Money Lending Business Registration

Procedure

Procedure

1. 01

   Determine the registration authority: If all business offices are in one city/province, register with that city/provincial governor. Corporations with offices in two or more cities/provinces, those purchasing and collecting loan receivables or brokering loans through a loan brokerage system, and those with assets over 10,000,000,000 won and outstanding loan receivables of 5,000,000,000 won or more at the end of the previous business year register with the Financial Services Commission.

2. 02

   Prepare equity capital: Secure equity capital (net assets for individuals) of at least the amount required for the business type and applicant category, and prepare supporting documents. The calculation method follows the Financial Services Commission's public notice, and because it is a registration requirement, the amount must be maintained throughout the registration period.

3. 03

   Secure a fixed place of business: Secure a right of use for 6 months or more, by ownership, lease or loan for use, in a building listed in the building register other than a detached house, multi-unit housing or lodging facility. A certified copy of the register or a copy of the lease serves as proof of the business office location.

4. 04

   Complete training and check disqualifications: The representative and the general business manager (for a corporate branch, the general business manager) complete the training within 6 months before the application date. If there is an unavoidable reason such as a natural disaster, illness, accident or an overseas business trip, the training may be completed within 1 month after registration; the grounds for disqualification of the representative and officers are checked at the same time.

5. 05

   Apply for registration and supplement: Submit the money lending business registration application with proof of the business office location, a copy of the training completion certificate, proof of equity capital, and proof of a security deposit or insurance or mutual aid coverage. If the entries differ from the facts, a supplement may be requested within a period of up to 30 days, and a registration certificate is issued once the registration requirements are met.

6. 06

   Renewal, change registration and closure report: To continue operating after the 3-year validity period, apply for renewal from 3 months to 1 month before the expiry date, and register any change in entries such as trade name, shareholders, officers, business office, advertising telephone number or equity capital within 15 days. Training must also be completed in advance when changing the representative or general business manager, and closure of the business must be reported.

Filing route

Filing route

Deadlines & processing notes

Deadlines & processing notes

Basic documents

Basic documents

If the renewal application period (3 months to 1 month before the expiry date) is missed, the registration lapses on expiry and a new registration must be made from the beginning, so plan the renewal backward from the training schedule.