Gov't steps up campaign for write-off program for troubled borrowers

SEOUL, Dec. 7 (Yonhap) -- The government stepped up its campaign on Friday for a scheme to write off debts of troubled borrowers, officials said, as fewer people than expected applied for the scheme.

The Financial Services Commission (FSC) appointed some 150 social welfare workers and officials from financial institutions in Seoul as "supporters" for the scheme.

The scheme was launched in November last year to help borrowers who had outstanding debts of less than 10 million won (US$8,945) for over 10 years. Applications for the scheme will end by February next year.

The debts are written off through funds from the National Happiness Fund, which was raised from private lenders and state-run financial institutions.

Initially, the government had expected the scheme to help write off debts of 1.19 million people.

So far, only 87,000 people have applied for the scheme, according to the FSC.

kdh@yna.co.kr
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