SEOUL– A new chief of credit unions in South Korea vowed to enhance the service fee system, a long-stalled issue of contention in the credit financing market.
Last month, Jung Wan-gyu took over the helm of the Credit Finance Association of Korea (CREFIA), a non-profit organization that represents the credit financing industry.
The credit financers’ service margins have plunged to near zero, Jung said, amid the rise of new, tech-savvy payment services spreading in the market.
CREFIA will stay in close cooperation with the government about the service fee system, Jung said.
The CREFIA chairman emphasized that the organization will support its members to invest in the new, state-of-the-art technology to back up their services.
“We will support our members to diversify their sources of profit, such as via businesses that utilize financial big data, pioneer services related to money transfer and payment, and make active inroads to the global markets,” he said.
Jung also vowed to help the credit financing firms compete in a fair, transparent manner.
CREFIA was launched in 1998 for a better environment for and cooperation among credit financers in credit card issuing, leasing, installment financing and venture capitals.
Source: Yonhap News Agency