“Pay for secondhand trades with a credit card, too”... FSC newly designates 24 innovative services

[Financial News] Credit-card payments will become available for person-to-person secondhand transactions. This follows the Financial Services Commission’s new designation of 24 innovative financial services, including this service.
The Financial Services Commission said it newly designated 24 innovative financial services at its regular meeting on the 7th. With this decision, the cumulative number of designated innovative financial services reached 1,164. It also accepted a request to improve regulations for one existing innovative financial service and a request to extend the designation period for another, respectively.
The newly designated innovative financial services include NAVER Financial Corporation’s “Credit-Card Safe-Payment Service for Person-to-Person Secondhand Transactions.” The service provides credit-card payment and collection functions combined with a secure-payment service for transactions between individuals who are not businesses on N Flea Market, a secondhand-trading platform operated by NAVER. The amount paid by credit card is transferred to the seller after the buyer confirms the purchase. A regulatory exemption allows the payment processor to provide cardholders with seller information through chat channels or privacy-protected phone numbers, among other means. Designated companies must post key information, including payment, cancellation and refund procedures, on their websites and comply with conditions such as preventing suspicious financial transactions and keeping card payments below the limit of 1.5 million won per transaction.
Toss Bank and Gwangju Bank’s “Joint Loan Service” was also newly designated. When a customer applies for a loan through the Toss Bank app, the two banks conduct credit assessments in sequence and offer a loan through remote channels at a jointly determined limit and interest rate. The joint-loan service appears to meet the respective needs of regional banks, which find it difficult to attract new borrowers amid regional depopulation, and online-only banks, which need to meet their lending share for borrowers with mid- to low credit ratings. The two banks plan to divide the loan funds in a 5:5 split. A regulatory exemption allows them to outsource certain tasks to each other during the service’s operation, including loan assessments, contract execution and disbursement, as well as loan management and delinquency notices. The terms and conditions and screen design must make clear to customers that the product is a joint loan. ...
Mirae Asset Securities’ “Mobile Subscription Service for Wrap-Type CMAs” was also designated as an innovative financial service. Customers can open a new wrap-type CMA or transfer an existing CMA through a mobile channel, with product explanations provided by video. Questions can be addressed through an AI chatbot or by connecting to a customer-service representative. A regulatory exemption allows the use of remote interactive methods other than video calls to fulfill the duty to explain the product. Additional conditions were imposed, including a requirement that assets under discretionary management be held only as deposits with specified financial institutions and that customers’ understanding be reconfirmed during the subscription process.
Twenty-one “Generative AI Services for Internal Employees and Customers” from 14 companies, including Kakao Pay, Toss Bank and Hyundai Motor Securities, were newly designated. The services connect external generative AI to internal information-processing systems for uses such as chatbots and work support. A regulatory exemption allows information-processing systems to connect with external cloud services (generative AI). Designated companies may use only AI models from cloud-service providers rated “Suitable” in security assessments, and are required to establish and implement their own security measures and comply with relevant procedures.
The designation period for IBK Investment & Securities’ “Fractional Trading Service for Overseas Stocks” was extended by two years. The service allows investors to buy and sell overseas stocks in fractional units through securities firms’ trading systems, including HTS and MTS. The extension was approved to allow existing investors to continue trading.
A request to improve regulations for SK Securities’ “Service Supporting Fractional Trading in Overseas Stocks” was also accepted. The Financial Services Commission plans to begin revising the Capital Markets Act and its Enforcement Decree so the service can continue without a regulatory exemption. The service may continue to be provided without the designation period expiring until the revisions are completed.
[email protected] Park Moon-soo Reporter