches across the nation.”