The Korea Association of Lend Finance announced on the 24th that it will launch a two-month intensive inspection of illegal private loan advertisements on the internet in accordance with the revised "Act on Registration of Lend Business and Protection of Financial Users," which took effect on the 22nd.
This inspection will focus on advertisements circulating in portals (Naver, Daum), social media (YouTube, Instagram, Facebook), and online communities that either lack lend business registration numbers or use the names of registered entities to induce illegal lending.
Types that mislead consumers into thinking they are institutional financial products using terms like "government support" and "low-income loans," or emphasize accessibility with phrases like "possible loans for those in debt" and "Kakao 1:1 consultation" are among the key targets for inspection. Advertisements inserted in blogs and posts, instances of misleading consumers by disguising as articles, and indirect advertising methods through closed communities will also be inspected.
The association plans to notify the Financial Supervisory Service of cases suspected of being illegal private lenders among the collected advertisements, and the Financial Supervisory Service will work with the Korea Communications Standards Commission to take measures such as blocking advertisements and suspending phone numbers. The association aims to prevent consumer harm and to block the spread of illegal advertisements.
Jeong Seong-woong, president of the Korea Association of Lend Finance, noted, "With the indiscriminate internet advertisements of illegal private lenders blurring the lines between registered lend businesses and illegal private loans, vulnerable financial groups are being exposed to harm." He added, "The association will strive to eradicate illegal private loan advertisements and create an institutional lend business environment where vulnerable financial groups can use services with peace of mind through this inspection."