"Same Benefits as Domestic Customers"... KakaoBank Unveils Comprehensive Financial Services for Foreign Customers

Offering accounts, cards, overseas remittances, AI and lifestyle benefits
Open an account in five minutes on mobile
Next year, expand services to include savings accounts, open banking and loan comparisons

"We will provide foreign customers with the same financial benefits as domestic customers."

Bae Jeongho, head of KakaoBank's Foreign Customer Camp, made the remarks on Oct. 12 at a press briefing on foreigner services held at a hotel in Dongdaemun-gu, Seoul. He said the bank would launch comprehensive financial services for foreigners living in Korea.

At the end of last year, about 2.2 million foreigners lived in Korea, a figure that has been growing by more than 10% a year on average. However, when opening an account, they had to submit documents or visit a branch for customer identification (KYC) and verification of overseas tax obligations. In particular, even when using non-face-to-face services, they could not complete the process in the app or found that support for foreign customers was inadequate.

KakaoBank's new comprehensive financial service for foreign customers includes foreigner accounts, Friends debit cards, overseas remittances, multilingual consultations, security features, and lifestyle conveniences.

KakaoBank said it designed the service with account opening procedures, language, and authentication environments in mind to reduce inconveniences for foreign customers. Customers can complete every step, including opening an account, using products, and receiving consultations, on their mobile devices. The service also includes features for issuing documents required for visa extensions and checking balances in familiar currencies.

"We will make financial life in Korea easier and safer by adding features foreign customers need, such as multilingual services, dedicated authentication, and security functions," Bae said.

Foreign nationals aged 19 or older from more than 200 countries and territories around the world, including China and Vietnam, can open an account, the first step in using banking services. The entire account-opening process is optimized for mobile and delivered through a chatbot. If no additional review is required, customers can open an account in about five minutes.

Customers can also submit documents through the app, including certificates of employment, payslips, and certificates of residence. KakaoBank has simplified the process of entering and verifying information such as name, nationality, address, and occupation by introducing a selfie authentication system designed for foreign customers and Public MyData. If verification of overseas tax obligations or an additional review takes time, customers can check its progress in the app.

KakaoBank has also introduced convenient features for foreign customers living in Korea. Certificates of balance and transaction statements required for visa extensions, among other purposes, are easy to find in a separate "Document Issuance" menu. The account screen displays balances in won alongside their real-time equivalents in nine currencies, allowing customers to check their balances in a currency they are familiar with.

KakaoBank also plans to offer its Friends debit card to foreign customers. It will first issue a card for domestic use, with the same cashback benefits available to domestic customers, and plans to launch a Friends debit card that can be used overseas at the end of the year. The bank will also roll out credit card services, including the KakaoBank Chakbut Shinhan Card, a private-label credit card (PLCC) launched in August in partnership with Shinhan Card, as well as a credit card offered in partnership with the bank for individual business owners.

Fees for transfers and ATM deposits and withdrawals will be waived unconditionally, just as they are for domestic customers. Foreign customers can also open a "Group Account" and sign up for "Safe Box," a parking account. Each customer can open up to two foreigner accounts.

KakaoBank will also offer an overseas remittance service that customers can conveniently access through its app. For outgoing remittances, it has partnered with Hanpass to support about 50 currencies across around 200 countries. Customers can send money after signing up for Hanpass through the KakaoBank app. KakaoBank directly provides incoming overseas remittances, with all receiving fees waived unconditionally, just as for domestic customers.

AI translation into English, Chinese, and Vietnamese will be available across all screens, including product sign-up pages and customer inquiry channels. The bank supports one-on-one consultations in English and plans to expand the number of supported languages to seven next year.

KakaoBank has also developed security measures that take into account the characteristics of foreign customers' stay in Korea and their authentication environments. The system includes processes for managing foreign customers' periods of stay, a facial authentication system designed for foreign customers, and unusual transaction detection features, all tailored to these considerations. Like domestic customers, foreign customers can also use AI-powered smishing text detection and identity theft prevention services.

Next year, KakaoBank plans to expand the products and services available to foreign customers by adding savings and installment savings products, open banking, and loan comparison services. In the longer term, it plans to expand its customer base to include foreign visitors to Korea and Korean nationals living overseas, while broadening its services in deposits, lending, and payments.

"We hope KakaoBank will become the new standard for Korean finance for long-term foreign residents who live in Korea to study or work," Bae said. "We will continue to expand our product portfolio and become the financial platform most sought after by foreign customers."

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