Lee Dong-chul, former CEO of KB Kookmin Card, has been named the next chief of the Credit Finance Association. "There are so many challenges piled up that it is difficult to single out just one," Lee said. "We must steadily work through compound difficulties including slowing growth, worsening profitability, and soundness burdens." With a private-sector financier, rather than a former financial regulator, chosen as the sole candidate, expectations are rising within the industry for field-focused association management and a stronger role in representing the sector.
According to financial industry sources, the Credit Finance Association held its second chairman candidate recommendation committee meeting on Thursday afternoon at the Lotte Hotel in Sogong-dong, Jung-gu, Seoul, recommending former KB Kookmin Card CEO Lee Dong-chul to the general assembly as the next chairman candidate. At the first committee meeting held late last month, three candidates—Lee Dong-chul, Park Kyung-hoon, and Yoon Chang-hwan—had been shortlisted.
In a phone call with the Seoul Economic Daily immediately after the committee meeting, Lee said, "The industry's situation is challenging in terms of growth, profitability, and soundness alike," adding, "I will coordinate the issues well while communicating broadly with member companies." On his plans for communicating with member companies, he said, "The association includes not only card companies but also various member companies such as capital firms and new technology finance companies," adding, "I will communicate broadly while balancing the interests and issues of each sector." He further stressed, "I will faithfully fulfill the association's inherent role so that the development of the credit finance industry ultimately leads to enhanced public benefit and industry development."
Born in 1961, Lee graduated from Korea University's College of Law and completed his studies at Tulane University Law School in the United States. He served as managing director of the strategic planning department at KB Financial Group, vice president of the management planning division at KB Life Insurance, chief strategy officer (CSO) and vice president of KB Financial Group, CEO of KB Kookmin Card, and vice chairman of KB Financial Group (head of global, insurance, digital, and IT divisions). He is regarded as a leading professional manager in the financial sector with experience spanning the card business as well as insurance, global, and digital fields.
At the committee meeting, each candidate underwent a 40-minute interview, followed by an anonymous vote. Lee, who won the support of a majority of committee members, was selected as the sole candidate. The committee consists of 15 members in total, including chairman Sung Young-soo, CEO of Hana Card, along with 14 CEOs of card and capital companies and one association auditor.
This election also drew attention as it was conducted as a competition centered on private-sector financiers, without any candidates from the ranks of former financial regulators. Analysts say that field experience and understanding of the sector were key evaluation factors, given the intertwined issues such as the overhaul of the card fee structure, card loan regulations, funding cost burdens, and intensifying competition with big tech.
Lee's final appointment will be confirmed if a majority approves at the member companies' general assembly to be held on the 16th of this month. Lee Dong-chul will serve a three-year term as the 14th chairman of the Credit Finance Association.
An industry official said, "The credit finance sector faces compound difficulties such as worsening profitability and tightening regulations," adding, "With someone who knows the field well taking on the chairmanship, we expect him to actively represent the industry's voice."
