Korea CCRS Personal Workout Debt Adjustment Calculator

Estimate Korean Credit Counseling and Recovery Service personal workout reductions, monthly payments, charged-off principal relief, delinquency stage, and debt-limit eligibility.

Debt workout inputs

Eligibility inputs

Monthly payment after adjustment

₩566,667

Unsecured plus secured monthly payment.

Total reduction

₩12,000,000

Reduction rate 26.1%.

Program stage

Personal workout

90 days or more in arrears; full interest waiver and possible charged-off principal reduction.

Qualified workout

Yes

True only for 90+ day workout, within limits, without recent-debt restriction.

Adjustment breakdown

Original total debt
₩46,000,000
Interest waived
₩6,000,000
Charged-off principal reduction
₩6,000,000
Non-charged-off principal reduction
₩0
Adjusted unsecured principal
₩34,000,000
Effective unsecured principal reduction
15%

Repayment details

Unsecured monthly payment
₩566,667
Secured monthly payment
₩0
Secured total payment
₩0
Adjusted total repayment
₩34,000,000
Youth preference flag
Not selected

Limit checks

Total debt
₩40,000,000
Unsecured over KRW 500M
No
Secured over KRW 1B
No
Total over KRW 1.5B
No
Recent debt restriction
Not triggered

Related calculators

What Is the Korea CCRS Personal Workout Calculator?

The Korea Credit Counseling and Recovery Service, often called CCRS, operates private debt-adjustment programs for individual debtors. Personal workout is the program for debts overdue for at least 90 days. It can waive accrued interest and late interest in full, reduce part of charged-off principal, and spread repayment over a long no-interest schedule.

This calculator estimates adjusted unsecured principal, monthly repayment, total reduction, and eligibility stage using the same pure calculation logic as the Korean page. It also checks whether the debtor exceeds CCRS limits and should compare court rehabilitation or bankruptcy.

Who Uses This Calculator?

  • Borrowers with credit card, unsecured loan, or private finance debt overdue for 90 days or more.
  • People whose interest has accumulated so much that principal repayment is no longer realistic.
  • Debtors comparing CCRS workout with court personal rehabilitation or bankruptcy.
  • Socially vulnerable applicants who may qualify for up to 90% charged-off principal reduction.
  • Applicants age 34 or younger checking youth repayment preference.

Three CCRS Debt Adjustment Stages

CCRS programs are divided by delinquency period. Longer delinquency can allow larger relief, but usually has a greater credit impact.

1. Rapid Debt Adjustment: 30 Days or Less

This applies when delinquency is expected or is 30 days or less. It can reduce agreed interest rates and waive late interest so the borrower can return to normal repayment. Principal reduction is not part of this stage.

2. Pre-Workout: 31 to 89 Days

Pre-workout is an interest-rate debt adjustment for delinquency of 31 to 89 days. It can lower the contracted interest rate, often to a fraction of the original rate, and waive late interest, but principal reduction is generally not applied.

3. Personal Workout: 90 Days or More

Personal workout applies to long delinquency. Interest and late interest are waived in full. Charged-off principal can be reduced by 20% to 70% for general applicants, and up to 90% for socially vulnerable applicants. Unsecured debt is repaid by equal principal installments for up to 8 years.

2026 Personal Workout Eligibility

Personal workout is not available to every debtor. The main requirements are:

  • Delinquency period: debt to participating financial institutions must be overdue for at least 90 days.
  • Debt limits: total debt must be KRW 1.5 billion or less, unsecured debt KRW 500 million or less, and secured debt KRW 1 billion or less.
  • Participating creditors: at least one debt must be owed to a financial company participating in the CCRS agreement.
  • Recent debt limit: debt newly incurred in the last six months should be under 30% of total principal.
  • Repayment capacity: CCRS must see enough income or ability to perform the adjusted plan.

