Business ethics, as a set of standards for behavior that helps us determine how we ought to decide and act for stakeholders affected by our decisions or actions, refers to ethical standards that we should observe and are applied to our policies, organization and actions.
Ethical management values business ethics most to grow continuously, recognizing not only companies’ financial and legal responsibilities, but also their ethical responsibilities to society.
Hyundai Capital manages risk through ‘compliance activities’ focusing on legal compliance for our continuous growth. But our compliance does not stop with abiding by laws and regulations, but extends to improving value of various stakeholders like customers, shareholders, business partners, executives and employees, and communities to ensure that ethical culture becomes an integral part of our business.

With consumer centered management(CCM) as top priority, Hyundai Capital strives to provide the best products and services to consumers. CCM is a management framework to organize all business activities focusing on consumers from the perspectives of consumers and improve these business activities continuously. To this end, Hyundai Capital held a Consumer Centered Management (CCM) proclamation ceremony in May 2022. It was an opportunity for all employees to strengthen their commitment to build solid consumer trust by making CCM the highest priority. To practice consumer centered management, CEO and related functions discuss issues at regular consumer protection meetings, and share improvement activities by issuing consumer protection activity reports on a monthly basis. Additionally, Hyundai Capital continues to emphasize consumer centered management to employees at CEO Townhall Meeting. In recognition of these efforts, Hyundai Capital was selected as CCM-certified company by the Fair Trade Commission in December 2022.

Hyundai Capital is dedicated to improving product and service quality by communicating with customers through diverse channels. To this end, Hyundai Capital set up a customer panel in March 2022 for the first time in the industry to diagnose product and service quality levels, and reflect customers’ opinions and ideas in its products and services. In addition, we place a great emphasis on service quality management by conducting customer satisfaction surveys to customers who used our customer center or Hyundai Capital website/App, and reflecting the results in key evaluation metrics for call center agents and related functions.
In parallel, we are strengthening digital-based communication with customers. A case in point is AI agent that calls a customer after a loan is confirmed to check if the customer is well informed about key product details such as interest rate. If any issues are identified, a human agent communicates directly with the customer to eliminate possibilities of mis-selling.
Moreover, to better serve the financially vulnerable customers such as the disabled and the elderly, we run a dedicated consultation desk at branches, and implemented a voice support system in Hyundai Capital App/website that provides description of key product features. We will continue to expand services for the socially disadvantaged who are lagging behind in the fast changing digital environment.

Hyundai Capital protects and manages personal(credit) information of customers in a thorough manner in accordance with privacy policies and credit information utilization status. In 2008, Hyundai Capital achieved ISO27001 Certification, one of the world’s best known standards for information security management systems for the first time in the industry, proving its excellent performance in information security area. We have renewed the certification by going through strict screening process every year. On top of this, to raise employee awareness of information protection and improve competency, we designated the first Thursday of every month as Information Security Day, and perform activities to prevent personal(credit) information leakage and provide information protection training. In addition, to effectively respond to the growing cyber threat such as hacking and DDOS and minimize potential damage to customers and the company, we perform company-wide security drills on a regular basis.

Hyundai Capital has been making joint efforts with various stakeholders to solve social issues including nurturing future talents and closing the education gap. We run a program to provide financial training such as reasonable consumption and personal credit score management to students through sisterhood relationships with elementary/middle/high schools. Also, we are actively providing financial support including deferment and fee waiver to people affected by natural disasters such as wildfires and hurricanes. In addition, every year we donate money collected from employee payroll rounding to the socially disadvantaged. We have donated around KRW 100 million to the Korean Association for Children with Leukemia and Cancer from 2018 to 2021. At each year end, we place donation boxes for employees to donate clothes or baby items, and send these donated items to charities including Goodwill Store. Hyundai Capital will continue its efforts to make our society a better place and fulfil its social responsibilities.

Hyundai Capital became the first credit finance company in Korea to receive the Compliance Management System(ISO37301) Certification in 2021, gaining international recognition for internal controls and credibility. We make continuous efforts to comply with the Specialized Credit Finance Business-related laws such as the Specialized Credit Finance Business Act, the Act on Corporate Governance of Financial Companies and the Act on the Protection of Financial Consumers, and put in place systematic internal control regulations. As part of the effort, we operate a theme review reflecting recommendations of the regulatory bodies, mandatory leaves, pre-emptive control systems for compliance with the Improper Solicitation and Graft Act and an advertising review for protection of financial consumers. In addition, we operate the anti-money laundering(AML) risk assessment system and “The Voice”, a victim-oriented external reporting channel consulting external lawyers. Hyundai Capital will continue its efforts to ensure that compliance management culture takes roots as early as possible by leveraging its globally recognized compliance management systems, and continue to perform internal control activities for sustainable management.

Hyundai Capital joined the UN Global Compact (hereinafter “UNGC”) in June 2022 to establish the ESG management framework. The UNGC is the world’s largest corporate responsibility initiatives under the United Nations with more than 20,000 participants (companies and non-business signatories) in 170 countries. By joining the UNGC, Hyundai Capital proclaimed that it will comply with 10 principles in 4 areas; human rights, labor, environment and anti-corruption, and implement ESG management aggressively across the board. In addition, as a signatory to the UNGC, Hyundai Capital will disclose its efforts in implementing the UNGC 10 principles through the Communication on Progress(COP) on an annual basis.