[Anchor]The government has decided to implement a “credit amnesty” to erase overdue debt records.This is the third such measure since COVID-19 and will be the largest in scale to date.However, there is criticism that repeated credit amnesties could lead to negative side effects.Hwang Hyun-kyu reports.[Report]The “credit amnesty” will cover borrowers with overdue debts of 50 million won or less.Anyone who has fallen behind on debt repayments of 50 million won or less between Jan. 1, 2020, and Aug. 31 this year will have their overdue records erased if they repay the full amount by the end of this year.In the case of bank loans, being overdue for more than 30 days typically leaves a record, lowering one’s credit score.Even after paying off the debt, this record can remain with credit rating agencies for up to five years.Such a record makes it virtually impossible to secure a bank loan and difficult to get a new credit card.As of now, around 3.24 million people have overdue records under 50 million won since Jan. 2020, making normal financial activity difficult.[Seo Na-yoon/Director, Financial Data Policy Division, Financial Services Commission: “(If the credit amnesty is granted) it can improve your credit score, making it possible to get loan approvals or have credit cards issued.”]Similar “credit amnesties” were implemented in 2021 and 2024.The previous two rounds covered debts of up to 20 million won, but this time the limit has been raised to 50 million won.This is expected to benefit the largest number of people so far.However, experts warn that frequent credit amnesties could undermine the credibility of credit scores.[Kim Sang-bong/Professor of Economics, Hansung University: “Money should be lent to people with credit, but if that data disappears and can’t be checked, then loans will only go to those who have collateral.”]People can check whether they qualify for the credit amnesty through a dedicated system set to be launched by credit rating agencies around Sept. 30.This is Hwang Hyun-kyu, KBS News. ▣ KBS 기사 원문보기 : http://news.kbs.co.kr/news/view.do?ncd=8327495 ▣ 제보 하기 ◇ 카카오톡 : 'KBS제보' 검색 ◇ 전화 : 02-781-1234 ◇ 홈페이지 : https://goo.gl/4bWbkG ◇ 이메일 : [email protected] Copyright ⓒ KBS. All rights reserved. 무단 전재, 재배포 및 이용(AI 학습 포함) 금지