Monday, June 23rd, 2014
SEOUL, KOREA - Amid a situation where domestic consumption freezes over, the volume of money spent overseas is rising fast. The total amount of credit card spending made overseas, including that for online purchases, last year was US$10.55 billion, up 11.8 percent from the previous year's $9.44 billion. The number of credit card users who spent more than $5,000 overseas during the first quarter this year was more than 60,000.
According to data submitted by the Korea Customs Service at the request of National Assemblyman Yoon Ho-jung (New Politics Alliance for Democracy), the number of people who have spent more than $5,000 during the first quarter was 60,070. Of these, there was a sizable number of people who made purchases of goods online.
By expenditure level, those spending between $5,000 and $10,000 were 40,168
those between $20,000 and $30,000 (5.1%), and those between $30,000 and $50,000 (2.9%). The number of people who spent more than $50,000 was 886 (1.5%). In terms of country to which expenditures were made, the United States took the biggest portion with $217 million, followed by the Philippines ($109 million), China ($56 million), Japan ($42 million), and Singapore ($30 million).
The Korea Customs Service will strengthen its inspection on Korean travelers returning home based on a "black list" of people who were suspected of carrying goods in excess of allowable limits. Some in the credit card industry raised concerns that the government's crackdown on inbound travelers might affect the overall consumption negatively and that looking into individual card spending patterns may constitute the infringement of privacy.