If you use a card more, you will get a refund of 20,000 won… Market Kurly-Baemin, E-Mart-Coupang not

If you make a lot of payments by card for two months from the next month, you can get up to 200,000 won back as cash back (cash refund) points per person. The Ministry of Strategy and Finance announced on the 27th that it would implement a win-win consumption subsidy (card cashback) for two months from the 1st of next month, with a total budget of 700 billion won to revitalize the local economy. Card Cash Back is a system that returns 10% of the excess as cash back if you spend more than 3% of the average monthly card usage in the second quarter of this year (April to June).

Because card cashback is an ‘incentive’ system designed to increase the consumption of small business owners and self-employed people who have contracted due to the novel coronavirus infection (COVID-19), hypermarkets, department stores, and large online malls are excluded from consumption performance. Cash payments such as overseas card use and account transfers and simple payments are also not included in the performance.

Instead, it recognizes the amount used by large corporations supermarkets (SSM), which have a high proportion of self-employed people, and online malls specializing in travel, performances, and culture. How to apply and use card cashback is summarized in a question-and-answer format.

―In the second quarter, you spent an average of 1 million won per month. How much do you need to increase your consumption from October to receive cashback? “We receive 10% of consumption in excess of 3% of usage in the second quarter as cash back. For example, if the card usage amount in October is 1.53 million won, 10% (50,000 won) of the remaining increase (500,000 won) will be refunded, excluding 30,000 won, which is 3% of the monthly average usage amount (1 million won) in the second quarter.” ―Are the payment amount after October and the usage standard for calculating the average monthly consumption in the second quarter are the same?

“The average monthly consumption in the second quarter and the consumption after October are both calculated by excluding the amount paid at large marts, department stores, duty-free shops, and luxury specialty stores. Consumption at large marts such as E-Mart, Homeplus, and Lotte Mart, as well as large electronic stores such as Samsung Digital Plaza, Apple stores, and Hi-Mart are excluded. However, consumption of large-scale supermarkets such as Homeplus Express, franchise companies such as Starbucks, and delivery application (app) consumption such as Baedal Minjok Yogiyo are included.”

―Consumption of large comprehensive online malls such as Coupang and Gmarket is excluded from earnings, but payments at online malls such as Market Kurly and Hanssem Mall are also excluded.

“no. Purchases of groceries and furniture at Market Kurly and Hanssem Mall are included in consumption performance. This is because the payment amount of small and medium-sized online malls is calculated based on consumption performance. Payments made at online malls specializing in travel, tourism, exhibitions, performances, and cultural sports are also included in the performance.”

―You are paying your child’s academy tuition by bank transfer or simple payment. Is it included in consumption performance?

“Cash payments such as account transfers and simple payments (bank account linkage) are not included in the performance. The amount paid by credit card abroad is also excluded.”

―You are using multiple credit cards, debit cards, etc. Which cards are used to calculate performance?

“The consumption performance is calculated by adding up all the payment amounts of the cards that have been used.”

―If you pay with a card and receive cash back, then if you cancel the payment, will the cash back be maintained?

“no. If the payment is canceled and the cash back payment requirements are not met, the cash back will be withdrawn. This is to prevent cases of intentionally making payments and then canceling them for cash back.”

―How do I check if I am eligible for cashback?

“Before applying, credit card companies check the application qualifications of their customers and inform the applicants whether they are eligible. Customers can also check directly through the card company’s website, mobile app, and call center. After that, you can designate a dedicated credit card company to receive cashback and apply through the website, app, call center, or offline branch.”

―Can I apply at any time from next month?

“In the first week, you apply for a five-part system depending on the last digit of your birth year. Those born on the 1st of the following month are those born in the 1st and 6th year, the 5th is the 2nd and 7th, the 6th is the 3rd and 8th, the 7th is the 4th and 9th, and the 8th is the 5th and 0th year. After that, you can apply at any time.”

―I was born in 1984, so I have to apply on the 7th, but the results of using the card from the 1st to the 6th are missing.

“no. Card usage records are automatically recognized from the daily usage amount regardless of the application period.”

―How can I check the card usage and cashback amount?

“You can check the average monthly card usage in the second quarter, the monthly card usage performance, and the amount of cash back on the cash back page on the card company app and website.”

―When can I get the cashback?

“Cashback is paid on the 15th of the following month after using the card, using a dedicated card that you have chosen. The amount used in October is automatically paid on November 15, and the amount used in November is automatically paid on December 15.”

―If you want to use cashback, do you have to tell me in advance when checking out?

“Once the cashback is charged, it will be deducted first when paying by card, even if the user does not talk about it at the time of checkout. If cash back for October usage comes in on November 15th, the cash back is first deducted when checking out at convenience stores or local marts on the 15th.”

―Can’t you use cashback at large marts or department stores?

“Cashback has no restrictions on where it can be used. However, since the validity period is until June 30 of next year, any cash back not used by then will automatically expire.”

Sejong = Reporter Song Choong-hyun balgun@donga.com