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Busan Metropolitan City Launches Full-Scale Support for “Three-Free Hope-Linked Overdraft Loan Guarantee” for Small Business Owners

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Busan Metropolitan City (Mayor Park Heong-joon) announced that it will begin full-scale implementation of the “Three-Free (無) Hope-Linked Overdraft Loan Guarantee” (hereinafter “Hope-Linked Account”) program for small business owners starting July 17, with a total program size of KRW 200 billion.

Following the launch of the “Three-Free Hope-Linked Credit Card” earlier this year, this newly introduced financial support program also features the “three frees”: ▲No guarantee fee, ▲No credit limit screening, and ▲No in-person application.

The “Hope-Linked Account” supports the use of operating funds by connecting an overdraft loan of up to KRW 5 million per person with a debit card, allowing for flexible fund usage. It enhances flexibility and accessibility in capital operation and further strengthens convenience through a non-face-to-face application process.

Additionally, a notable benefit is a 3% cashback on debit card spending, up to a maximum of KRW 100,000 per year, returned as Dongbaekjeon credits.

By combining the existing “Three-Free” Hope-Linked Card with the newly launched overdraft loan, small business owners may receive guarantee support up to KRW 10 million (KRW 5 million each), offering significant assistance to those in need of larger working capital.

Eligible applicants are small business owners located in Busan who meet all of the following criteria: ▲operating for at least six months, ▲NICE credit score of 595 or above*, and ▲annual revenue of at least KRW 12 million or KRW 3 million over the most recent three months.

* A credit score of 595 or higher corresponds to the former credit rating grades 1–7, encompassing approximately 95.5% of the population.

Applications open on July 17 via the “BNK Busan Bank Mobile Banking App,” and the entire process—from application and screening to issuance of the guarantee—can be completed conveniently via smartphone.

For digitally vulnerable groups, in-person application is available by reserving a consultation through the Busan Credit Guarantee Foundation website (www.busansinbo.or.kr). Applicants will receive guidance on required documents via mobile and can then visit a Foundation branch in person.

For further information on application procedures and details, please contact BNK Busan Bank at ☎ 1588-6200 or 1544-6200, or the Busan Credit Guarantee Foundation at ☎ 051-860-6600 or any of its local branches.

Kim Bong-cheol, Assistant Mayor of Digital Economy Office, stated, “We have designed this program to provide more convenient and practical financial support to local small business owners who are experiencing funding difficulties amid a challenging economic environment,” and added, “Busan Metropolitan City will continue to support the recovery of small businesses through collaboration with financial institutions.”

Meanwhile, through the first supplementary budget in March, the City expanded its special fund for small business owners by KRW 232.5 billion, increasing the total from KRW 417.5 billion to KRW 650 billion, in an effort to support small business owners and the self-employed facing financial hardship due to the economic downturn.