Understanding of
Credit Card
1. Outline of Credit Card Service
1) Outline of Credit Card
2) Distinction between Credit Card and Other Cards
3) Classification of Credit Card
2. Overseas Use of Our Credit Card
1) Transaction authorization
2) General Use
3) Cash Advance
4) Cash Advance at Counter of Our Overseas Br.
5) Deposit Withdrawal
3. Invalid Credit Card
4. Emergency Service
5. Appeal Process
6. Overseas Chargeback Process
Understanding of
Credit Card
1. Outline of Credit Card Service
(1) Outline of Credit Card
• Definition
Payment card with which one can purchase goods or services at credit card merchants and one can make
deferred payment of the amount after a certain grace period
Transaction Model of Credit Card
Issuance of Card/Request for payment
Transaction authorization/ Payment for sales
Request for
transaction
authorization
/ Submission
of Sales Slip
Presentation of Card/ Signing on sales slip
Application
for Issuance
of Card/
Payment of Charge
Provision of goods, services/ Issuance of sales slip
[ Basic Model for 3-way Transaction
(2) Distinction between Credit Card and Other Cards
Debit Card
Payment card whose funds are withdrawn directly from the cardholder's checking account
at the time of sale (excluding quasi-cash securities or vouchers). Transactions are
PIN-based and permitted within the balance of a connected checking account.
Check Card
Although it is the same as debit card, it can be used at credit card merchant by signature method.
It refers to the debit card developed and specialized in Korea that can provide some credit line.
Prepaid Card
Cash Card
It is the card that can provide goods or services within the amount stored by electronic or
magnetic method. In a broad sense, it is included in debit card.
Card with a function of simply processing deposits & withdrawals of cash
2
•
Credit Card
–
Deferred payment according to certain grace period
–
In case of a international brand card, it can be used instead of cash at merchants worldwide
–
Signature method, not PIN (except for cash advances at ATM)
–
Fund Accommodation Function
• Cash Advance Function
• Card Loan Function
• Deposit withdrawal is available at overseas ATM
–
Revolving Payment Function
•
Check Card
–
Direct payment from connected payment account upon the purchase of goods or services
–
No Fund Accommodation Function
• No Cash Advance, No Card Loan
–
Use at Credit Card Merchant (Signature Method)
• Although it was developed to be used mostly at domestic credit card merchant,
“The One Check Card” can be used at credit card merchants worldwide.
•
–
Certain credit line is available at the time of using public transportation
Deposit withdrawal is available at overseas ATM
•
Debit Card
–
Direct payment from connected payment account upon the purchase of goods or services
–
Can only be used in debit card merchant
–
Used by means of PIN input
–
Deposit (Cash) Withdrawal Function
–
No Fund Accommodation Function
• No Cash Advance & No Card Loan
–
Deposit withdrawal is available at overseas ATM
•
Prepaid Card
–
Pre-pay certain amount and purchase the card
–
Used within the balance
–
KEB has been providing “World Cash Card” (Master Card) that can be used worldwide.
•
Cash Card
–
Deposit withdrawal from & deposit into a deposit account linked
–
By means of PIN input
3
(3) Classification of Credit Card
Brand
VISA Card
Master Card
JCB Card
Member
No. of Concerned
Party
Class
Consumer Card
Commercial Card
Classic Card
Gold Card
Platinum Card
Signature Card
Infinite Card
2 Party Card
3 Party Card
Multi-Party Card
Region for Use
Domestic Use
Only
Domestic &
Overseas Use
[Card Brand Distinction by BIN
• Card No. & BIN
- BIN (Bank Identification Number) is assigned and managed to separate card brand from issuer under the regulations
of international card headquarters per brand
- BIN is composed of a total of 6 digits including Prefix No. (4 digits) for each brand and bank identification code (2
digits)
- Account No. System
Account No. System
CODE
(1):BIN No.
(2):Individual:4,5,6 Corporate:7
(3):Sequence No.
(4):Re-Issuance Sequence No.
(5):Verification No.
XXXX－XX X X－XXXX－XX X X
(1)
(2)
(3)
(4) (5)
Account Number is composed of 13, 16, 19 digits, etc
Credit Card
Section
Individual
Member
Account No.
