South Korea (KR)

Jeonse is a uniquely Korean rental system where tenants pay a large lump-sum deposit (typically 50–90% of the property value) in lieu of monthly rent, and receive it back at the end of the lease. Fraudulent landlords — including so-called "housing kings" who accumulated hundreds of units on borrowed money — take jeonse deposits they cannot return. Over 30,000 jeonse fraud victims have been officially identified in South Korea as of 2025, with a 7-year prison sentence upheld by the Supreme Court in a landmark 2025 case. Foreigners are particularly vulnerable because the system is unfamiliar and registry checks may be done in Korean only.

Voice phishing is South Korea's most damaging scam category. Callers impersonate prosecutors, police officers, the Financial Supervisory Service (FSS), or the Korea Federation of Banks. They claim the victim's account is involved in a money-laundering investigation and demand the transfer of all funds to a "safe government account" for "protection." In 2025, South Korea indicted 4,580 telecommunications fraud suspects in four months alone. Organised rings based in Southeast Asia — particularly Cambodia — have been specifically documented operating these scams against Korean residents.

Foreigners are invited into group chats on Telegram or KakaoTalk by strangers, sometimes after a chance encounter or via LinkedIn. The group is run by a fake "investment expert" who demonstrates consistent gains from stock picks or cryptocurrency trades. Victims are pressured to deposit funds into a linked app or platform. Initial small withdrawals are allowed to build trust, but larger withdrawals trigger invented "tax" or "fee" demands, and eventually all contact ceases. In December 2025, South Korea declared all crypto trading through unregistered Telegram channels illegal. The FSS has specifically restricted unlicensed investment consulting via KakaoTalk and Telegram.

Scammers post stolen photos of real apartments or officetels on Naver Land, Zigbang, or Facebook, advertising them at attractive below-market prices. They request a deposit (보증금) transfer before the viewing, claiming high demand or overseas absence. Fake real-estate agent licence numbers are sometimes provided. Once the deposit is transferred, all contact ceases. This is distinct from jeonse fraud — it is an outright theft rather than a contractual system failure.

Scammers target foreigners seeking E-7 (specialist employment), E-2 (English teacher), or other Korean work visas. They charge upfront "brokerage fees" of KRW 500,000–5,000,000 for job placements that either do not exist or do not match the visa category promised. Some fraudsters retain the victim's passport "for processing." Illegal retention of passports is a criminal offence in South Korea.

Relationship-based fraud is operating at industrial scale out of Southeast Asian scam compounds, with Korean-speaking operators specifically targeting residents in South Korea. A new contact — often introduced on a dating app or social media — builds a relationship over weeks or months, then introduces a profitable investment opportunity. Early small withdrawals build trust. The victim is eventually convinced to invest large sums, after which the platform becomes inaccessible and all contact ceases. These operations are sometimes run using trafficked workers forced to perform the fraud.