A plan is underway to let residents living in financially underserved areas receive bank loan reviews at nearby post offices.
The Financial Services Commission on the 9th held the "6th inclusive finance grand transition meeting and regional finance roundtable" at the Jeonbuk Regional Office of SMEs and Startups, chaired by Lee Eog-weon, and stated accordingly.
At the roundtable, Korea Post announced an operational plan for a pilot bank agency service to improve financial access for the digitally vulnerable and residents in financially underserved areas. Under the plan, when consumers apply for a loan at a post office, the bank reviews the application and provides information on interest rates and limits, and consumers compare the screening results from each bank to choose the most suitable product, then sign the loan agreement at the post office. The bank then gives final approval and disburses the funds, and even after the loan is executed, consumers can receive counseling and make inquiries at the post office.
Korea Post and the four major banks have also built infrastructure to run the pilot. Twenty pilot post offices will operate hotlines with nearby bank branches to handle inquiries and complaints, and during the first one to two weeks of operation, bank-dispatched staff will be assigned. The offerings are personal unsecured loans from KB Kookmin Bank, Shinhan Bank, Woori Bank, and Hana Bank, and SaeHopeHolssi, a policy finance product for low-income people. The pilot phase will start with unsecured loans and later expand the lineup. In addition, each bank will offer an average preferential rate of 0.2 percentage points, and Shinhan Bank will waive early repayment fees on personal unsecured loans.
The pilot will run at 20 general post offices nationwide, including Goseong, Changnyeong, and Hadong (South Gyeongsang); Cheongyang, Taean, Danyang, and Goesan (Chungcheong); Gurye, Damyang, Yeonggwang, and Hampyeong (South Jeolla); Bonghwa, Cheongdo, and Seongju (North Gyeongsang); Imsil, Sunchang, and Gochang (North Jeolla); and Pyeongchang, Hwacheon, and Hoengseong (Gangwon). The Financial Services Commission (FSC) said the pilot will begin on the 20th and is expected to improve financial access for digitally vulnerable groups, such as older adults in areas without bank branches. It also plans to expand the range of bank agency products and operations.
KakaoBank announced an operational plan for joint loans for small and midsize companies and sole proprietors between a regional bank and an internet-only bank that it is pursuing with Busan Bank. Under the joint loan, applications are received through the internet bank's app, the regional bank and the internet bank jointly review them based on their assessments, and the two share the funds to execute the loan.
When consumers apply for a loan through the internet bank's app, the two banks jointly review the application based on business and credit information, interviews with representatives, and non-quantitative factors such as on-site due diligence, then decide the interest rate and limit. Once approved, the two banks split the funds by a set ratio to execute the loan. The Financial Services Commission (FSC) will review this month whether to designate it as an innovative financial service and, after IT development, support the launch of a joint loan product by 2027.
The insurance sector will invest more than 5 billion won to provide free accident insurance and healthcare services to vulnerable older adults, including those living alone. For recipients of customized elderly care services, it will cover treatment and recovery costs for fall-related injuries such as sprains and fractures, and also provide healthcare services such as health consultations and medication guidance. The program will be operated through the Senior Welfare Support Center, which has a nationwide network. It will also expand coverage for megatrend-related products, including dementia liability insurance in response to aging, children's insurance related to low birthrates, climate insurance against heat waves, heavy rain, and cold waves, and compensation insurance for electronic financial fraud such as voice phishing.
It will also strengthen links with policy finance for low-income people. It plans to support the recovery of vulnerable groups by providing mutual growth insurance to users of integrated finance-employment-welfare support. Previously, preferential interest rates and reduced guarantee fees were offered only to users of credit life insurance in local governments that had signed business agreements, but going forward, it will select beneficiaries from among nationwide integrated support recipients and provide free mutual growth insurance.
The Financial Services Commission (FSC) will sequentially sign business agreements with local governments, public institutions, and policy finance institutions starting in the third quarter of this year, and plans to launch revamped insurance products in the first quarter of 2027.