Signature
4182 36
Platinum
4119 04 4207 01
Gold
4599 50 4640 92
Classic
4599 00
Purchasing Card
4336 89 4804 43
4207 01, 4640 92 are Business Card
VISA
Corporate
Member
Individual/
Corporate
Member
Remarks
Signature
4182 37
Platinum
4207 07
Gold
4336 92
Classic
4336 93
Corporate
Card
Gold
5404 97 5181 85
Standard
5436 17 5182 83
4804 43 is exclusive for Post Card
Use without distinction of individual &
corporate until 2007.10
5181 85, 8182 83 are exclusive for EZ card
MasterCard
Individual
법인회원
Member
특별카드
Gold
3568 -01
일반카드
Standard
55660059
3568
2007년 4/4분기 이후 법인회원 BIN 별도
발급 예정
JCB
Corporate
Member
Individual
Member
Domestic
Only
Corporate
Member
Gold
3568 03
Standard
3568 02
Gold
9410 50
Classic
9410 00
Gold
9410 05
9410 56
Perchasing Card
9410 57
4
It can only be issued as special card
Debit/ Check Card
Section
Individual
Member
VISA
Individual
Member
Domestic
Only
Account No.
Gold
4599 31
Classic
4599 30
4655 83
5898 18
Gold
9410 52
Classic
9410 51
Corporate
Member
Notes
4655 83 is I&World card
5898 18 is debit card in PIN method
9410 53
•VISA
-Debit Card : Pin type, deposit withdrawal at overseas ATM
-Check Card : Signature type, deposit withdrawal at overseas ATM ( The One Check Card can be used in overseas credit card merchant)
•MasterCard : Not issued
Prepaid Card
Section
Domestic Only
MasterCard
Account No.
Notes
Yes Gift Card
9430 62
World Cash Card
6007-9346-10
(Account No. is 19
digits, BIN is 10 digits)
Although it is Master Card Prepaid Card
base, it can be used in overseas Master
Card Maestro Merchant via the Maestro
debit card network.
[Classification of Cards - Brand
Section
Credit Card
Consumer Card
VISA Card
Classic Card
Gold Card
Platinum Card
Signature Card
Infinite Card
Interlink Card
VISA Electron Card
Commercial Card
Corporate Card
Business Card
Purchasing Card
Signature Card
Consumer Card
Standard Card
Gold Card
Platinum Card
Corporate Card
Corporate Card
Business Card
Corporate Purchasing Card
Corporate Fleet Card
Individual Card
Standard Card
Gold Card
Nexus Card
Grande Card
Ladies
Corporate Card
Corporate Card
(Classic, Gold)
Brand
MasterCard
JCB Card
Debit Card
5
Maestro Card
Cirrus Card
Prepaid Card
VISA Cash
VISA Travel Money
MasterCard Prepaid
Card
[Card Issued to Individuals]
Gold
Premium card
The most
typical
credit card
issued to
customers with
basic rating
Premium golf
The highest level
of premium card
(not issued by KEB)
providing diverse
A higher class card
card issued to
specialized card
additional services
issued to new
selected few
for VVIP cardholders
and
benefits
cardholder with
that provides very high
as part of
including the high
credit line,
great credit rating
differentiated
credit line,
convenience,
strategies for VIP
or preferred
customized concierge
customized benefits,
cardholders in line
cardholder of
service for travel &
reward and service
with the popularization
classic card
entertainment
, etc.
[Card Issued to Corporations or for Business Purposes]
Corporate card
issued to
corporate customers
Card issued
mainly to
self-employed
business owners
or its employees
Purchasing-only
card for corporate
customers.
Used for small
payment or
convenient purchase.
