Under the Moon Jae-in administration, the amount of jeonse loans received by young people in their 20s and 30s has risen sharply.
Today (9th), according to the current status of chartered loans from the five major commercial banks (Kookmin, Woori, Shinhan, Hana, and Nonghyup) submitted by the Financial Supervisory Service by Rep. Jeonse loans (based on the balance) stood at KRW 52.818 trillion in June and reached KRW 148.573 trillion as of the end of June.
Jeonse loans increased by 2.8 times in four years, especially during this period.
Those in their 20s increased 5.6 times from 4.389 trillion won to 24,388.6 billion won, double the average rate of increase by generation (2.8 times).
Those in their thirties recorded the largest increase in the amount by age group (38,850.1 billion won) from 24.78 trillion won to 6,3634.8 billion won.
Under the Moon Jae-in administration, young people in their 20s and 30s received about 59 trillion won in jeonse loans from financial institutions alone.
This accounts for 61.5% of the total increase in jeonse loans.
The increase in the amount of jeonse loans among young people in their 20s and 30s is attributed to the increase in single-person households and the environment in which it is difficult to find a house due to rising house prices.
In addition, the worsening of jeonse difficulties with the enforcement of the new lease law, which includes the right to request a contract renewal at the end of July last year and the limit on the amount of rent per month, is also pointed out as a factor.
This is because, as the price of jeonse jumps sharply due to the shortage of jeonse, young people with relatively low income and assets have no choice but to receive more jeonse loans.
Assemblyman Sang-hoon Kim pointed out, "The wealth gap between young people who have received a jeonse loan and a young man who owns a house is getting wider."
(Photo = Yonhap News)