Financial Sector to Provide 103 Trillion Won to Small Businesses and SMEs for Chuseok Holiday

Large-Scale Fund Supply through New Loans and Guarantees
Loan Repayment and Credit Card Payment Deadlines Extended to the 28th

The financial sector will provide a total of 103 trillion won in funds to small business owners, small and medium-sized enterprises (SMEs), and others in celebration of the Chuseok holiday.

On September 13, the Financial Services Commission announced that it has prepared and is implementing various support measures to expand funding for vulnerable sectors during the Chuseok holiday period and to ensure that people experience no inconvenience when using financial services.

Policy financial institutions will support new loans and guarantees totaling 23 trillion won to small business owners and SMEs to meet the anticipated increase in funding demand before and after the Chuseok holiday. The support period will last until October 12. Special counseling for these funds will be available at the branches of Korea Development Bank, Industrial Bank of Korea, and Korea Credit Guarantee Fund.

Banks will also supply 79.6 trillion won in funds to small business owners and SMEs, with 32.2 trillion won allocated for new loans and 47.4 trillion won for loan maturity extensions. Preferential interest rates will be offered based on transaction contribution and credit rating. The support period at banks will continue until October 16, with special Chuseok holiday fund counseling available at each bank branch.

The Korea Inclusive Finance Agency will provide a total of 5 billion won in holiday funds to merchants in traditional markets to help them purchase seasonal goods, supplying the funds through merchants’ associations. Merchants can get microloans of up to 10 million won at an annual rate of 4.5% or less until September 23.

The payment deadlines for loans and credit card bills maturing during the Chuseok holiday period will also be deferred until after the holiday. If the due dates for loan repayments, credit card payments, or the automatic payment of insurance premiums, telecommunications bills, and other public charges coincide with the holiday, the payment will be automatically extended to September 28.

If the scheduled payment date for the reverse mortgage (housing pension) falls during the Chuseok holiday, payments will be made in advance on September 23. For deposits maturing during the holiday, payment including holiday interest will be made on September 28, but customers can request to receive the payment on September 23 depending on the product.

Because the proceeds from stock sales are paid two business days after the transaction, if the payment date overlaps with the Chuseok holiday, settlement will be deferred to September 28–30. In contrast, for bonds, gold, and emissions allowances, which are settled on the day of the transaction, sellers will receive settlement immediately on September 23 if they transact that day.

Banks will operate 11 mobile branches at highway rest areas and other locations during the Chuseok holiday, allowing customers to withdraw and deposit funds and exchange old bills for new ones. Eleven flexible branches will also be available at airports and in areas with large numbers of foreign workers for currency exchange and remittance services.

A Financial Services Commission official said, "If you need large amounts of funds during the Chuseok holiday for real estate transactions or corporate settlements, you should withdraw the necessary funds in advance or increase your Internet banking transfer limits beforehand. Since international remittances and cross-border payments may not be processed normally, it is necessary to check with your bank and, if needed, adjust the transaction date in advance."

The Financial Services Commission will also strengthen cybersecurity in the financial sector during the Chuseok holiday. To respond promptly to incidents such as distributed denial-of-service (DDoS) attacks or financial company hacking during the holiday, the Financial Services Commission, Financial Supervisory Service, Korea Financial Security Institute Integrated Security Monitoring Center, and financial companies will maintain a rapid response system.

This content was produced with the assistance of AI translation services.