South Korean department stores face scrutiny over short reward point expiration

South Korean department stores are facing scrutiny over the short expiration periods of online reward points. While traditional paper gift certificates legally carry a five-year validity period, many department stores have transitioned to digital points that expire in as little as three months.

This discrepancy exists because previous government efforts to extend point expiration dates focused on eight specific sectors, such as large marts and convenience stores, but excluded the department store industry. Consequently, department stores have been able to set arbitrary, shorter expiration dates for their promotional points.

Representative Kim Hyung-yeon of the Rebuilding Korea Party noted that there have been no clear standards regarding the usage locations or periods for these points. While department stores state they provide alarm services before points expire and are considering ways to improve convenience, critics argue for the establishment of reasonable guidelines to protect consumer benefits.