Provides MIS
services
, etc
6
It is Master Card
to manage
the oil supply
record of vehicle
and it has functions
of purchasing card
when used in
general merchants
(Not issued by KEB)
It is signature
card issued
to corporations or
for business
purposes
2. Overseas Use of KEB Cards
(1) Transaction Authorization Flow

Credit Card Transaction

ATM Transaction ( Int’I Credit Card, Check Card, Debit Card)
7
(2) General Use
•Applicable Cards
-All credit cards for domestic & overseas use
-“The One Check Card” among Check Cards
- “World Cash Card”
•Credit Line
-Credit Card : Both individual/corporate customers can use the card within the total credit line (domestic use +
overseas use)
-Check Card : Not exceeding the deposit balance
•Use
-Worldwide credit card merchant of each brand where trade mark on the right is attached
•Method
-Signature type
•Application of Exchange Rate
- Charge to Credit Card = (Charge (USD) + ( 1% of Charge)) * (Telegraphic Transfer Selling Rate + Exchange
commission for 45 days)
•Overseas Floor Limit Transaction
-In case of overseas use of credit cards, a credit card can be used by no-authorization method with confirmation
of CRB in a merchant related to the travel industry
-Floor Limit amount differs depending on region and country. Generally transactions involving USD500
•STIP (Stand in Process)
-In case KEB cannot authorize a transaction due to system error, authorization time-out, etc, the international card
headquarters performs the authorization on our behalf.
(3) Cash Advance
•Applicable Card
- Out of all consumer/corporate cards for domestic & overseas use, “card in the name of executive/employee” where
individual cardholder’s name is printed on the front side. Business Card for the owner (service unavailable for
employees)
•Credit Line
-Credit Card : Within the cash advance limit (part of a total credit line)
•Application
- Worldwide Global ATM (Automated Teller Machine) where trade mark on the right is attached
- KEB branches, banks handling international brand cards
- KEB website
•Method
-ATM : PIN input
- KEB branches, banks handling international brand cards: Drawing of Cash Disburse Draft
-Internet : Certificate Method
-Cash advance at an overseas branch of KEB (refer to the next page)
•Application of Exchange Rate
- Charge to Credit Card = (Charge (USD) + ( 1% of Charge)) * (Telegraphic Transfer Selling Rate + Exchange
commission for 45 days)
8
(4) Cash Advance at counter of our overseas branch
•Flow : ID verification (identification with photo such as passport, driver’s license, etc) Our transaction authorization
Telex or Call(82-2-524-8100)  cash disburse draft drawing  Input KIBS information USD Payment
•Cash Disbursement Transaction Receipt
– It is composed of 2 sheets, 1 for the card holder and 1 for the bank. In case of card imprinting and writing
statement, use 2 sheets together.
– Imprinting of actual card on cash disbursement receipt
– Write check digit (Check whether the first four digits of the card number imprinted on the card are consistent
with the 4 digit numbers printed on the bottom)
– Type and No. of identification such as passport, driver’s license shall be written on the cash disbursement
receipt (in case of JCB, you must write down passport no.)
– Write transaction authorization no. notified from our transaction authorization center.
– Write other information on cash disburse draft
– Signature of the principal (Check whether the signature is the same as that on the card. Account password is
unnecessary.)
•Storage of cash disbursement receipt
– cash disbursement receipt is kept for 5 years.
– When the home country requests a copy, send it via fax
(5) Deposit Withdrawal
•Applicable Card : All credit cards for domestic & overseas uses with cash card function out of cards which use KEB
deposit account for settlement
– Check Card, Debit Card,
•Credit Limit
– Credit Card, Check Card : Within the balance of deposit account
•Application
– Withdrawal in local currency from worldwide Global ATM where trade mark on the right is attached
※ Deposit withdrawal at KEB counter overseas is only available when registered for service “overseas manual
deposit & withdrawal service” before departure.
•Method
– ATM : PIN Input
•Application of Exchange Rate
– Amount = (Withdrawal (USD) + (For each country/ withdrawal amount 2~3.5$)) * (Telegraphic Transfer
Selling Rate + Exchange commission for 45 days)
9
3. Invalid Credit Card
•Concept
“Invalid Credit Card” refers to the card suspended of transaction due to loss & theft or due to overdue payment etc
※ Does not necessarily that the issuance of the card itself was invalid from the beginning.
•Cautions in Overseas Loss & Theft Report & Suspension of Transaction
− One who received the loss & theft report through phone or visit, etc at overseas counter of KEB shall process it by
making calls to the transaction authorization center of the bank (82-2-524-8282) or instruct the cardholder
himself/herself to directly report such loss to the bank.
