Rep. Choi Seung-jae “Reflects Economic Crisis”
It was confirmed on the 31st that 78% of the applicants for the ‘small living expenses loan’ with a limit of 1 million won targeting the financially vulnerable were in their 30s to 50s. The fact that the use of livelihood loans by the age group that is the main economic activity is high has been interpreted as a crisis in the economic situation.
According to data submitted by Rep. Choi Seung-jae of the People’s Power of the National Assembly’s Political Affairs Committee on the same day from the Small Finance Promotion Institute, among the applicants for pre-reservation of micro-living loans for three days from the 22nd, 31.1% of those in their 40s appeared to be the most.
People in their 30s accounted for 25.0% and those in their 50s accounted for 22%. Those in their 30s and 50s, the central axis of economic activity, accounted for 78% of applications for small living expenses loans. 10.2% in their 20s, 9.5% in their 60s, 1.9% in their 70s, and 0.3% in their 80s.
A total of 25,399 cases of pre-application for small living expenses loans (based on the count on the 28th). Males accounted for 10,303 cases (59.7%) and females accounted for 6,966 cases (40.3%), showing a ratio of about 6 to 4.
Rep. Choi said, “People in their 30s and 50s, who are in charge of Korea’s main economic activities, are in such a crisis that they have to use a small amount of 1 million won at a high interest rate of 15.9% to make a living.” We need various measures to help the economically active population who are driven to illegal private finance, including cuts, to recover.”
The Small Living Expenses Loan is a program that provides loans of up to 1 million won to vulnerable groups aged 19 or older, whose credit score is below the bottom 20% and whose annual income is below 35 million won.