Homeplus Reopens Stores, Credit Card Companies Resume Merchant Payments

[Financial News] Credit card companies have normalized merchant payments in line with Homeplus's resumption of business. They had previously withheld those payments in preparation for a possible wave of refunds when operations were suspended.
According to the financial sector on the 17th, credit card companies resumed paying merchant settlements that had been on hold around the 13th, when Homeplus officially restarted operations.
When Homeplus halted store operations nationwide in mid-last month, credit card companies withheld part of the payments in anticipation of large-scale payment cancellations and refunds.
In card payments, the credit card company first pays the merchant, and the customer later settles the bill with the card company on the designated payment date. If a payment is canceled, the card company refunds the customer first and then recovers the amount from the merchant.
After Homeplus resumed operations, new sales were generated, creating conditions that allowed credit card companies to make payments normally.
An industry source said, "We withheld some payments in case many cancellations occurred," adding, "After operations resumed, new sales increased, and credit card companies are now paying settlements normally."
Sales have in fact recovered since Homeplus reopened. On the first day of reopening, the 13th, sales reached 10.628 billion won, up 1.2% from the same day last year. Customer traffic at offline stores also rose 15% year on year across the 67 branches.
However, legal uncertainties remain over unpaid Homeplus settlements. Some suppliers that had not received payment from Homeplus reportedly filed for provisional seizure against settlement receivables that credit card companies were to pay Homeplus, leading to the suspension of some payments.
Under current merchant terms and conditions, a credit card company may withhold or deposit credit card sales proceeds if it is served with a provisional seizure or seizure order under the Civil Execution Act and other relevant laws.
The financial authorities are said to have tentatively concluded that the supplier in question is a small or mid-sized company and that the amount subject to provisional seizure is not large. The impact on Homeplus operations and credit card company settlements is also expected to be limited.
Credit card companies that had changed their Homeplus-affiliated card policies are currently maintaining their existing stance while watching how the situation develops. They plan to respond after taking into account Homeplus's operational normalization, sales trends, and legal procedures related to the unpaid settlements.
[email protected] Hong Ye-ji Reporter