−In case of reporting at counter, instruct the customer to directly state contents of the accident (who, when, where,
how, etc), send it via fax to the home country and contact via phone.
−After confirming whether request for emergency service is made, help the customer receive re-issued card so that
he or she can continue to use the card in a foreign country.
−In case a person other than a cardholder himself makes a report, instruct him to directly call the home country to
verify the identity of the person, relationship to the cardholder, etc.
−In case the cardholder requests compensation, instruct him or her to directly draw up the appeal & compensation
request, send it via fax and make a phone call in person.
−In case of receiving a request to cancel the loss & theft accident report, inform him of our website or instruct him to
directly make a phone call to the home country
−In case an overseas branch received the accident report or request for cancellation, obtain a copy of the
identification and copy of the front & back of actual card with signature after ID verification, send fax to the home
country and contact via phone.
•Invalid Card Statement/ Exceptional Transaction File
−“Invalid Card Statement” is a booklet containing the account no. of cards suspended of transaction due to loss & theft,
forgery & fabrication, overdue, overdue, bankruptcy, etc.
−Domestic transaction does not recognize the floor limit, thus invalid card statement is not drawn up based on the all
transaction authorization policy.
−In case of overseas transactions, stand in process or floor limit for each country is operated thus invalid card is
registered with selection to invalid card statement/exception file operated by each branch to prevent the false use
overseas
−Name per brand
Section
VISA
MasterCard
JCB
CRB
Register
Register
Effect
Invalid Card Statement (distribution as booklet)
Exception File (on-line computation file)
CRB (Card Recovery Bulletin)
Exception File
Warning Bulletin (Notice)
Account File
Stop List
Negative File
In case there is purchase attempt with overseas floor
limit after report of overseas loss & theft
In case there is overseas authorization
attempt after overseas loss & theft, it is
registered to prevent the stand in process
Recognition of charge back of issuer regarding the
transaction less than Floor Limit
No recognition of charge back of issue
regarding the transaction less than Floor
Limit
However, charge back is available in USA
when Exception File is registered
※ In the US, Paper CRB is not issued. Instead, the NCRF (National Card Recovery File and Electronic Bulletin File are
operated.
※ Exception file: Not only invalid cards but also preferred cards are registered.
10
4. Emergency Service
•Contents of Service
− The card business of each brand provides the following services when a cardholder requests help due to emergency
during overseas stay.
−Distinction of Service
* Emergency Card Replacement Service (ECRS): A customer who requests emergency re-issuance due to loss,
theft, damage to magnetic, etc. can receive a new one in a foreign country he or she is staying.
* Emergency Cash Advance Service (ECS) : A customer who requests emergence re-issuance due to loss, theft,
damage to magnetic, etc. and receives a new one can get emergence cash advance at counter of our overseas
branch.
•Service Providing Institution
−VISA Headquarter : GAC (Global Assistance Center)
−MasterCard Headquarter : VSC (Voice Service Center)
−JCB Headquarter : JCB Plaza
−Transaction Authority Center of Our Bank (82-2-524-8100)
•Service Applicable Card
−All Credit Card for Domestic & Overseas Use
−“The One Check Card” among Visa Check Cards
−“World Cash Card” among MasterCard Prepaid
Cards
Emergency Service Flow
Overseas Use of Our Card
Domestic Use of Overseas Card
① Request for emergency card• emergency cash advance
- Request via phone (direct request of cardholder to
our bank, request at counter of our oversea branch)
- Request from VISC (request of cardholder through
Visa center)
② Determination on provision of emergency card• cash advance
- Make a decision on emergency service provision in
light of information of the cardholder
③ Notification of the provision of emergency card• cash
advance
- Numbering of emergency account no. and
authorization no. and notification to VISC
④ Issuance• supply of emergency card• cash advance
- Emergency card production & provision to
cardholder through VISC
- Provide emergency cash advance to cardholder
through VISC
⑤ Confirmation of the provision of emergency service through
VISC
① Request for emergency card• cash advance
- Request from VISC (Request of VISC to perform
emergency card and emergency cash advance service)
② Production of emergency card
－ Production of emergency card manually at our
issuance & application division
- Or proxy by Visa Global Customer Assistance
③ Supply emergency card• cash advance
－ Provide the emergency card to cardholder
－ Request for cash advance to KEB branch
convenient for cardholder
④ Notification of the provision of emergency card• cash
advance
－ Notification of the provision of emergency service
to VISC
※ VISC (Visa International Service Center)
It is a type of customer support center by GCAS (Global
Customer Assistance Service) of VISA and it is located in
Baltimore, Maryland of US (stand in process in case our bank
cannot provide service)
※ When a cardholder who received emergency card re-issuance
service requests re-issuance after returning to the home country,
such re-issuance is processed after collecting the emergency card.
