Business · Companies · 2 hrs ago

Late notice to landlords accounts for 54% of HUG guarantee refusals

Late notice to landlords accounts for 54% of HUG guarantee refusals

South Korea’s HUG can refuse to pay a deposit guarantee if a tenant does not properly tell the landlord they plan to end the lease.

Jeonse is a rental system in which tenants pay a large deposit, which the landlord is expected to return when the lease ends.

Tenants generally must give notice at least two months before the lease ends to qualify for the guarantee.

Failure to give notice made up 54% of HUG’s refusal reasons in the latest figures, down from 59% in 2024 but still more than half.

The guarantee is meant to protect tenants when landlords do not return deposits, including in cases of fraud or financial difficulty.

Missing the notice step can leave tenants without the protection they expected, even if they bought the guarantee.

HUG has added tools such as real-time checks on claim progress, but the notice requirement remains important.

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