[Q&A] 200,000 KRW Cashback Per Person... "Coupang NO Market Kurly YES"

Coupang and Luxury Store Purchases Excluded from Performance
Expenses for 'Baedal Minjok, Market Kurly, Yanolja' Included

The content is not directly related to the article. Source=Getty Images Bank.

[Asia Economy Reporter Jang Sehee] The Win-Win Consumption Support Fund, a card cashback policy that refunds up to 100,000 KRW per person per month, will be implemented starting next month on the 1st. Consumption at large supermarkets, department stores, duty-free shops, large comprehensive online malls (Coupang), home shopping, new car purchases, and luxury specialty stores will not be included in the performance calculation, whereas consumption related to food and lodging specialized online malls will be included. Accordingly, spending at Yes24, Ticketlink, Hanssem Mall, Baedal Minjok, Market Kurly, and Yanolja will be counted towards the performance.

▲What is the cashback program?

=If you use your credit or debit card 3% more than the average monthly usage in the second quarter, you will be refunded 10% of the amount exceeding the 3% increase, up to 100,000 KRW per person per month, as cash-equivalent recharge funds. For example, if the average monthly credit or debit card usage in the second quarter is 1,000,000 KRW and the card usage in October is 1,530,000 KRW, the increase is 530,000 KRW. After deducting 30,000 KRW (3% of the second quarter average usage of 1,000,000 KRW), 10% of the remaining 500,000 KRW, which is 50,000 KRW, will be paid.

▲When will it be implemented?

=It will be implemented for two months from October 1 to November 30. It may end early if the budget is exhausted.

▲Where must spending occur in October and November to be recognized as performance?

=Spending at large supermarkets, department stores, complex shopping malls, duty-free shops, large electronics specialty stores, large comprehensive online malls, home shopping, entertainment businesses, gambling businesses, new car purchases, luxury specialty stores, outdoor golf courses, and non-consumption expenditures such as annual fees are excluded. However, spending at medium to large supermarkets, movie theaters, delivery apps, specialized online malls, performances, large hospitals, bookstores, academies, and franchise directly managed stores is recognized.

▲When and how can cashback be received and used?

=It will be automatically credited to the designated card company’s card on the 15th of the following month. It can be used immediately upon payment and will be deducted first when making card payments.

▲Where should one apply?

=To receive all services related to cashback calculation and payment in a one-stop manner, you must designate one of the nine card companies as your dedicated card company. These are Lotte, BC, Samsung, Shinhan, Woori, Hana, Hyundai, KB Kookmin, and NH Nonghyup. Cardholders of Citibank or Kakao Bank need to newly issue a card from one of the nine card companies.

▲When and how to apply?

=Applications will be accepted starting from the 1st of next month. For the first week, a five-day rotation system will be operated based on the last digit of the birth year. Those born in years ending with 1 or 6 can apply on Friday, 2 or 7 on Tuesday, 3 or 8 on Wednesday, 4 or 9 on Thursday, and 5 or 0 on Friday. After the five-day rotation ends, applications can be made throughout the entire program period. Applications can be made online via the websites or mobile apps of the nine card companies, through call centers, or offline branches.

[Image source=Yonhap News]

▲Are there any restrictions on using the cashback?

=There are no restrictions on where the cashback can be used, and it can be used practically like cash. However, cashback not used by June 30, 2022, will expire. If the card usage amount that forms the basis of the cashback is canceled, it will be deducted from the next cashback or must be returned upon card company billing.

▲Examples of internet transactions eligible for performance accumulation.

=These include Norangpungseon, Yes24, Ticketlink, Baedal Minjok, Market Kurly, and Yanolja. Additionally, local government-operated malls such as Namdo Jangteo (Jeonnam), Gohyang Jangteo Saeso (Gyeongbuk), and small online businesses are included.

▲Are overseas direct purchases and overseas usage recognized?

=Only domestic card usage is recognized in line with the program’s purpose.

▲Are leased stores in large supermarkets or department stores eligible?

=Performance from leased stores operating under their own name within large supermarkets or department stores is included. However, the sales slip must be recognized as from the individual store, not the large supermarket or department store.

▲How is the second quarter performance calculated?

=The same method as for October and November card usage performance calculation is applied. The quarterly card usage amount minus overseas usage and excluded industry usage is divided by three to calculate the monthly average.

▲What are the eligibility requirements for program application?

=Anyone aged 19 or older (born on or before December 31, 2002) who has card usage performance in the second quarter of this year can apply.

▲Can foreigners apply?

=Foreigners with a foreign registration number and credit or debit card usage performance in the second quarter under their own name can apply.

▲What is the status of consultation with health authorities?

=With the recent significant increase in confirmed cases, consultations were held again over the weekend. The health authorities requested that, considering the quarantine situation, not only face-to-face consumption but also non-face-to-face consumption be allowed. Accordingly, it was decided to expand non-face-to-face consumption such as delivery apps.

▲What is the standard for luxury goods?

=The standard is based on brands located in the luxury sections of the four major department stores. Brands located in Lotte, Shinsegae, Hyundai, and Galleria are all considered luxury specialty stores and are excluded. There is no designation by brand or amount. It is expected that more than 100 brands will be included.