Right to Terminate Illegal Contracts

The right to terminate an illegal contract refers to the financial consumer’s right, under Article 47 of the Financial Consumer Protection Act, to request termination of a contract within a certain period if the financial company violates the sales principles (excluding compliance requirements related to advertising).

• Conditions for exercising the right : The financial company has violated a sales principle such as suitability and appropriateness principle, duty to explain, prohibition of unfair business conduct, or prohibition of unfair solicitation.
• Exercise period of the right to terminate an illegal contract : Within one (1) year from the date the consumer becomes aware of the violation, and within five (5) years from the date of contract formation.

If a financial consumer submits documents proving a violation by a financial company, the financial company must notify the consumer of its decision to accept or reject the request within 10 days from the date the request for contract termination is received.

• ※ You can check the contact information through the Financial Consumer Information Portal.