In the third quarter of this year, two prepaid installment companies closed, while one new company registered, bringing the total number of registered firms to 75. The funeral service companies Agape Life and Daeno Welfare Business Group have shut down, and another company has reported a long-term suspension.
According to the Fair Trade Commission's announcement on October 20 regarding major changes in information for prepaid installment companies in the third quarter of 2026, the number of registered firms decreased by one from 76 in the previous quarter to 75 as of the end of September. During the July to September period, one new company, Origin Tour, registered, while two companies, Daeno Welfare Business Group and Agape Life, closed.
Daeno Welfare Business Group reported its closure on May 28 and ceased operations on July 1. Agape Life filed for closure on June 30 and officially closed on July 31.
The newly registered company, Origin Tour, registered in Seoul on July 27. It is a travel agency with consumer damage compensation insurance provided by Kookmin Bank.
Additionally, The Life reported a suspension of operations on August 28, with the suspension period set from October 1 of this year to December 31 of next year.
Among the 75 registered companies, 59 are funeral service providers, while seven are travel agencies, and nine sell both funeral and travel products. As prepaid installment transactions have expanded beyond funeral services to include travel products, consumers need to distinguish between the types of products they have subscribed to and whether their advance payments are protected.
There were also significant changes in the information of registered companies during the third quarter. A total of five companies reported nine changes, including changes to their names, representatives, addresses, contact information, and consumer damage compensation insurance providers.
Baramil Good Life changed its name to Chamjoheun Life and added a business location in Busan. It also updated its main phone number and email address. LB Life changed its representative and business address, while Parent Love and Boram Funeral Development also changed their representatives.
The K-Ye Da Ham added BNK Busan Bank as a consumer damage compensation insurance provider, increasing the number of guarantee banks from six to seven.
The Fair Trade Commission emphasized the need to closely monitor businesses that frequently change their names and addresses for signs of instability or potential business cessation. If a funeral service company closes, consumers can apply for compensation or continue their existing services through the 'My Funeral Service as Is' program with another funeral company.
Detailed information about registered companies can be found on the Fair Trade Commission's website under the 'Prepaid Installment Companies' business information disclosure section.
The Fair Trade Commission advises, "When entering into prepaid installment contracts for funeral services or savings travel products, consumers should carefully review the business status of the contracting company and the announcements from the consumer damage compensation insurance provider."
* This article has been translated by AI.
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