Eunpyeong Sarang Gift Certificates Additional Issuance of 5 Billion Won

Amid Franchise Expansion, Payment Available at Real Estate Agencies and 24-Hour Convenience Stores... Total 20% Consumer Discount Including 15% Discounted Purchase and 5% Cashback, Plus Income Tax Deduction Benefits

[Asia Economy Reporter Jongil Park] Park, an office worker living in Sinsa-dong, Eunpyeong, purchased 1 million KRW worth of Eunpyeong Sarang Gift Certificates via the Zero Pay mobile application on March 27. He paid 850,000 KRW for the gift certificates. Receiving a 15% discount, Park will get a 5% cashback of 50,000 KRW if he uses the full 1 million KRW gift certificate at Zero Pay affiliated stores within the region. This amounts to a total discount of 200,000 KRW.

Park plans to move to Yeokchon-dong on a lease, and he intends to use the gift certificates to pay the real estate brokerage fee first. This is because some real estate agencies in Eunpyeong-gu also accept Eunpyeong Sarang Gift Certificates.

Eunpyeong-gu (Mayor Kim Mi-kyung) is implementing policies to promote the use of the mobile local currency, Eunpyeong Sarang Gift Certificates, to overcome the economic impact caused by the rapid increase in COVID-19 cases, expanding consumer benefits to as much as 20%.

Since March 23, the special discount benefit for Eunpyeong Sarang Gift Certificates has increased from the previous 10% to up to 20%. The purchase discount rate rose from 10% to 15%, and 5% of the payment amount can be received back as cashback. Small business owners operating Zero Pay affiliated stores are exempt from gift certificate payment fees regardless of their annual sales. This is a policy that allows both residents and small business owners to coexist and prosper together.

The reason Seoul City and Eunpyeong-gu increased the discount rate is to alleviate the hardships of small business owners and self-employed individuals caused by COVID-19 and to revitalize the local economy. Approximately 6,400 small businesses scattered throughout the alleys of Eunpyeong are Zero Pay affiliated stores where Eunpyeong Sarang Gift Certificates can be used. The range of businesses that accept payment includes restaurants, cafes, marts, convenience stores, academies, and real estate agencies.

On March 30, the owner of a cafe in Eungam-dong, Eunpyeong, said, “Many residents have been asking whether Zero Pay payments are accepted, so I registered as a Zero Pay affiliated store last week,” and added, “Yesterday, I received my first customer using the Eunpyeong Sarang Gift Certificate.” The representative of Antenna Real Estate in Sinsa-dong, Eunpyeong, said, “Since registering as a Zero Pay affiliated store, the benefits of the gift certificates have increased recently, so it is expected that real estate brokerage fees will also be paid using Zero Pay.”

In fact, the benefits that Eunpyeong Sarang Gift Certificates provide to consumers are significant. Until the end of July, the 20% discount benefit continues, and for amounts used from March to June, a 60% income deduction benefit is also available. Following the first issuance of Eunpyeong Sarang Gift Certificates worth 5 billion KRW, Eunpyeong-gu has confirmed an additional budget of 5 billion KRW and is preparing for the second issuance. For the second issuance, a 10% discount rate will be applied to consumers. As of April 1, sales of the issued Eunpyeong Sarang Gift Certificates totaled 2.864 billion KRW.

A lucky prize event is also underway. From March 23 to May 3, users who spend 10,000 KRW or more using Eunpyeong Sarang Gift Certificates are automatically entered into a draw, where about 50 winners will receive gift certificates worth a total of approximately 3.5 million KRW per round.

Additionally, due to the passage of the amendment to the Restriction of Special Taxation Act in the National Assembly plenary session, the income deduction rate for amounts spent on Eunpyeong Sarang Gift Certificates from March to June this year has doubled from the current rate to 60%, which is expected to provide significant support to households during year-end tax settlements. Eunpyeong Sarang Gift Certificates are a win-win pay system for residents and small business owners.

Eunpyeong Sarang Gift Certificate Usage Tips

* How to purchase

Download an application (app) that allows you to purchase gift certificates on your smartphone, select the desired region and amount, and transfer funds from a pre-registered bank account. (Examples include Beeple Zero Pay, Money Tree, Kukon Check Tree, Nonghyup Mall One Bank, etc.)

* How to pay

Open the app used to purchase the gift certificates, scan the QR code at the payment location, enter the amount, and the payment will be processed.

* Where it can be used

There are about 6,400 affiliated stores in Eunpyeong-gu. Payments are accepted at various small businesses including 24-hour convenience stores, restaurants, cafes, small marts, academies, hospitals, pharmacies, and hair salons. Gambling-related businesses are not eligible as they do not align with the purpose of Zero Pay. If there is a local commercial district, there will be affiliated stores, and the number of affiliated stores is increasing recently due to the higher consumer discount rate for Eunpyeong Sarang Gift Certificates.

* Discount rates and events

The special discount is 15%, valid from March 23, 2020, to July 31, 2020. The regular discount is 10%, continuing from August 1. The 5% cashback (up to 50,000 KRW) for payments made between March 24 and April 21 is available when participating in the event through Beeple Zero Pay, Check Pay, or Money Tree apps and consenting to the event before payment. The prize event runs from March 23 to May 3, 2020, with automatic entry for payments of 10,000 KRW or more, with weekly draws awarding prizes worth 3.5 million KRW per round.

* Validity period and purchase limits

The validity period for purchased Eunpyeong Sarang Gift Certificates is five years, so there is little burden. Until July 31, individuals can purchase up to 1 million KRW. From August, Eunpyeong-gu will continue with a 10% discount rate.

This content was produced with the assistance of AI translation services.