Cha & Kwon Law Offices conducted a legal review for a client who is planning to start a business that processes payment data to determine whether it qualifies as an electronic financial institution under the Electronic Financial Transactions Act and the related obligations.

Electronic payment processors are required to register under the E-Payment Transactions Act and meet capital requirements, etc. Therefore, a thorough legal review is required before starting a payment gateway business.

We focused on whether the client’s planned payment data processing business falls under the Electronic Financial Transactions Act and, in particular, whether it can be classified as an electronic payment processor. We also identified and presented the legal obligations to be complied with when conducting such business.

Based on our expertise in fintech and e-finance, Cha & Kwon Law Offices analyzed the client’s business model and reviewed the relevant laws and regulations to provide comprehensive legal advice on whether the business constitutes an e-finance business and the specific obligations our client’s business needs to fulfill.