How Your Credit Information is Used

This is designed to help you understand how your credit information is used by us in accordance with Article 31 of the Use and Protection of Credit Information Act and Article 27 of the Enforcement Decree of the Act.

Purpose of Use and Type of Credit Information

Purpose of Use

  • To establish financial relationship (including but not limited to financial services requested by you) or decide whether to maintain such relationship
  • Debt collection
  • Marketing
  • Other cases permitted by the Act or other applicable laws

Type of Credit Information

  • Personally Identifiable Information (PII): any information that could potentially identify a specific individual

    • Name, Contact Number, Residence Registration Number (for foreigners, foreigner registration number, for compatriots with foreign nationality, domestic residence registration number, passport number, sex, nationality, etc.), Name of Corporation (including individual company and corporation), Business Registration Number, Corporation Registration Number, Name of Representative, etc.

  • Credit Transaction Information: any information that could potentially show credit transactions of a specific individual

    • Type, period, amount, limit, etc, of commercial transactions including loan, guarantee, provision of collateral, current account transactions, credit card and installment financing

  • Information used to determine credit rating

    • Information on default, bankruptcy, payment by subrogation Note 1) substitute payment Note 2) arising out of commercial transactions activities disrupting credit order by fraud, deception and other dishonest means (amount, date when it took place or was resolved)

  • Credit Worthiness Information: Information based on which you can determine an individual’s credit limit

    • <Individual Customer>
    Occupation, property, debt, income, tax payment records, etc.
    <Corporate Customer>

    Information on a corporate including history, purpose, business performance, shareholding, CEO and executive information, important deals such as sales record, order lists or business contracts, financial information including financial statements, auditor’s opinion, tax payment records, etc.

  • Record with Public Organization

    • Information on failure in tax (national tax, local tax, customs) and insurance premium (employment/industrial disaster insurance) payment, defaulter record, customers under debt workout program or credit recovery program, and customers exempted from liabilities due to bankruptcy, etc.

Note1) One party to make a payment hat is actually owed by another party

Note 2) Payment is made by a bank (or a government) providing payment guarantee in case where a debtor fails to make payment by due date

Purpose of Credit Information Provision, Party to Whom We Provide Credit Information, Type of Credit Information Provided

Purpose of provision and persons/institutions to whom information is provided

  • Collection of credit information to be provided to financial institutions: Credit Information Collection Agency (Korea Federation of Banks, Credit Finance Association, etc.), Credit Reference Agency (Seoul Credit Information Service, Korea Credit Bureau, Nice Information Service, etc.)
  • Public organizations requiring the information in accordance with the relevant laws and regulations: for the purpose set forth in the laws and regulations
  • Counterparty to product/service purchase agreement

    No. Purpose of Provision Provided to
    1 Title Insurance for Real Estate Mortgage Mortgage Credit Insurance First American Title Insurance Company, Seoul Guarantee Insurance
    2 Registration of real estate provided as collateral and check on the household which moved in the real estate, Debt collection (lawsuit, attachment, auction, etc.) Judicial Scrivener Chan-Guk Kim, Woo Young Judicial Scrivener Office, Judicial Scrivener Woong-Jun Lee, Judicial Scrivener Ho-Seoung Lee, Judicial Scrivener Ryun Jung
    3 Appraisal of real estate provided as collateral Serve Appraisal Co Ltd
    4 Asset Management Report Korea Securities Depository
    5 SMS Standard Networks
    6 Receipt of Audit Confirmation and provision of requested information Korea Financial Telecommunications and Clearings

  • Foreign Regulatory Authorities, Head Office/ Affiliates

    No. Purpose of Provision Provided to
    1 Report, Approval, Audit, Examination, etc. Hong Kong Monetary Authority, The Hongkong and Shanghai Banking Corporation Limited, and its affiliates
    2 IT system operation, server management, supporting service, etc. The Hongkong and Shanghai Banking Corporation Limited, and its affiliates