※ Either refer the request to the transaction authorization center
or instruct the customer to contact the issuer in the home country.
11
5. Appeal Process
•Concept of Appeal Process
It is to request the investigation or handling to KEB via mail, phone, internet or FAX, in case payment for goods
or services is made differently from the intention of the cardholder or payment is charged for goods or services
the cardholder did not purchase.
※Use of card by card loss & theft and card counterfeit, etc. is classified as card accident not general
appeal. Therefore, it is received and processed based on the “card accident appeal and compensation
request”
•Main causes of appeal
– Cancelled Recurring Transaction
– Incorrect Transaction Amount
– Duplicated Processing
– No Cardholder Authorization
– Merchandise Not Received/Service Not Provided
– Credit Not Processed
– Paid by Other Means
– Defective Merchandise / Not As Described
– Non-receipt of Cash at ATM
• Request for sales slip for verification process
■ Receipt of appeal in charge for overseas use (refer to i-Rose card document form)
-After receiving “KEB card charge appeal (form) from the cardholder,
- Send “KEB card charge appeal” and transaction verification (sales slip, refund slip, contract, etc) to card service support
team via FAX
■ Caution in receiving appeal in charge for overseas use
- Accurately fill in the form, “KEB card charge appeal.”
(Especially, contact no. of the cardholder, account no, contents of appeal, etc)
- Since dispute settlement process generally takes 2~4 months, fully inform the cardholder of the process to prevent
the unnecessary complaints in advance.
- The dispute settlement is processed only within the date prescribed by each international card headquarters (at
least within 30 days), thus it is necessary to check whether the processing date has lapsed when receiving the appeal
from the cardholder. It shall not pass chargeback time limit due to omission in the receipt, etc.
- When receiving the appeal from the cardholder, you shall send the refund slip, certificate for the goods returned,
transaction slip, etc. submitted by the cardholder together with the “Personnel in charge of KEB card appeal for
overseas use” to card service support team via FAX(82-2-524-8055) since it may be utilized as important data in
progressing chargeback in the future.
- When sending documents via fax, make a phone call to staff in charge as well to ensure the correct transfer.
•Reference
- Personnel in charge of ATM cash withdrawal appeal : Manager Seungjo Choi (82-2-524-9964)
- Personnel in charge of credit card appeal : Manager Gyusuk Jeong (82-2-524-8358), Senior Clerk Jaegyun jeong
(82-2-524-8936), Senior Clerk Hyeonhyun Kim (82-2-524-8359)
12
Personnel
담당
in Charge
[별
지 1]1]
[Annex
Personnel
책임자
With Authority
외
환 은 Against
행 카 드Charge
사용대
이Card
의신청서
Appeal
in금
KEB
부(
팀) 앞 (team)
To division
취급점포
:
Handling
Branch:
(Div.)
( 부) Branch
지점
((Cardholder)
회원)
Account
No.
카드번호
Name
성 명
주 소
Address
전 화
Phone
Transaction)
((Contents
이의신청of거래내역)
거래일자
Date of
Transaction
금
Amount 액
Local
currency
현지통화
미 USD
화
Name of Merchant
가맹점명
KRW화
원
Date 결제일
of Settlement
If the transaction
was made경우에는
in won in원화란에만
Korea, please
fill in the section, KRW only.
※국내에서
원화로 사용하신
기재함.
I hereby
file an
appeal
or request
a copy
of the transaction
slip as follows.
아래와
같이
이의신청
또는
거래증표
사본을 신청합니다.
□ I request a copy
the transaction
to confirm
the above
transaction
or to use it as
data for the appeal.
