Ministry of Land, Infrastructure and Transport Expands Support for Jeonse Fraud Victims with KB Kookmin Bank and HUG

The government is partnering with KB Kookmin Bank to expand support for victims of jeonse fraud.

A citizen is receiving consultation from the Korea Legal Aid Corporation regarding the reporting of jeonse fraud damage at the Jeonse Damage Support Center located inside the Korea Chamber of Commerce and Industry on Hwagok-ro, Gangseo-gu, Seoul. Photo by Jinhyung Kang aymsdream@

On the 13th, the Ministry of Land, Infrastructure and Transport announced that it will sign a Memorandum of Understanding (MOU) with KB Kookmin Bank and the Housing and Urban Guarantee Corporation (HUG) to strengthen legal support and provide specialized financial counseling for victims of jeonse fraud.

Through this MOU, starting next year, support for legal actions such as lawsuits and auction representation for victims of jeonse fraud will be expanded.

Until now, procedures and costs were only supported for new legal actions after a victim was officially recognized, but going forward, costs incurred to secure enforcement rights (payment orders and deposit return lawsuits) before victim recognition will also be retroactively supported.

Support for legal expert fees required for auction representation will also be increased from the current 70% to 100%.

To provide more accurate financial counseling and support to victims, specialized financial counseling branches (KB Kookmin Bank) will be selected near victim support centers nationwide to offer professional financial services.

Initially, specialized branches will operate in six areas with concentrated damage (Seoul, Gyeonggi, Incheon, Busan, Daejeon, Daegu), with plans to expand nationwide in the future.

Won Hee-ryong, Minister of Land, Infrastructure and Transport, stated, “Since the patterns of damage vary, it is important to establish a cooperative system with multiple institutions. We will continue to carefully review and improve support measures with related agencies to ensure thorough assistance for victims.”