  • Service providers to whom the Bank outsourced part of its businesses

    No. Purpose of Provision Provided to
    1 Use of HSBC Connect HSBC Technology Service Asia Pacific
    2 SCDM (Security and Compliance Data Matching) The Hongkong and Shanghai Banking Corporation Limited(
    3 OTC Derivatives CSA Collateral Margin Calculation The Hongkong and Shanghai Banking Corporation Limited
    4 Global Liquidity Management Service HSBC Electronic Data Processing India Private Limited
    5 CAMP (Customer Activity Monitoring Program) HSBC Electronic Data Processing (Guandong) Ltd
    6 HSBCnet Maintenance HSBC Electronic Data Processing (Malaysia) Limited
    7 Outsourcing of Nostro Account Reconciliation HSBC Global Services (UK) Limited
    8 Credit Risk Exposure Calculation HSBC Electronic Data Processing India Private Limited
    9 Back office affairs and Basic accounting service for Exotic OTC Derivatives The Hongkong and Shanghai Banking Corporation Limited
    10 Global Client Reporting HSBC Electronic Data Processing (Malaysia) Limited
    11 Electronic Financial Service HSBC Electronic Data Processing India Private Limited
    12 Collateral management under Regional CSA The Hongkong and Shanghai Banking Corporation Limited
    13 CVA Calculation The Hongkong and Shanghai Banking Corporation Limited
    14 Rate fixing HSBC Global Services (UK) Limited
    15 RID Off-shoring Project HSBC Global Support Centre (Hyderabad Credit & Risk Centre of Excellence)
    16 ORTT (Overseas Remittance Telegraphic Transfer) HSBC Global Services (UK) Limited
    17 IRTT CHARGE CLAIM HSBC Global Services (UK) Limited
    18 Part of Sub-Custody and Clearing HSBC Electronic Data Processing (Philippines) Limited
    19 Support for HSBC Group’s FSU/ IFS/ IDQ system service for FATCA and Global Standard related purposes The Hongkong and Shanghai Banking Corporation Limited
    20 TREATS system upgrade The Hongkong and Shanghai Banking Corporation Limited
    21 Introduction of COAS HSBC Global Services (UK) Limited
    22 Trust service for foreign currency assets HSBC Institutional Trust Services (Asia) Limited
    23 CCR RWA related affairs reported to PRA and HKMA HSBC Electronic Data Processing India Private Limited
    24 Sanctions Screening to MT500 (inter-bank message on stock trading) HSBC Global Operations Company Limited
    25 KYC/CDD related information processing (Global Standard) HSBC Bank PLC
    26 CTCR(Customer Tax Compliance Reporting) system to automatically generate FATCA and CRS report The Hongkong and Shanghai Banking Corporation Limited and HSBC Software Development India
    27 Sanctions Screening to MT 100 (Customer Payments & Cheques) and MT200 (Financial Institution Transfers) HSBC Electronic Data Processing India Private Limited
    28 Import / Export related affairs (including loan) HSBC Electronic Data Processing India Private Limited
    29 Granting access to WhatIF in relation to CVA calculation The Hongkong and Shanghai Banking Corporation Limited
    30 Six GUI Monitoring HSBC Global Services Limited
    31 OTC derivatives related back office affairs HSBC Electronic Data Processing (Malaysia) Limited HSBC Electronic Data Processing India Private Limited HSBC Electronic Data Processing (Philippines) Limited
    32 HSBCnet maintenance HSBC Electronic Data Processing India Private Ltd
    HSBC Electronic Data Processing (Guangdong) Limited
    33 Debt collection KTB Credit Information
    34 Investigation for Unusual Activity Report HSBC Electronic Data Processing (Guangdong) Limited
    35 Sanctions Screening to MT 100(Customer Payments & Cheques) and MT 200 (Financial Institution Transfers) HSBC Electronic Data Processing(Guangdong) Limited
    36 Market price check on import/export related products HSBC Singapore Branch
    37 Credit Limit Monitoring and Maintenance HSBC Electronic Data Processing (Philippines) Limited
    38 Trade validation - Vanilla products HSBC Hong Kong GM Ops
    39 Traded Credit Risk Control Korea -HSBC Electronic Data Processing India Private Limited (Bangalore)
    -HSBC Electronic Data Processing (Philippines) Limited (Manila)
    40 CRS report material extracting system agreement The Hongkong and Shanghai Banking Corporation Limited
    41 Level 3 Anti Money Laundering Red Flag reviews for Trade Transaction The Hongkong and Shanghai Banking Corporation Limited
    42 Determining customer screening alerts and verifying the validity on the results
    Determining transaction screening (remittance, securities, trade) alerts and verifying the validity on the results     		The Hongkong and Shanghai Banking Corporation Limited
    43 Performance Level Agreement on outsourcing of early warning activity HSBC Electronic Data Processing India Private Limited (Hyderabad II)
    44 Outsourcing of overseas remittance, overseas deposit and deposit/withdrawal relating to domestic transfer of foreign currency HSBC Electronic Data Processing (Guangdong) Limited
    45 Data Processing Agreement-CAMP Retail HSBC Global Services (UK) Limited (UK ServCo)
    46 GEEU (Global Exit Execution Utility) GSC Bangalore & GEEU UK
    47 Preparing materials on CARM HSBC Electronic Data Processing India Private Limited
    48 Quality assessment of CDD profile HSBC Electronic Data Processing India Private Limited
    49 Account opening and report/change of corporate deposit customers, account closing of corporate/individual customers, FATCA/CRS information input HSBC Electronic Data Processing (Guangdong) Limited
    50 Korean HSBCnet help desk HSBC Electronic Data Processing (Guangdong) Limited
    51 Sending email to customers regarding deposits/remittances HSBC Electronic Data Processing (Guangdong) Limited
    52 Determining transaction screening (remittance, securities, trade) alerts The Hongkong and Shanghai Banking Corporation Limited Hong Kong Office(Level 3 Sanctions Center of Excellence)
    53 Outsourcing of loan document management and execution for corporate customers and report preparation HSBC Electronic Data Processing (Guangdong) Limited
    54 Storage of data to be submitted to Monitors by HSBC Seoul branch Intralinks and Ernst & Young LLP (Relativity)
    55 CAMP (Customer Activity Monitoring Program) HSBC Electronic Data Processing (Guangdong) Limited
    56 OWS(Oracle Watchlist Screening) PEP (Political Exposed Person) Level 3 Screening HSBC Electronic Data Processing India Private Limited
    57 Calculation of allowance for bad debts based on IFRS 9 HSBC Electronic Data Processing India Private Limited
    58 Project FAME HSBC Global Services (UK) Limited
    59 Project Oceanus (2) HSBC Electronic Data Processing India Private Limited(Bangalore)
    60 Surveillance of staff's telecommunications (including emails sent or received via the Bank's email account, records of Bloomberg or Reuter communication, call history) and financial transactions with customers - The Hongkong and Shanghai Banking Corporation Limited (Head Office in Hong Kong)
    - HSBC Global Services (UK) Limited & its related entities
    61 Utilisation of Exit system to adopt standardized Group Exit procedures HSBC Electronic Data Processing India Private Limited – GSC India
    62 Utilization of TradeNet system to screen Trade transactions HSBC Financial Crime Threat Mitigation Team, Hong Kong
    63 Transaction Information Hosting in relation with Supply Chain Finance Platform (HSCF) Kyriba Corporation
    64 Introduction of Platform for HR Information System SAP Limited

