Issuance of Receipt
Request for Receipt- A debtor who has repaid the debt may request for a receipt from the person accepting the repayment. (Article 474 of the Civil Act)
· A right to request for a receipt may arise where the repayment has been made in full or in part.
- Repayment shall be made at the same time as issuance of the receipt.
Right to Request for Returning Loan Document- If any loan document exists, the person who has made repayment in full may request for the return of such document. This shall also apply where the debt obligation has been extinguished in full by any cause other than repayment. (Article 475 of the Civil Act)
· A "Loan Document" means a document evidencing debt obligation such as a promissory note (or an Agreement for Consumer Cash Loan) and a certificate of deposit.
· Notwithstanding the above, the right to request for returning a loan document shall not be exercised by the person who makes repayment in part. However, such person may specify such partial repayment on the loan document.
- Unlike the right to request for receipt, the debtor may exercise his or her right to request for returning document once he or she has made repayment in full. (Supreme Court Decision, August 19, 2005, 2003 Da 22042)
How to Prepare a Receipt- A receipt shall be prepared in the following way.
· A receipt shall be prepared by the creditor who has received the repayment.
· The date of repayment and the amount of repayment shall be expressly provided in the receipt.
· In the case of a partial satisfaction of debt, it shall be agreed between the parties regarding the purpose of such repayment.
[Template for Preparing Receipt]
Receipt
On March 1, 2015, I, the undersigned, confirm that I have duly received KRW 5 million as a part payment of the principal loan in sum of KRW 15 million.
It is hereby agreed that the debtor shall make a one-off payment of the interest in sum of KRW 1.5 million, which has been accrued at the rate of 10% per annum, together with the balance of the principal debt in sum of KRW 10 million.
March 1, 2015
Recipient: Dae-han Kim [SEALED]