Incheon Credit Guarantee Foundation Strengthens Recovery Support System for Small Business Owners

Debt restructuring and management guidance underpin stability for small merchants

Kim Hyun-soo, Reporter Posted 2026/07/16 [11:36] Article No. 52666

The Incheon Credit Guarantee Foundation (인천신용보증재단) announced on the 16th that it is strengthening its recovery support system to ease the burden on small business owners struggling with long-term debt repayment and help them return to economic activity.

[코리안투데이] Incheon Credit Guarantee Foundation Strengthens Recovery Support System for Small Business Owners © 김현수 기자

Extended interest penalty reduction, installment repayment over up to eight years

The Foundation has designated 2026 as the ‘Year of Special Debt Relief Measures for Small Business Credit Recovery and Recovery Support,’ extending by more than six months the operating period of last year’s temporary measure that fully waived interest penalties.

For debtors who find lump-sum repayment difficult, the Foundation is also guiding them toward an installment repayment program that extends the repayment period to up to eight years.

[코리안투데이] Incheon Credit Guarantee Foundation Strengthens Recovery Support System for Small Business Owners © 김현수 기자

66.6 billion won linked to policy funds including the Fresh Start Fund and New Leap Fund

In the first half of the year, the Foundation sold a total of 66.6 billion won in receivables—43.5 billion won to the government-led Fresh Start Fund (새출발기금) and 23.1 billion won to the New Leap Fund (새도약기금), both of which carry out debt restructuring projects—helping debtors move through a systematic credit recovery process that includes debt adjustment and receivable write-offs.

The Foundation also separately pursued write-offs of its own receivables, canceling 15 billion won worth in the first half of the year. This has helped create conditions for small business owners to free themselves from debt burdens, focus on their livelihoods, and return to normal financial activity.

[코리안투데이] Incheon Credit Guarantee Foundation Strengthens Recovery Support System for Small Business Owners © 김현수 기자

Tailored management guidance programs run in parallel

The Foundation is also running tailored management guidance programs for small business owners to help improve survival rates among small merchants in the Incheon region. These include life-cycle-tailored education and consulting, re-challenge training under the Hope Return Package (희망리턴패키지), and projects to identify and provide preemptive support to small business owners in crisis.

Chairman Lee Bu-hyun (이부현) said, “We have strengthened our recovery support system to help small business owners struggling with long-term debt escape the burden of debt collection, focus on their livelihoods, and return to normal economic activity.” He added, “We will continue to expand effective recovery support systems, including linkage with policy funds and receivable write-offs, to serve as a solid pillar helping small business owners overcome crises and leap forward again.”