Type of credit information to be provided

  • Personally Identifiable Information (PII)
  • Credit Transaction Information
  • Credit Worthiness Information
  • Public record, etc.

Retention, Use and Destruction of Credit Information

  1. Retention of credit information: We use your credit information solely for the purpose of screening loan applications or following up loans provided, and we shall separately obtain your consent to use your credit information for other purposes. We use the information which may cause disadvantage to customers including but not limited to overdue payment record for the period of maximum 5 years from the date when the cause for such disadvantage is cleared up. When it comes to credit information provided by credit information companies, we use such information in compliance with the period prescribed in Credit Information Management Rule of the applicable credit information company.
  2. Destruction of credit information: We shred or burn up paper copies containing credit information while deleting electronic files containing credit information by using technical means disabling restoration of the content.

Your Right to Credit Information

  1. Right to Request to Have Access to or Correct Your Credit Information You are entitled to request to have access to or provide your own credit information held by The Hongkong and Shanghai Banking Corporation Seoul Branch or details on the processing of the credit information. If there is any error in the credit information, you may request a correction on the information.
  2. Right to Request to Notify Any Provision of Your Credit Information
    You are entitled to request to notify you of details on you credit information provided to credit information companies, etc. for the recent one (1) year.
  3. Right to Withdraw Consent to Provision and Use of Your Credit Information
    You are entitled to withdraw consent to provision to and use of your credit information for marketing purposes by the partners of The Hongkong and Shanghai Banking Corporation Seoul Branch. You may refuse any phone call made by the partners for marketing purposes. However, the right to withdraw the consent to credit information collection agencies, credit information companies, outsourcing service providers, etc. may be limited if such withdrawal would do harm to the credit information infrastructure or business efficiency of financial companies. Also, a new customer is not allowed to apply for the consent withdrawal or the phone call rejection for three (3) years from the date when the financial transaction agreement with the Bank is entered into.
  4. Right to Request Deletion of Your Credit Information
    The Hongkong and Shanghai Banking Corporation Seoul Branch shall delete credit information of an individual customer within five (5) years (if the purpose of information collection and use is accomplished, three (3) months from the date when the purpose is accomplished, unless in exceptional cases permitted by the relevant laws and regulations) from the date when the financial transaction agreement with the customer comes to an end. Also, you may request deletion of such credit information of your own.

How to Apply for the Aforementioned Rights

  • Those who provided credit information of their own through events or campaigns may apply for the aforementioned rights via telephone.
  • Existing customers using the phone banking service may apply for the rights via telephone or branch office visit. Other customers should visit HSBC Bank Seoul Branch and submit a written application.
  • Request via Phone: Call ☎ 080-860-1770, and push ‘02’ to be connected to a staff
  • Request in writing: Please visit any branch of the Bank and submit "Report•Change• Issuance Request" with your ID card

Right to Request to Show Your Credit Information for Free

In addition to the aforementioned rights, you are entitled to request credit rating agencies below to show your credit information at no cost within a certain limit. For more information, please contact the credit rating agencies.

<Contact details> * NICE (Inc.): ☎ 1588-2488 www.mycredit.co.kr

* Korea Information Service (Inc.): ☎ 02-3771-1004 www.creditbank.co.kr

* Seoul Credit Rating & Information (Inc.): ☎ 02-846-5000 www.siren24.com

Credit Information Manager

  • Name: Dong Jin Kim
  • Department: Legal & Compliance, The Hongkong and Shanghai Banking Corporation Seoul Branch
  • Contact: ☎ 02-2004-0200, HSBC Building #37, Chilpae-ro, Chung-Ku, Seoul