Electronic Financial Transaction Agreement

1. Purpose

The purpose of these Terms and Conditions is to stipulate the basic matters concerning electronic financial transactions between N&PK Co., Ltd. (hereinafter referred to as “N&PK”) and its business partners, in order to promote the prompt and efficient processing of transactions and to reasonably adjust the mutual interests of the parties involved.

2. Definitions of Terms

1. “Business Partner” refers to a customer who uses electronic financial transactions.
2. “Electronic Financial Transaction” refers to a transaction in which the business partner directly uses services such as inquiries, deposits/withdrawals, and account transfers provided electronically by N&PK.
3. “Electronic Means” refers to electronic devices such as computers, telephones, or other equipment used to process electronic financial transactions.
4. “Transaction Order” refers to a request made by the business partner to N&PK, pursuant to an electronic financial transaction agreement, to process a specific electronic financial transaction.
5. “Payer” refers to the holder of the account (hereinafter referred to as the “withdrawal account”) from which funds are withdrawn through an electronic financial transaction.
6. “Payee” refers to the holder of the account (hereinafter referred to as the “deposit account”) into which funds are deposited through an electronic financial transaction.
7. “Account Transfer” refers to a transaction in which N&PK, upon the payer’s transaction order, withdraws funds from a designated account and deposits them into another account within N&PK or another financial institution.
8. “Scheduled Account Transfer” refers to a transaction in which the business partner instructs N&PK in advance to execute an account transfer on a specific future date, and N&PK processes it accordingly on that date.
9. “Business Day” refers to a day on which N&PK normally conducts business operations at its offices.
10. “Access Means” refers to cards, digital certificates, passwords, user numbers, or other instruments required to issue transaction orders through an electronic financial transaction.

3. Applicable Transactions

These Terms and Conditions shall apply to the following types of electronic financial transactions conducted between N&PK and its business partners.

1. Transactions conducted through computers
2. Transactions conducted through telephones
3. Transactions conducted through other electronic means

4. Conclusion of Transaction Agreement

A business partner who intends to conduct electronic financial transactions shall, in principle, enter into a separate transaction agreement with N&PK in advance. However, this shall not apply to any of the following cases.

1. Simple inquiries (such as balance checks or transaction history of deposits and withdrawals)
2. Transactions involving only the payment of service fees
3. Other transactions as determined by N&PK

5. Hours of Use

1. A business partner may use electronic financial transactions within the hours designated by N&PK.
2. The hours of use may vary depending on N&PK’s circumstances. If N&PK intends to change the hours of use, such changes shall be announced at least three (3) business days in advance through its branches or by electronic means that can provide public notice. However, this shall not apply in unavoidable cases such as system recovery, emergency maintenance, or external factors.

6. Transfer Limits

A business partner shall set the transfer limit in accordance with the maximum limit and designation method determined by N&PK.

7. Password Registration

When a business partner enters into a transaction agreement and directly registers a transaction password through electronic means, such registration shall be completed within three (3) business days, including the contract date.

8. Formation of Transactions

When a business partner intends to conduct an electronic financial transaction, the transaction shall be deemed established at the following points in time.

1. In the case of account transfers, when N&PK has confirmed both the details of the transaction order entered by the business partner and the availability of the deposit funds.
2. In the case of scheduled account transfers, when N&PK has confirmed the details of the transaction order given by the business partner; provided, however, that sufficient funds must be available in the withdrawal account at the time of transfer.

9. Standards for Processing Transaction Orders

1. N&PK shall process a business partner’s transaction order after verifying the consistency of the account number, password, user number, and other relevant information with the information registered by the business partner.
2. In transactions such as bulk account transfers or transfers to other banks, where it is not possible to verify the recipient’s name due to the nature of the transaction, N&PK shall process the transaction based on the recipient’s account number.
3. Transfers to accounts at other banks shall be processed on the same business day; however, if processing within the same day is not possible, they shall be handled in accordance with Article 20, Paragraph 4.
4. In the case of scheduled account transfers, the transaction shall be processed only when the funds available in the withdrawal account at the time of transfer are equal to or greater than the amount specified by the business partner.
5. If the scheduled transfer date falls on a holiday of N&PK, the transaction shall be processed on the next business day.

10. Restriction of Transactions

1. In any of the following cases, N&PK may restrict the transaction corresponding to the relevant electronic financial transaction order.
   1. When the funds available in the withdrawal account at the time of processing the electronic financial transaction are insufficient to cover the withdrawal amount; provided, however, that if otherwise stipulated in individual agreements related to electronic financial transactions, such provisions shall prevail.
   2. When the business partner places a transfer order exceeding the transfer limit set by the business partner.
   3. When a business partner who has designated a specific deposit account for account transfers gives a transfer order to an account that has not been designated.
   4. When N&PK deems it inappropriate to provide the transaction service due to legal payment restrictions or other similar reasons.
2. In any of the following cases, N&PK may restrict all account transfers conducted through the relevant electronic means.
   1. When the digital certificate has expired or has been revoked.
   2. When a business partner using a computer or telephone for electronic financial transactions has not conducted any account transfer transactions for six (6) months or more.
3. When N&PK restricts an electronic financial transaction pursuant to Paragraphs 1 or 2, N&PK shall notify the business partner of the reason for such restriction through the relevant electronic means at the time a transaction order is made by the business partner.
4. In the case referred to in Paragraph 2, the business partner may use electronic financial transactions again after completing the procedures prescribed by N&PK, such as reissuance or renewal of the digital certificate, or confirmation of intent to continue using the service.

