Daegu City Offers Lifeline to Students Saddled with Loan Debt – Breaking News for Korea’s Young Adults
DAEGU, SOUTH KOREA – In a move hailed as a significant boost for young people struggling with educational debt, Daegu City today announced an expanded ‘University Student Loan Burden Support Project.’ This breaking news offers crucial financial relief to students and recent graduates, easing the pressure of interest payments and helping to rebuild credit scores. The program, now in its eighth year, has been significantly broadened to include more students than ever before, making it a vital resource for those navigating the challenges of higher education financing. This is a story that will resonate with students across Korea and beyond, and is optimized for Google News and SEO visibility.
Who Qualifies for Daegu’s Student Loan Relief?
For years, Daegu City has quietly been providing support to its local university students. But this year, the program is reaching further. Previously limited to undergraduate students, the initiative now extends to graduate students who graduated after 2020 from universities in the Daegu and Gyeongbuk region. This expansion addresses a growing need, as more students pursue advanced degrees and face increasing debt burdens. To be eligible, applicants must meet three key criteria:
- Residency: Must be registered as a resident of Daegu Metropolitan City.
- University Affiliation: Must be a graduate or current student of a university in the Daegu and Gyeongbuk region.
- Income: Household income must be below the 8th income bracket as defined by the Korea Scholarship Foundation. However, households with two or more members are eligible regardless of income level – a significant change designed to broaden access.
Furthermore, applicants must be under 39 years of age and have existing credit information registered with the Korea Scholarship Foundation.
Beyond Interest Repayment: Aiding Credit Recovery
The program doesn’t just offer financial assistance with interest payments from July-December 2023 and January-June 2024. Daegu City is also providing initial funds – 5% of the total contract amount – to help debtors sign up for the Korea Scholarship Foundation’s debt division program. This proactive step is designed to help young people actively manage and recover their credit, a crucial aspect of financial well-being in Korea. This is particularly important as a poor credit history can significantly impact future opportunities, from securing loans to renting an apartment.
A History of Support and a Growing Investment
Since 2016, Daegu City has invested approximately 2.15 billion won in this program, directly benefiting 12,320 local university students. Beyond financial relief, the program has also assisted 277 young debtors in clearing their credit records. This demonstrates a long-term commitment to supporting the financial health of its young citizens. The expansion of the program reflects a growing awareness of the challenges faced by students in a competitive job market and the importance of investing in their future success.
How to Apply – Don’t Miss the Deadline!
Applications are being accepted from March 3rd to March 30th at the Daegu City Civil Service and Home Service centers. Don’t delay – this is a limited-time opportunity to significantly reduce your student loan burden. For detailed application instructions and eligibility requirements, visit the Daegu City website [Insert Daegu City Website Link Here].
Lee Eun-ah, Head of the Daegu University Policy Bureau, expressed optimism about the program’s impact, stating, “We expect that many local students will be able to reduce the economic burden of tuition and devote themselves to their academic and career.” This initiative isn’t just about easing financial strain; it’s about empowering the next generation of leaders and innovators in Daegu and beyond. By investing in their financial well-being, Daegu City is investing in its own future.