"Switching from Stocks to Savings?"... Up to 19.4% Annual Interest Rate Offered from June 22

Youth Future Savings to Launch on June 22
Base Rate of 5% Plus Up to 3% Preferential Rate
Government Matching Contributions Provided
For Ages 19 to 34, Monthly Deposits Up to 500,000 Won

To support asset formation among young people, those who subscribe to the Youth Future Savings account, which is set to launch on June 22, will be eligible for interest rate benefits of up to 19.4% per annum.

To support asset formation among young adults, those who subscribe to the Youth Future Savings Account launching on the 22nd of next month will be able to receive interest rate benefits of up to 19.4% annually. Getty Images

According to the Financial Services Commission on May 29, the participating institutions for the Youth Future Savings account disclosed the details of preferential interest rates and the overall interest rate levels for each institution on the Korea Federation of Banks' consumer portal on the same day.

The Youth Future Savings account is a three-year fixed-rate product, offering a base interest rate of 5%, with an additional preferential interest rate of up to 2–3 percentage points depending on the institution, resulting in a maximum annual interest rate of about 7–8%.

By institution, Nonghyup Bank, Shinhan Bank, Woori Bank, Hana Bank, IBK Industrial Bank of Korea, KB Kookmin Bank, and Korea Post will offer a 3% preferential interest rate, while Suhyup Bank, iM Bank, Busan Bank, Gwangju Bank, Jeonbuk Bank, Kyongnam Bank, and KakaoBank will offer a 2% preferential interest rate.

The preferential interest rate for each institution will vary depending on financial transaction performance and usage conditions, such as salary transfers, card usage, and automatic transfers.

Lee Okwon, Chairman of the Financial Services Commission, attended the "First Start Filling the Future, Youth Future Savings Unboxing Talk Concert" held on May 14 at the Seoul Exclusive Training Center of the Small Enterprise and Market Service in Jongno-gu, Seoul, and gave a greeting. 2026.05.14 Photo by Dongju Yoon

According to the Financial Services Commission, when considering the government’s matching contributions and interest income tax exemption in addition to the bank interest rates, the actual effect of subscribing to the Youth Future Savings account is similar to subscribing to a simple savings product with an annual simple interest rate of up to 13.2–14.4% for the standard plan, and up to 18.2–19.4% for the preferential plan.

The Youth Future Savings account is a policy finance product available to young people aged 19 to 34, allowing for flexible monthly deposits of up to 500,000 won, with the government providing matching contributions of up to 12% of the deposited amount.

Fourteen institutions will launch the Youth Future Savings account on June 22. Toss Bank is scheduled to release the product in December due to its system development timeline.

The application period for subscriptions will run for two weeks from the launch date until July 3. During the first five business days, applications can be submitted in a five-day rotation based on birth year, and during the following five business days, applications can be submitted regardless of birth year.

For more detailed information about the Youth Future Savings account, inquiries can be made to the Youth Finance Call Center at the Korea Inclusive Finance Agency.

This content was produced with the assistance of AI translation services.