South Korea Pushes Credit Card Firms To Protect Data As Customs Eases Rules

South Korea’s top financial regulator told credit card companies to strengthen customer data protection after a massive breach hit millions. The FSC warned firms that negligence will bring strict punishment. At the same time, customs officials announced easier paperwork rules for imports to reduce strain on local businesses.

Regulator Warns Card Firms After Major Data Leak

The story began with a serious breach at Lotte Card. The company confirmed that personal data of nearly 3 million customers had leaked in a hacking case. This shook the industry and created a sense that something deeper was wrong in how firms handled sensitive details. The FSC chairman Lee Eog-weon met card company heads and spoke with a very firm tone. He said the breach showed that some firms became too comfortable and too focused on cutting costs instead of guarding consumers.

Lee said consumer protection was not just a formality. He added that any company showing carelessness will face strong action. The FSC already warned Lotte Card that if any major rule violations appear, the agency may give the highest penalty ever given to a Korean card issuer. The warning feels heavy, and it sets the mood for what kind of pressure the industry is entering now.

Consumer Protection Seen As Weak Point

Lee pointed out that card companies had grown lax. This lax approach slowly built risk, and the hacking case exposed it. He said firms must see this incident as a wake-up moment. He also urged them to cut commission rates for small merchants and low-rated consumers, groups that often struggle with high charges. His message hinted that protecting vulnerable groups matters as much as protecting data.

You can sense that regulators want a shift in attitude, not just a temporary fix. They want card firms to actually take responsibility instead of just sending apologies after something goes wrong.

Customs Moves To Reduce Burden On Importers

While the finance side tightens rules, another department is loosening them. The Korea Customs Service announced new steps to remove unnecessary paperwork and speed up customs clearance. The goal is simple. Businesses should not lose time and money on forms that do not add real value.

A revised law is already in progress. Under the older rules, if several returned items were declared together and their combined value went over 150 dollars, companies needed extra documentation. The new revision changes that completely. Now only individual categories crossing 150 dollars need documents. That means businesses who often re-import batches of items will have less hassle.

Another key update covers goods repaired in countries that have an FTA with South Korea. Before this, companies bringing back repaired goods had to submit proof papers. Under the new rule, they no longer need to file those documents. Customs officials say this will cut logistics costs and remove needless steps for companies that work across borders.

A Split Landscape Of Tougher And Softer Rules

The two updates together show an interesting shift. One side of the government is tightening rules on security and consumer rights. The other side is reducing burdens that slow down trade. Both moves point toward creating a safer and smoother business environment at the same time. For credit card firms, the message is strict. For importers, the message feels supportive.

South Korea wants firms to protect people better but also wants businesses to move faster without old paperwork holding them back. It is a mix of pressure and relief, and both are shaping the next steps for companies operating in the country.