Forecast, 'Mistaken Remittance Return Support' Implemented for 5 Months... Found Owner of 1.2 Billion Won Sent by Mistake

Mistaken Remittance Refund Support Return Performance. Photo by Korea Deposit Insurance Corporation

[Asia Economy Reporter Song Seung-seop] The Korea Deposit Insurance Corporation announced on the 15th that 1.2 billion KRW mistakenly sent through erroneous remittance has been returned to its original owners through the "Erroneous Remittance Return Support System."

The Erroneous Remittance Return Support System is a program that helps recipients recover money sent by mistake. It has been in effect since July 6.

As of the end of last month, the number of support applications was 4,284 cases (6.3 billion KRW), with 1,715 cases (2.5 billion KRW) eligible for support. Among these, 925 cases (1.2 billion KRW) were returned to the remitters, and the return process is ongoing for the remaining 790 cases. Additionally, 624 cases are under review to determine eligibility, while 1,945 cases were deemed ineligible. The monthly average number of applications over the past three months reached 928 cases (1.29 billion KRW).

Proportion of Erroneous Remittance Refund Support Recipients. Photo by Korea Deposit Insurance Corporation

The proportion of cases selected after eligibility review reached 46.9% of the total by the end of last month, a significant increase from 17.2% at the program’s inception. The most common reason for rejection was accounts used for criminal activities such as voice phishing, accounting for 24.4%. This was followed by withdrawal of the remitter’s application (21.0%), accounts under legal restrictions such as seizure (12.1%), and financial institutions’ failure to carry out their own return procedures (12.0%).

Among the returns, 912 cases were voluntary returns, and 13 cases were through payment orders. The average time from application to return was 40 days. Voluntary returns took an average of 39 days, influenced by the time required to reactivate dormant accounts. Erroneous remittance amounts ranged mostly between 100,000 KRW and less than 500,000 KRW, accounting for 1,567 cases or 36.6% of the total, with over 80% of cases involving amounts under 3 million KRW.

A representative from the Korea Deposit Insurance Corporation stated, “Since the system’s implementation, usage has steadily increased, indicating that the Erroneous Remittance Return Support System is operating stably,” emphasizing, “Compared to recovering funds through litigation, this system allows for a faster and more convenient return of mistaken remittance amounts.”

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