Paying to Be Delayed in the Case of Objection about the Bill

Credit card users who object about the bills will be exempted from paying the bills until the probe is completed from July.

The Ministry of Finance and Economy (MFE) and Financial Supervisory Commission (FSC) announced on the 7th that they prepared a follow up measure, which strengthens the responsibility of card firms for illegally issued cards, for intensifying the supervision on the credit card firms.

By raising an objection to the credit card firm in written statement, a credit card holder, who is doubt for the bill, doesn`t have to pay the bill until probe on the bill is completed. Card firms must not register the person on the black list for the delay of paying.

However, 25 percent interest will be imposed on the payment, when the user is found to be responsible for the bill, which is designed to prevent credit card users from abusing the calling for probe.

In addition, when credit card companies illegally issue cards to minors without the consent of their parents, the firms will be obligated to pay the bills in addition to being imposed with administrative punishments.

Moreover, credit card firms can lend card holders money through cash advancing or card loan as much as the bills that the card holders should pay for. The government decided to revise the financial law for loaning in order to reduce family debt from cash advancing.

Credit card firms have gained claims through cash advancing and loaning services 57.6 percent as much as total claims. Hence, card firms should reduce the credit claims or increase the earning from credit sales.

Rae-Jeong Park ecopark@donga.com · Byong-Ki Lee eye@donga.com