Regulations Governing the Approval Review Criteria and the Administration of the Issuing of International Electronic Stored Value Cards or Cooperating with a Foreign Institution in Issuing Electronic Stored Value Cards Article 7

When an issuer issues international electronic stored value cards in cooperation with a foreign institution, they shall agree that each party shall bear the obligation to refund any amount collected from and promised to be refunded to its domestic cardholders, and this obligation shall be clearly stated on the electronic stored value cards or the cardholders shall be notified of it in writing. Any amount that an issuer collects from and promises to refund to domestic cardholders shall be kept domestically, and after deducting the required reserve to be set aside pursuant to Article 18 of the Act, the remainder of the collected amount shall be placed in trust in full or fully guaranteed by a bank. The bank shall set aside reserve pursuant to paragraph 2, Article 29 of the Act. The term "domestic cardholders" in the preceding two paragraphs means cardholders who domestically purchased or leased international electronic stored value cards. Funds collected and promised to be refunded includes funds collected overseas from domestic cardholders.