Deposit (Gongtak) Procedure

Which step are you at?

Select your current step and the content for that step will appear below.

1. 1Preparing the application
2. 2Submission
3. 3Receipt
4. 4Review
5. 5Decision and notice
6. 6Paying the deposit
7. 7Confirmation of payment
8. 8Proof of payment of the deposit

• Basic step
• Additional action / option
• Rejection / objection
• End of procedure

Time required

The deposit office reviews the documents and decides whether to accept them; check the time required with the deposit office concerned

Cost

The deposit amount; for a deposit for performance, postage for sending the deposit notice by certified delivery

Procedure guide

Read from start to finish in order. Red text marks deadlines set by law.

1. 1

   There are several types of deposit. A deposit for performance extinguishes a debt by leaving the money with the court deposit office when you are trying to pay but the other party refuses to accept it or you cannot know whom to pay. A security deposit leaves security (a deposit) ordered by the court as a condition for a provisional attachment, a stay of execution, and so on.

2. 2

   Choose the type of deposit and fill out the deposit form and attached documents. For a deposit for performance, you need a deposit notice to be sent to the depositee (the person to receive the money); if a representative applies, proof of authority, etc. A deposit for performance is made at the deposit office of the place of performance (where the debt must be paid; if not agreed separately, the creditor's current address, Civil Act §467(2)) (Civil Act §488(1)). A security deposit under the Civil Execution Act can be made at the deposit office of the district court for the creditor's or debtor's address or of the execution court (Civil Execution Act §19(1)), and for other security deposits, check with the court that ordered the security which deposit office to use.

3. 3

   Submit it in person at the competent deposit office, or submit it on the e-deposit website after signing electronically. Individuals, corporations, and attorneys or judicial scriveners can use e-deposit after registering as users with a certificate. However, attorneys, judicial scriveners, and some corporations must first visit a deposit office to register as users (Deposit Rules §70).

4. 4

   The deposit officer receives the application, assigns a case number, and reviews the deposit requirements, the stated content, and the attached documents. When an acceptance decision (a decision accepting it) is made, a payment request is delivered to the depositor and a notice of acceptance to the custodian of the deposit (bank).

5. 5

   After receiving the request, pay the deposit to the custodian of the deposit (bank) within the designated period. You may also pay into a virtual account. If you do not pay within the period, the acceptance decision loses its effect and you must apply again from the beginning.

6. 6

   When the bank confirms the payment and notifies the deposit officer, you can print the deposit certificate (proof of payment). For a deposit for performance, the debt is treated as paid at this point, and a deposit notice is sent to the depositee. For a security deposit, you must submit this deposit certificate to the court that ordered the security.

7. 7

   This then leads to a claim for payment-out, in which the depositee collects the money, or a claim for withdrawal, in which the depositor takes it back. If you cannot accept a disposition by the deposit officer, you can file an objection with the competent court. To the extent the identity of the deposit is maintained, such as correcting the depositee's name, you can also apply to correct the deposit form.

Frequently asked questions

Practical questions that come up right away in this procedure.

QWhich deposit office do I use?

It depends on the type of deposit. A deposit for performance (leaving money owed with the deposit office) is made at the deposit office of the place where the debt must be paid.If this was not agreed separately, that place is the creditor's current address. Security under the Civil Execution Act, such as for a provisional attachment, can be deposited at the deposit office of the district court for the creditor's or debtor's address or of the execution court.For other security deposits, check with the court that ordered the security which deposit office to use. A deposit of a criminal settlement amount (criminal deposit) is made at the deposit office located where the court handling that criminal case is.

QIs there a fee? What costs are there besides the deposit itself?

There is no fee for the deposit application itself. You only pay the full deposit amount and, for a deposit for performance, the postage for sending the deposit notice to the depositee by certified delivery. For electronic deposits, you pay into a virtual account.

QWhat documents should I prepare?

Basically you need 2 copies of the deposit form and your ID. For a deposit for performance, you need as many deposit notices as there are depositees (people to receive the money). Also submit materials confirming the depositee's address (such as an abstract of resident registration).If a representative applies, documents proving the authority to act, such as a power of attorney, are needed. For a security deposit, attach a copy of the order to provide security.For a criminal deposit, attach materials identifying the victim, such as the case number and a copy of the indictment. The deposit form is available on the e-deposit website and at the deposit office.

QCan I make a deposit for performance at any time?

No. The cases in which it is allowed are fixed.It is allowed when the creditor refuses to accept or is unable to accept (refusal of receipt / inability to receive). It is also allowed when it is not possible to know who the creditor is (creditor unknown).The deposit form must state that reason. Proposing payment in advance by certified-content mail and keeping the reply refusing it helps prove the refusal.

QWhat happens if the other party does not collect the deposit?

It does not matter if the other party does not collect it. This is because with a deposit for performance, the debt is extinguished at the time payment is completed.However, before the other party accepts the deposit, the depositor may take the money back (withdrawal). If it is withdrawn, it is treated as if no deposit was ever made, and the debt revives. A deposit not collected reverts to the national treasury after 10 years.

QI received a deposit notice. How do I collect the money?

Take the deposit notice, your ID, and your registered seal (or personal signature) to the deposit office and submit a claim for payment-out. If you claim in person and the amount is KRW 10 million or less, you can collect it with just an ID check, without a certificate of seal impression. There is one point to be careful about.If you accept it without 'reserving objection', you are treated as accepting the conditions stated by the depositor. So if you think the amount is insufficient, write 'received with reservation of objection' on the claim for payment-out.