The South Korea Financial Services Commission and the Credit Counseling and Recovery Service (CCRS) announced that a KRW550 billion low-interest loan support programme, the “New Leap Loan”, is available from 14 November 2025 to help debtors already in a restructuring process with overdue debts of seven years or more. The programme was formalised through an MOU signed by the CCRS, six major banks and Seoul Guarantee Insurance, building on the previously announced “New Leap Fund” long-term debt restructuring programme. New Leap Loan is designed for debtors who fall outside New Leap Fund coverage and who have been making payments under an existing restructuring arrangement for at least six months. Support is capped at KRW15 million per individual at an annual interest rate of 3.0 percent to 4.0 percent, with the programme operating on a temporary basis for three years; applications are available via nationwide microfinance support centres and the CCRS website, with potential access to employment counselling and welfare assistance depending on circumstances. The CCRS also opened a special restructuring support programme for debtors with overdue debts of five years or more who are not covered by New Leap Fund, offering equivalent restructuring measures including 30 percent to 80 percent principal reduction and instalment plans of up to 10 years.

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