If unsecured debt exceeds KRW 500 million or total debt exceeds KRW 1.5 billion, CCRS debt adjustment is outside the modeled limit. In that case, Korean court personal rehabilitation, which has higher debt ceilings, or personal bankruptcy may need review.

How Debt Reduction Is Calculated

The model separates interest waiver and principal reduction, then calculates the monthly repayment after adjustment.

Interest and Late Interest

Once personal workout is confirmed, accrued interest and late interest are waived in full. The adjusted unsecured repayment then proceeds without new interest in the model.

Principal Reduction: Charged-Off and Non-Charged-Off Claims

Principal reduction depends heavily on how much of the claim has been charged off by the financial institution. The formula used by the Korean calculator is:

principal reduction = unsecured principal x charged-off ratio x charged-off reduction rate + unsecured principal x (1 - charged-off ratio) x non-charged-off reduction rate.

  • Non-charged-off claims: principal reduction capped at 30%.
  • Charged-off claims, general applicants: principal reduction 20% to 70%.
  • Charged-off claims, vulnerable applicants: principal reduction up to 90%.

Secured Debt

Secured debt, such as mortgage debt, is not modeled as principal-reduced. Instead, the calculator applies an adjusted annual rate and a long amortization period, up to 35 years, to estimate monthly secured repayment.

How to Use the Calculator

1. Enter Debt Amounts

Enter unsecured principal, secured principal, and accumulated unpaid interest or late interest.

2. Set Principal Reduction Assumptions

Adjust charged-off ratio, charged-off reduction rate, and non-charged-off reduction rate. If unknown, use moderate assumptions first.

3. Select Repayment Period and Preferences

Set unsecured repayment months, secured repayment months, socially vulnerable status, and youth status.

4. Check Eligibility Stage

Enter delinquency days and recent-debt ratio to see rapid adjustment, pre-workout, personal workout, or over-limit status.

Application Process and Documents

Personal workout is filed through CCRS. Applications can be made at local integrated financial support centers or online through CCRS channels. Free debt counseling is available by phone at 1600-5500.

Common Documents

  • ID and debt adjustment application form.
  • Income evidence such as employment certificate, payslips, or income certificate.
  • Family relationship certificate and resident registration record.
  • Proof of vulnerable-group status, if applicable.

Collection by participating creditors is generally suspended from the day after application. Review, creditor consent, and confirmation often take about 1 to 2 months.

When Another Procedure May Be Better

  • Debt exceeds CCRS limits: compare court personal rehabilitation or bankruptcy.
  • No income at all: personal bankruptcy may fit better than a workout requiring repayment.
  • Need a deeper principal discharge: court rehabilitation may discharge more debt when disposable income is low.
  • Only short-term delinquency: rapid adjustment or pre-workout may limit credit damage more than waiting for 90 days.

FAQ

How is personal workout different from court rehabilitation?

Personal workout is a non-court CCRS program with lower application cost and faster process. Court rehabilitation is a judicial procedure with 3 to 5 years of disposable-income payments and potentially broader discharge.

Can principal really be reduced?

Yes, for personal workout, charged-off principal can be reduced by 20% to 70% for general applicants and up to 90% for vulnerable applicants. Non-charged-off principal is capped at 30%.

Does collection stop after application?

For participating creditors, collection against the debtor and guarantors generally stops from the day after application.

What happens if repayment becomes difficult?

Hardship such as unemployment or illness may allow repayment deferment in 6-month units, up to 3 years, with a low deferment interest rate in the CCRS system.

Practical Notes

  • Charged-off status matters: the more charged-off debt, the larger the possible principal reduction.
  • Check youth preference: age 34 or younger applicants can receive improved lump-sum repayment treatment after faithful repayment.
  • Watch recent debt: debt newly incurred right before application can restrict approval.
  • Use free counseling: CCRS and local support centers can explain the correct program before filing.
  • Treat the result as an estimate: final reduction depends on CCRS review and creditor consent.