Trying to sell leftover dollars after a trip can lead to involvement in 'criminal money laundering'

On the 20th, the financial authorities urged the public to beware of various criminal attempts around the Chuseok holiday, including voice phishing impersonating holiday gift delivery and illegal money laundering that exploits currency exchange after overseas travel.

According to the Financial Services Commission and the Financial Supervisory Service, the most common voice-phishing tactic ahead of Chuseok is smishing that uses gift deliveries or unpaid fines as bait.

If you tap the internet address (URL) contained in texts that say ‘Delivery has been delayed due to an error in the shipping address’, ‘Delivery is not possible’, or ‘An administrative fine or penalty has not been paid’, a malicious app is installed on the mobile phone, and personal and financial information is siphoned off, leading to voice phishing.

Once infected with a malicious app, the scammer can access the mobile phone of the victim at will, so even if a user who feels suspicious makes a confirmation call to the police (112) or the Financial Supervisory Service (1332), the call is connected to the scammer.

Therefore, do not click on URLs of unclear origin, and if you need to verify a delivery or a fine, it is safer to check directly via the relevant institution official website or app, or its main phone number.

In the mobile phone settings, it also helps to preemptively block installation of ‘apps from unknown sources’. If a malicious app has already been installed, turn the device off or switch to airplane mode, then visit a nearby mobile carrier store to have the app removed or the device reset.

After traveling abroad during the holiday period, those who trade leftover foreign currency person to person should be cautious, because they may unwittingly become involved in laundering illegal funds such as money from voice-phishing crimes.

The scammer approaches the seller who has put up foreign currency, urging a deal by offering an exchange rate higher than the market rate or an extra premium. When the deal goes through, Korean won is deposited into the account of the seller, but in fact that money has been sent by another voice-phishing victim whom the scammer deceived.

In effect, the foreign-currency seller unknowingly receives voice-phishing proceeds into his or her account. Scammers often claim the depositor is a spouse or acquaintance and send money under the name of another person.

Ten rules for preventing voice-phishing damage. Provided by the Financial Services Commission

The financial authorities advised that it is safest to trade leftover foreign currency through a financial company after a trip. If the counterparty quotes a price above the going rate, offers to send money before receiving the foreign currency, or the name of the depositor differs from that of the counterparty, it is best to stop the transaction.

Recently, as data breaches on online platforms have continued, secondary harm that takes advantage of them is also a concern.

Scammers use leaked information to approach victims, amplifying anxiety by saying “Your personal information has been leaked and a shell account has been opened” or “You have been implicated in an identity theft crime”, or conversely luring them by saying “We will pay compensation for the leak”. The aim is ultimately to make victims visit a phishing site or install a malicious app. Even if the other party knows your name and phone number, the moment they demand that you access a URL, install an app, or transfer funds, you should suspect a scam.

If you are worried identity theft, you can use the ‘Financial Transaction Safe Block Service’. It blocks, across the entire financial sector, credit transactions in your name such as unsecured loans, card loans, credit card issuance, installment finance, and loans secured by savings or time deposits. You can apply by visiting a branch of your financial institution, through the Account Info app of the Korea Financial Telecommunications and Clearings Institute, or via your bank mobile banking.