1.

Establishment of a Supervisory Framework Focused on Proactive Consumer Protection

The FSS will elevate the current Financial Consumer Protection Department to the Office of Consumer Protection^[1] which will report directly to the Governor. Its central mandate will be to provide general oversight and coordination of the FSS's consumer protection and supervisory functions carried out across various departments. This move is regarded as a strong step toward establishing a comprehensive consumer protection framework that mobilizes all of the FSS's resources and capabilities toward proactive consumer protection, rather than through the supervisory mandate of each functional department overseeing the respective financial sector.
 

[Reorganization structure focused on proactive consumer protection]

※ Source: FSS press release, "Financial Supervisory Service to Implement Organizational Restructuring,"dated December 22, 2025
 

The Office of Consumer Protection will evaluate the FSS's supervisory activities from a consumer protection perspective and set the direction for future policies. It will also strengthen supervision from the stage of structuring, designing, and reviewing financial products so that risks are assessed from the consumers' standpoint, thereby helping to prevent harm to consumers.
 
As a result, the supervisory approach to consumer protection previously centered on remediation—such as dispute mediation and investigations of financial incidents—is expected to shift to a "proactive supervisory framework."
 
Another key aspect of the organizational restructuring is the full transfer of the dispute mediation function—an important channel for consumer redress—to the respective supervisory department in charge of each financial sector and the related financial products and policies. With this change, the FSS will establish a "one-stop response system" under which all procedures, from product review to dispute mediation and investigation, will be carried out in an integrated manner by the supervisory department for each industry sector. This functional integration is expected to heighten accountability across the entire supervisory process and further prevent consumer harm and its spread by reinforcing the feedback mechanism between dispute mediation and supervision/examination functions.
 

[Enhancing organic feedback between redress and preventive functions]

※ Source: FSS press release, "Financial Supervisory Service to Implement Organizational Restructuring,"dated December 22, 2025

Furthermore, to enhance the FSS's consumer protection functions, the FSS will establish the Consumer Rights Protection Department, which will be charged with operating the Financial Dispute Mediation Committee and evaluating the performance of financial companies in protecting consumers. In addition, as part of its efforts to strengthen proactive oversight of insurance products, the FSS will also expand the existing Insurance Products Oversight Team into two teams and reinforce the review and oversight of insurance products.
 

2.

Capability Building to Eradicate Financial Crimes that Harm People's Livelihoods

The FSS has addressed major financial crimes that harm people's livelihoods, such as illegal private lending, by handling consumer complaints, seeking redress and adopting preventive measures. However, these activities have been constrained by the limited investigative resources of the police and the FSS's lack of investigative authority.
 
To overcome these constraints, the FSS will launch a task force to lay the groundwork for the establishment of a Special Judicial Police system to combat major financial crimes that infringe on people's livelihoods. It will also create a Livelihood Infringing Financial Crime Intelligence Analysis Team to analyze and manage information on financial crimes that affect people's livelihoods, including the latest techniques and trends in such financial crimes.
 

3.

Reinforcement of the Organizational Structure in Response to Changes in the Financial Environment

The organizational restructuring also includes measures to strengthen the FSS's capacity to respond to future changes in the financial environment.
 
The FSS will establish the Digital Risk Analysis Team to reinforce pre-emptive supervisory functions for digital security risks and expand the AI and Digital Innovation Team, which supports the adoption and implementation of AI in the financial sector. In addition, the Pension Innovation Team will be set up to respond to the growing private pension market, and the Insurance Actuarial Supervision Team will be created to strengthen oversight of insurance actuarial assumptions. Furthermore, the Bank Risk Supervision Department—integrating the supervision functions for banks' credit allocation and prudential soundness—will be established to transition to a risk-focused supervisory framework and to support the promotion of productive finance.
 

4.

Establishment of Functions Dedicated to Facilitation of Government Priorities

To support the shift toward productive finance, the FSS will establish a team dedicated to reviewing business development companies ("BDCs") and the National Growth Fund—for participation by the general public. In the virtual assets sector, a dedicated task force will be created to develop detailed rules and framework to supplement the General Act on Digital Assets due to come into force. Furthermore, an additional market surveillance team will be established to strengthen self-monitoring functions against unfair trading practices in the capital market.