11. Completion of Transactions

In the case of account transfers and remittances, the transaction shall be deemed completed when the deposit entry has been made in the recipient’s account ledger.

12. Fees

1. N&PK may withdraw electronic financial service fees from the business partner’s account, and the method of payment shall be governed by the respective individual agreements.
2. Fees shall be calculated in accordance with N&PK’s fee rate calculation method. If N&PK intends to change the fee rates, such changes shall be announced through its branches and electronic means capable of public notice at least one (1) week prior to the effective date and shall remain posted for one (1) month.

13. Cancellation or Modification of Transaction Orders

1. Once a transaction has been established pursuant to Article 8, it may not be canceled or modified. However, in the case of a scheduled account transfer, the transaction order may be canceled through the relevant electronic means up to the business day preceding the transfer date.
2. When the business partner requests to close a withdrawal account, all scheduled account transfer orders registered in that account shall also be canceled.
3. The death, adjudication of limited or full incompetency of the business partner, or the dissolution, merger, or bankruptcy of either the business partner or N&PK shall not, by itself, result in the cancellation or modification of the transaction order, nor shall it affect N&PK’s authority related thereto.

14. Change of Registered Information

1. When a business partner intends to change any information previously registered with N&PK, such as the account number, password, user number, trade name, address, or telephone number, the business partner shall notify N&PK in accordance with the provisions of the respective individual agreement related to electronic financial transactions.
2. Such changes shall become effective after N&PK has received the notice under Paragraph 1 and a reasonable period of time required for data entry into the system has elapsed.

15. Termination of Transaction Agreement

When a business partner intends to terminate an agreement related to electronic financial transactions, the business partner shall apply for termination to N&PK in writing or through the relevant electronic means, in accordance with the provisions of the respective individual agreement related to electronic financial transactions.

16. Verification of Transaction Details

1. A business partner shall verify whether the transaction order is consistent with the processing results referred to in Article 21, Paragraph 1.
2. If a business partner becomes aware that the transaction order and N&PK’s processing results do not match, the business partner shall immediately notify N&PK thereof. Upon receiving such notice, N&PK shall promptly investigate and take appropriate measures, and shall inform the business partner of the cause of the error and the results of the correction within two (2) weeks from the date of receipt of the notice.

17. Handling of Errors

1. When N&PK confirms that an electronic financial transaction has been processed differently from the transaction order, N&PK shall immediately investigate the matter and take appropriate corrective action.
2. N&PK shall notify the business partner of the cause of the error and the results of the correction within two (2) weeks from the date it became aware of the error referred to in Paragraph 1.

18. Recording of Transaction Details

For the purpose of ensuring the accuracy of transactions, N&PK may record the contents of transactions conducted through telephone conversations between its employees and the business partner. However, such recordings shall be used solely as evidence in the event of a dispute related to the relevant transaction, and in such cases, the business partner may request N&PK to disclose the recorded contents.

19. Retention of Transaction Records and Provision of Information

1. N&PK shall retain and preserve records of deposits and withdrawals resulting from electronic financial transactions for a period of five (5) years.
2. Upon request by a business partner, N&PK shall provide the business partner with records or materials related to electronic financial transactions that are retained and managed by N&PK, within two (2) weeks from the date of such request, to the extent that such provision does not violate the Act on Real Name Financial Transactions and Confidentiality or any other applicable laws.

20. Handling of Accidents and System Failures

1. When a business partner becomes aware of the theft, loss, forgery, or alteration of any access means related to a transaction account, or the disclosure of confidential information required in the transaction process, the business partner shall immediately report such fact to N&PK.
2. N&PK shall be liable for compensating any damages incurred by the business partner as a result of a third party’s use of such access means from the time N&PK receives the report referred to in Paragraph 1.
3. If the business partner wishes to withdraw the report referred to in Paragraph 1, such withdrawal shall be made in writing by the business partner to N&PK.
4. If an electronic financial transaction ordered by the business partner cannot be processed due to communication failure or other reasons, N&PK shall deposit the corresponding funds back into the withdrawal account and notify the business partner through the contact information registered with N&PK.
5. Upon request by the business partner, N&PK shall promptly investigate the cause of the accident or failure and notify the business partner of the results.

