Financial Authorities and Local Governments Strengthen Crackdown on Illegal Private Loans "Joint Inspections if Necessary"

Financial authorities and related agencies have decided to actively crack down and investigate illegal activities such as unregistered lending on online loan brokerage sites. They also plan to conduct joint inspections if necessary.

On the 22nd, the Financial Services Commission and the Financial Supervisory Service held a meeting at the Financial Supervisory Service conference room in Yeouido, Seoul, with Seoul City, Gyeonggi Province, Incheon City, Seongnam City, and the Korea Federation of Loan Finance to discuss measures to eradicate illegal activities on online loan brokerage sites.

At this meeting, local governments stated that it is difficult to eradicate illegal activities solely through the self-regulation efforts of the online loan brokerage industry. Therefore, they will continuously inspect violations such as personal information leaks on these sites, and take strong measures including deploying investigators from affiliated civil judicial police units to conduct focused investigations and crackdowns on illegal private financing such as unregistered lending.

Furthermore, they agreed to more actively carry out debtor counseling and debt adjustment activities for victims of illegal private financing.

Financial Supervisory Service, Yeouido, Seoul. Photo by Jinhyung Kang aymsdream@

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