□상기거래의
확인of 또는
이의신청slip
자료로
사용하기
위하여
거래증표사본을
신청합니다.
□ I file an
appeal대하여
regarding
the above transaction
attached documents.
□상기
거래에
첨부서류를
갖춰 이의with
신청합니다.
이의신청
사유 :
Cause of Appeal:
Cause of
appeal shall
separately
be written
on the
back.
※이의신청
사유서는
뒷면에
별도 기재하여
주시기
바랍니다.
※유의사항
•Caution
1.1. 이의신청
거래증표사본의
신청은 slip
해당
거래대금의
지정결제일
이전까지date
하셔야
하며 동 기
Request for또는
appeal
or a copy of transaction
shall
be completed
before the assigned
of settlement
for the charge and KEB shall bear no liability whatsoever if charge cannot be returned due to lapse
간이 경과한 이후에 신청함으로써 VI SA I nt ' l Re gul a t i on 및 Ma s t e r Ca r d I nt ' l Re gul a t i on 또는
of charge-back time limit prescribed in VISA Int’l Regulation or MasterCard Int’l Regulation or agreement
between
card 협정에서
companies 정하는
by sending
a request
after the
date of settlement.
카드사간의
부도반환
기간이
경과하여
대전회수를 못할 경우에는 당사는 일체
2. When cause of appeal turns out to be attributable to the cardholder, he or she shall pay late payment fees incurred
의 책임을
지지 I 않습니다.
during
the period.
hereby request as above and certify that there is no objection to Items 1 and 2.
2. 이의신청 사유가 회원의 귀책으로 판명될 경우 해당기간 동안의 소정의 연체료를 부담하셔야 합
year month day
니다. 위와 같이 신청하며 상기 1항, 2항에 대하여 이의가
없음을
확인합니다.
Name
of Applicant
(Cardholder):
년
월
Signature
Card:
신청인( on
회원)
성명 :
카드상의 서명 :
첨부서류
Attached
Documents
1. 카드사용대금명세서 사본
1.
A copy of card charge statement
2.2. 관련증빙서류(
회원용 documents
거래증표 사본
등)of the transaction slip for cardholder, etc)
Relevant verification
(a copy
In case of overseas
use, 영문확인서(
English version
of the confirmation of cardholder (form)
3.3. 국외사용분인
경우 회원
소정양식)
4.
DP-A-FM-055 (revised 200.06, 210X297)
DP- A- FM- 055( 2000, 6 월 제정, 210x297)
(seal)
일
1/ 2
13
( 인)
※신청서
접수시
카드발급점이
아닌
경우에는
발급점
송부하여
주시기 바랍니다.
In case
noncard issuer
receives
the관련서류를
request, 즉시
please
send앞으로
relevant
documents
to the issuer immediately.
이의신청
사유서 ※육하원칙에
따라
기술하여 according
주시기 바랍니다.
Cause
of Appeal
Please make
statements
to the six principles for report writing.
DP- A- FM- 055( 2000,
6 월 제정,
210x297)
DP-A-FM-055
(revised
2000.06,
210X297)
2/ 2
14
6. Overseas Chargeback Process
Overseas Chargeback Process Flow
Cardholder
Issuer
International
card headquarters
Purchasing bank
(purchaser)
Merchant
■ Procedures for dispute resolution regarding the overseas use of KEB cards & domestic use of overseas cards
- Chargeback refers to the return of the transaction amount to the purchasing bank (purchaser) with the purchased
transaction from purchasing bank (purchaser) denied of payment from the cardholder or issuing bank (issuer)
- Representment is the procedure where the purchasing bank (purchaser) verifies the improperness of returned
chargeback denied of payment from the issuing bank (issuer) or cardholder and legitimacy of a claim.
- Procedures for dispute resolution regarding the overseas use of KEB cards & domestic use of overseas cards come
down to the processing of chargeback and representment as above.
- The procedures for dispute resolution are processed as prescribed in the regulations of each international card
headquarters (VISA, MASTER, JCB).
■ Reference : Regulations of each brand
- VISA : Dispute Resolution Rules
- MASTER : MasterCard International Chargeback Guide
- JCB : JCB International Operating Manual
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