Consumers will get more money back when they refund expired mobile gift certificates. For gift certificates over 50,000 won, only 90% of the purchase amount had been refunded, but now they can receive up to 95%. If refunded in accrued funds such as points or mileage instead of cash, a full 100% refund is also possible.
On the 16th, the Fair Trade Commission said it will implement the revised "standard terms and conditions for new-type gift certificates." The revision was prepared based on discussions by the "public-private council on mobile gift certificates" launched last year and a revision request from the Korea Consumer Organizations Council.
Until now, the standard terms and conditions stipulated that when consumers refunded gift certificates after the expiration date, only 90% of the purchase amount would be returned. Consumer groups, in particular, have raised concerns about "an excessive fee burden."
To reduce consumer burdens while preventing market contraction, the Fair Trade Commission introduced a tiered refund standard. For gift certificates of 50,000 won or less, it kept the current refund ratio (90%) to encourage spending, and for amount-based gift certificates over 50,000 won, it raised the refund ratio to 95% or more.
In addition, regardless of the gift certificate amount, if refunded in accrued funds instead of cash, consumers can be compensated for 100% of the purchase amount. An official at the Fair Trade Commission explained, "Because the full amount can be used again without deductions, it is favorable to both consumers and small businesses."
The Fair Trade Commission will post the revised standard terms and conditions on its website and notify business groups and consumer groups, recommending that businesses make active use of them. An official at the Fair Trade Commission said, "With this revision increasing the amount consumers receive in refunds, refund-related disputes are also expected to decrease."