Kim Byunghwan: "Repeated Incomplete Sales Despite 3 Years of the Financial Consumer Protection Act... Effective Measures Needed"

Meeting between Financial Services Commission Chairman and University Consumer Studies Professors on the 28th

Chairman Kim Byunghwan stated, "Despite three and a half years since the enforcement of the Financial Consumer Protection Act, incomplete sales continue to be repeated," adding, "It is time to reassess the effectiveness of sales regulations and implement practical consumer protection measures that work on the ground."

On the 28th, the Financial Services Commission (FSC) announced that Chairman Kim Byunghwan held a meeting with university consumer studies professors to explore policy measures for financial consumer protection and discussed effective consumer protection strategies. Seven professors attended the meeting, including Nam Youngwoon (Seoul National University), Joo Sohyun (Ewha Womans University), Park Taeyoung (Sungkyunkwan University), Kim Minjung (Chungnam National University), Lee Youngae (Incheon National University), Jung Yongjoo (Inha University), and Choi Cheol (Sookmyung Women’s University).

This meeting followed Chairman Kim’s previous relay meetings with the financial sector, where he discussed the development direction of the financial industry from the perspective of financial providers. In his opening remarks, Chairman Kim emphasized, "The core of financial industry development is building a trust relationship with financial consumers."

The consumer studies professors attending the meeting pointed out that in the increasingly complex financial environment, consumers are finding it more difficult to make rational decisions. They proposed the introduction of new policies that can improve sales practices rather than simply adding more regulations. In particular, they suggested that the government present principles for financial consumer protection and that financial companies autonomously design their sales processes.

Furthermore, the attendees emphasized that when financial companies provide sufficient information and explain risks, the principle of self-responsibility should also apply to consumers. They also expressed opinions that alongside expanding financial education, restrictions should be placed on the reduction of bank branches and ATMs for vulnerable groups such as the elderly, and continuous monitoring is necessary.

Chairman Kim concluded the meeting by stating, "We will reflect the discussed contents in future financial consumer protection policies," and urged, "Please feel free to propose any policy suggestions for financial consumer protection at any time."