1. Introduction to the text
This reading lesson discusses a new credit recovery program in South Korea that will remove the credit records of over 3.7 million people who had defaulted on loans under 50 million won. The program aims to support small business owners and ordinary citizens who have struggled with debt.
2. Vocabulary
| Korean Word | Romanization | English Meaning | Contextual Example |
|---|---|---|---|
| 있다 | itda | to have, to exist | Even those who have not yet paid off their debts can receive credit forgiveness if they pay the full amount by the end of the year. |
| 연체 | yeonje | delinquency, default | Even if they had defaulted on loans under 50 million won, their delinquency records will be deleted. |
| 빚을 | bijheul | debt, loan | Those who had defaulted on loans under 50 million won can have their debt records deleted. |
| 기록이 | giroggi | record, history | Their delinquency records will be deleted if they pay off their debts by the end of the year. |
| 신용사면 | sinyongsamen | credit forgiveness | From the end of September, a credit forgiveness program for 3.7 million people will be implemented. |
3. The main text in both Korean and English
오는 30일부터 약 370만 명의 신용사면이 시행된다. 5000만 원 이하의 빚을 연체했더라도, 연말까지 전액을 상환하면 서민과 소상공인의 연체 기록이 삭제된다.
Starting on the 30th, a credit forgiveness program for about 3.7 million people will be implemented. Even if they had defaulted on loans under 50 million won, their delinquency records will be deleted if they pay off the full amount by the end of the year.
금융위원회는 추석 연휴에 앞서 서민과 소상공인을 지원하기 위해 이 같은 신용회복지원 조치를 시행한다고 밝혔다.
The Financial Services Commission announced that they will implement this credit recovery support measure before the Chuseok holiday to support small business owners and ordinary citizens.
나이스(NICE)신용평가와 한국평가데이터에 따르면 신용사면 대상은 개인 295만 5000명과 개인사업자 74만 8000명을 합쳐 약 370만 3000명이다.
According to NICE Credit Rating and Korea Appraisal Data, the credit forgiveness program will benefit about 3,703,000 people, including 2,955,000 individuals and 748,000 self-employed individuals.
아직 빚을 갚지 못한 112만 6000명도 올해 말까지 전액 상환하면 별도 신청 없이 신용사면을 받을 수 있다.
Even those who have not yet paid off their debts can receive credit forgiveness if they pay the full amount by the end of the year, without separate application.
연령대별로 살펴보면 20대 신용평점이 평균 50점 상승해 지원 효과가 가장 컸다.
Looking at it by age group, the credit scores of those in their 20s increased by an average of 50 points, showing the greatest support effect.
이에 따라 약 2만 명의 개인사업자가 은행권 대출 문턱을 넘을 수 있다.
As a result, about 20,000 self-employed individuals will be able to overcome the hurdle of bank loans.
4. Reading comprehension questions
- What is the purpose of the credit forgiveness program?
- How many people are eligible for the credit forgiveness program?
- What is the requirement for people to receive credit forgiveness?
- Which age group saw the biggest increase in their credit scores?
- How many self-employed individuals are expected to be able to get bank loans as a result of the program?
5. Cultural and historical notes
This credit forgiveness program is part of the South Korean government’s efforts to support small business owners and ordinary citizens who have struggled with debt, especially in the wake of the COVID-19 pandemic. By removing delinquency records, the program aims to help these individuals regain access to credit and financial services, which is crucial for their economic recovery.