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The government began accepting applications on this Monday for a national debt-relief
program that is aimed at helping troubled debtors restructure their debt payments.
Our Kim Han-ul has more. The so-called "National Happiness Fund" was launched last month to
help alleviate household debt.
The fund is valued at one-point-five trillion won,... or one-point-three billion U.S. dollars,..
and is open to more than half a million heavy debtors in Korea.
Successful applicants can have up to 50 percent of their debt cancelled, and they'll have
up to ten years to repay the remaining amount.
Those who are eligible to apply for the fund will have debts of 100-million won, or 89-thousand
dollars, or less... and debt payments that have been overdue for more than six months
as of February.
Applications for the fund will be taken in two stages.
During the preliminary application period, which continues to the end of the month, information
on the applicants' liabilities will be gathered.
The actual screening process will run from May until the end of October.
State-run debt clearer KAMCO, which will administer the fund, says those who file a preliminary
application will have the debt collection process stopped temporarily, which will likely
encourage heavy borrowers to sign up early.
But some analysts worry that the debt rescheduling fund could prompt heavy debtors to take advantage
of the free ride.
Kim Han-ul, Arirang News.