21.Method and Effectiveness of Notices

1. N&PK shall immediately notify the business partner of the processing results referred to in Article 11 through the relevant electronic means. However, in the case of transfers to other banks and scheduled account transfers, N&PK shall immediately notify the business partner of the receipt of the transaction order through the same electronic means.
2. When N&PK provides notice of matters arising from electronic financial transactions, including those referred to in Article 17, Paragraph 2, and Article 20, Paragraphs 4 and 5, such notice shall be given to the contact information reported by the business partner, by telephone, in writing, or through other electronic means.
3. When N&PK provides notice in writing, such notice shall be deemed to have been received after the ordinary mailing period has elapsed, except in cases of force majeure such as natural disasters.
4. If a written notice sent under Paragraph 3 is delayed or not delivered to the business partner due to the business partner’s failure to file a change report pursuant to Article 14, the notice shall be deemed to have been received upon the expiration of the ordinary mailing period.

22. Management of Access Means

1. A business partner shall not lend, entrust, or transfer to any third party the access means required for electronic financial transactions.
2. A business partner shall not disclose any access means to any person other than themselves and shall exercise due care to prevent the theft, forgery, or alteration of such access means.

23. Liability for Loss and Exemption of Liability

1. N&PK shall compensate for any unauthorized transfer amounts that occur after receiving a report pursuant to Article 20, by paying the amount of such unauthorized transfers together with the accrued interest calculated at the one (1)-year time deposit rate. However, if the loss incurred in the relevant account as a result of the unauthorized transfer exceeds the amount calculated at the one (1)-year time deposit rate, N&PK shall compensate for the full amount of such loss.
2. N&PK shall be liable for any damages suffered by the user as a result of (i) an accident caused by the forgery or alteration of access media, or (ii) an accident occurring during the electronic transmission or processing of a transaction order or contract conclusion.
3. Notwithstanding Paragraph 2, N&PK may hold the business partner responsible for all or part of the loss in any of the following cases.
   1. In cases of force majeure, such as natural disasters, war, terrorism, power outages, fire, or damage to buildings occurring without fault of N&PK.
   2. Where the business partner has lent, delegated the use of, transferred, or pledged the access media to a third party.
   3. Where the business partner has disclosed, exposed, or neglected the access media despite knowing, or being reasonably able to know, that a third party could use it without authorization for electronic financial transactions.
   4. Where the business partner is a corporation (excluding small enterprises as defined in Article 2, Paragraph 2 of the Framework Act on Small and Medium Enterprises), and N&PK has fulfilled its reasonable duty of care, such as establishing and thoroughly complying with security procedures to prevent such accidents.
4. In order to fulfill its liability pursuant to Paragraph 2, N&PK shall take necessary measures such as obtaining insurance, joining a mutual aid association, or setting aside reserves.

24. Duty of Confidentiality

Except as otherwise required by law, N&PK shall not disclose any information related to the business partner obtained in the course of performing electronic financial transactions to any third party without the consent of the business partner. However, N&PK shall be liable for any theft or leakage of such information resulting from its negligence in management.

25. Amendment of Terms and Conditions

1. When N&PK intends to amend these Terms and Conditions, it shall post the details of the amendment at its business locations and on its website for one (1) month prior to the effective date of the amendment.
2. If the amendment is disadvantageous to the business partner, N&PK shall individually notify the business partner of the changes in writing or by other methods agreed upon in advance, at least thirty (30) days prior to the effective date of the amendment. However, this shall not apply where the previous terms continue to apply to existing business partners or where the business partner has explicitly indicated that they do not wish to receive such notifications.
3. When providing notification under Paragraph 2, N&PK shall include a statement to the effect that “if the business partner does not agree to the amendment, they may terminate the contract within thirty (30) days from the date of receiving the notice, and if no expression of intent to terminate is made, the business partner shall be deemed to have agreed to the amendment.”
4. If the business partner does not express an intent to terminate the contract within thirty (30) days from the date of receiving the notice under Paragraph 3, the business partner shall be deemed to have agreed to the amendment.
5. N&PK shall keep the Terms and Conditions available at its business locations and shall provide a copy to the business partner upon request.

26. Order of Precedence of Terms and Conditions

1. In the event of any inconsistency between these Terms and Conditions and any individual agreement separately made between N&PK and the business partner, the terms of such individual agreement shall prevail.
2. Any matters not provided for in these Terms and Conditions with respect to electronic financial transactions shall be governed by the provisions of the applicable individual agreement.
3. In the absence of any other agreement, any matters not provided for in these Terms and Conditions or in the applicable individual agreement shall be governed by the relevant laws and regulations, as well as N&PK’s Deposit Transaction Terms and Conditions and Credit Transaction Terms and Conditions.

27. Objection and Dispute Resolution

If the business partner has any objection regarding the processing of an electronic financial transaction, they may request resolution through N&PK's dispute resolution body, or apply for dispute mediation to the Financial Dispute Mediation Committee of the Financial Supervisory Service or the Consumer Dispute Mediation Committee of the Korea Consumer Agency.

28. Governing Law

These Terms and Conditions shall be governed by and construed in accordance with the laws of the Republic of Korea.