Reports of illegal private finance skyrocket...collection damage five times in four years

As the number of consultations and reports on illegal private financial damage surged last year, related damage also increased significantly.

According to the data submitted by the Financial Supervisory Service to Representative Seo Bum-soo of the People's Power, 2,398 consultations and reports entered the Financial Supervisory Service's illegal private financial damage reporting center from January to October last year.

It is the largest in the last five years, up 9.9% from 1,278 cases in the same period last year alone.

In terms of damage types, unregistered illegal lenders were the most involved with 5,604, followed by 2,429 debt collections, 1,868 high interest rates and 1,390 illegal advertisements.

In particular, the number of damage counseling and reports related to debt collection surged 49.8% from 1,621 in the same period last year.

Compared to 479 cases in 2020, it has soared five times in four years.

Although the difficulties of vulnerable groups are growing due to the worsening economy, illegal private financial damage is increasing as the threshold for financial loans in the institutional sector, including lenders, is rising.