KT and BNK Join Forces to Develop Financial Services for the 'Credit Rating Blind Spot' Population

[Asia Economy Reporter Koo Chae-eun] KT has signed a business agreement (MOU) for financial benefit services for customers in the credit rating blind spot together with BNK Busan Bank, BNK Capital, and Korea Credit Bureau (KCB).

According to KT on the 22nd, through this business agreement, KT will jointly conduct partnership marketing with Busan Bank, BNK Capital, and KCB to calculate the expected financial benefits (interest rate reduction, limit increase, re-approval of rejected applicants, etc.) that customers using KT's telecommunication services can receive by utilizing their telecommunication information. This is expected to be especially useful for young entrepreneurs, housewives, freelancers, and other customers who have the ability or willingness to repay loans but face difficulties such as high-interest loans or loan approval rejections due to insufficient financial transaction history.

To use this service, customers need to go through a consent procedure on the KT website and then check their expected financial benefits. Afterwards, customers can receive the additional financial benefits guided with just a simple click through the respective financial institutions. Customers can check or apply for financial benefits without visiting financial institution branches. This service will be officially provided starting from the end of May.

KT plans to use artificial intelligence (AI) algorithms to analyze various telecommunication information such as customers' telecommunication fee information, types and lines of services used, and usage patterns to provide guidance on expected financial benefits such as interest rates or loan limits. Busan Bank and BNK Capital will collaborate to provide additional financial benefits to KT customers based on the telecommunication credit rating analyzed by KT.

Kim Hoon-bae, Executive Director of KT Customer Business Division, said, “We promoted this business partnership so that KT customers, such as young self-employed and freelancers who are struggling due to the spread of COVID-19, can receive financial benefits without worry,” and added, “We will expand the service to small business customers in the future and take the lead in introducing customized services in various financial sectors such as insurance and cards.”

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