About 117,000 people apply for debt write-off program

About 117,000 people applied for a debt write-off program over the past year, the financial regulator said Monday, as part of the government's efforts to promote inclusive financing.

The scheme was launched in November 2017 to help borrowers who have failed to repay debts of less than 10 million won ($8,803) for over 10 years. Applications for the scheme had been extended to the end of last month.

Including the 117,000 people, the government has written off or will write off the debts of 627,000 people, the Financial Services Commission said in a statement. 

(Yonhap)

The debts are written off through funds from the National Happiness Fund, which was raised from private lenders and state-run financial institutions.

Kim Yong-beom, vice governor of the FSC, said it will continue to make efforts to ease the financial burdens of desperate borrowers. (Yonhap)