KB Kookmin Card "Pay for Used Car Transactions Between Individuals with Card"

Scheduled to Launch Service This August

[Asia Economy Reporter Ki Ha-young] KB Kookmin Card will launch the "Peer-to-Peer Used Car Card Payment Service," which provides credit card payment along with vehicle information inquiry and mechanic accompaniment vehicle inspection during peer-to-peer used car transactions, in August.

KB Kookmin Card announced on the 21st that the Peer-to-Peer Used Car Card Payment Service was designated as an innovative financial service by the Financial Services Commission on the 20th. The core of this service is to grant individual sellers the status equivalent to credit card merchants during peer-to-peer used car direct transactions, enabling credit card payments which were previously only possible with cash payments.

Additionally, the service enhances transaction stability by paying the vehicle transaction amount through a payment guarantee (escrow) method and offers various convenient services related to used car purchases such as ▲installment payment options ▲one-stop vehicle information inquiry ▲mechanic accompaniment vehicle inspection ▲linkage to automobile insurance subscription.

Accordingly, individual sellers wishing to sell used cars can register as credit card merchants once a year without additional costs or administrative procedures. Buyers can reduce risks such as transaction fraud and sale of vehicles after disembarkation. Furthermore, the current usage fee, which is 1% for small merchants, is split equally between buyers and sellers at 0.5% each, reducing the fee burden associated with card payments.

Customers wishing to use the service can follow the process: 'Agreement on peer-to-peer used car transaction details and payment method' → 'Vehicle seller membership registration and credit card merchant registration' → 'Vehicle buyer registration' → 'Selection of desired payment method and additional services' → 'Credit card payment' → 'Verification of vehicle transfer registration' → 'Payment to seller.'

A KB Kookmin Card official stated, "Once this service is implemented, it is expected to significantly enhance the stability and convenience of peer-to-peer used car direct transactions, which account for about 20% of the total used car market with approximately 700,000 vehicles annually."

Meanwhile, besides the peer-to-peer used car card payment service, KB Kookmin Card plans to launch in the second half of the year other innovative financial services designated last year, including ▲rapid payment service of merchant sales proceeds based on credit card points ▲online safe payment service based on credit card points ▲credit evaluation service for individual business owners based on credit card merchant information.