Mr. A, who earns an annual salary of 70 million won, has incurred approximately 200 million won in debt due to failed investments in stocks and cryptocurrency. However, he holds net assets of approximately 180 million won, consisting of an apartment valued at 420 million won, minus a jeonse deposit of 230 million won. Although debt incurred through investments is eligible for personal rehabilitation, the key issue is that, under the principle of ensuring liquidation value, the debtor must repay an amount equal to the disposal value of their assets; the court is highly likely to require the disposal of assets if the net worth is substantial.

Attorney Kim Yong-dae of Hanbyol Law LLC recommended selling the apartment, using the proceeds to enter into a new lease agreement, thereby having the lease deposit recognized as exempt property, and then filing for personal rehabilitation. He explained that this approach lowers the liquidation value, thereby reducing the repayment amount required by the court, and thus offers a greater practical debt relief effect compared to the burden of retaining the home, which could amount to several million won per month (e.g., approximately 3.5 million won per month × 5 years).