South Korea’s financial regulator said Friday that South Korea has approved the launch of Apple Pay, allowing local credit card companies to introduce the Apple Pay service.
The announcement comes after South Korea’s Financial Supervisory Service (FSS) confirmed to TechCrunch that it was reviewing Apple Pay launch terms submitted by local credit company Hyundai Card, the financial arm of Hyundai Motor. , almost two months later.
According to previous reports, Hyundai Card had a one-year exclusive partnership with South Korea’s Apple Pay. This means that only the Hyundai cardholder will be able to use the Apply Pay service via his iPhone and other Apple devices.
But this time, other local cardholders will also be able to use the Apple Pay service, based on a statement from the Financial Services Commission (FSC). TechCrunch was unable to reach out to Hyundai Card, which has yet to issue an official statement, for more information.
The FSC said credit card companies should not charge customers or merchants for fees incurred through Apple Pay. You should also be prepared to ensure that your users are protected from the risks posed by identity theft. Apple is said to require card issuers to pay a commission rate of 0.1% or 0.15% of the transaction amount.
Competing in the Local Mobile Payments Industry Liked by Local Players samsung pay has most widely usedis expected to intensify further in the country after the launch of Apple Pay.
Lack of NFC (Near Field Communication) support on Korean retail payment terminals could be a hurdle for Apple Pay. This is because it is reported that only about 10% of his 2.9 million local retailers in South Korea have NFC enabled credit card terminals. Most South Korean retailers use Magnetic Secure Transmission (MST), a mobile payment technology that allows smartphones to process wireless payments using traditional credit card swipe readers and terminals. Apple Pay’s core payment terminal is NFC, while Samsung Pay uses both NFC and MST domestically.
In an FSC statement, the financial authority said it hopes the Apple Pay service will facilitate NFC payment services in the country.
South Korea is now the 11th country in Asia Pacific to support Apple’s wallet and digital payment services.Cupertino based company Already operating a payment service Australia, China, Hong Kong, Macau, Taiwan, Japan, Singapore, Kazakhstan, Malaysia, New Zealand.
