One in Three Koreans Uses KakaoBank... Total Customers Surpass 17 Million

[Asia Economy Reporter Kiho Sung] It has been revealed that one in three South Koreans uses KakaoBank. The total number of KakaoBank customers has surpassed 17 million.

According to KakaoBank on the 23rd, as of the end of August, the number of account-opening customers was 15.02 million, and the number of service-using customers was 2.15 million, totaling 17.17 million KakaoBank customers. Since opening on July 27, 2017, KakaoBank had over 1 million accounts opened within just 5 days. It reached 5 million customers in January 2018, six months later, and surpassed 10 million customers in July 2019, its second year, showing continuous customer growth.

This year, the number of customers increased by 1.83 million compared to the end of last year, surpassing 15 million account-opening customers as of August 11. Including service users such as group accounts and credit information, the total number of customers reached 17.17 million by the end of August. Converted to time, one person joined KakaoBank every 8 seconds. Also, 17 million customers represent 33% of South Korea’s population, meaning "one in three" people use KakaoBank.

It is also noteworthy that the customer base is expanding across all age groups. Comparing the proportion of account-opening customers by age between July 2017 and August 2021, the share of customers in their 40s increased from 21% to 24%, and those aged 50 and above grew from 9% to 16%.

For middle-aged and older customers, it is analyzed that more are opening accounts to use recently introduced services such as ▲dormant deposit and insurance money retrieval service ▲securities company stock account service. Approximately 50% of all new account-opening customers from January to August 2021 are aged 40 or older.

KakaoBank’s demand deposit balance reached 1.49 million KRW at the end of August this year, a 134% increase compared to the end of 2017. As of the end of August this year, the amount of account transfers was 31.5 trillion KRW, a 1332% increase compared to the end of 2017.

Financial products and customer benefits for low- to mid-credit customers are also being strengthened. From June to August, the loan supply amount provided to low- to mid-credit customers was about 500 billion KRW, and as of the end of August, the loan balance ratio for low- to mid-credit customers exceeded 12% of all unsecured credit loans. Additionally, low-credit customers with credit scores in the 500s (based on KCB credit scores) have also used KakaoBank’s proprietary credit-based loan products.

A KakaoBank official stated, "Surpassing 17 million customers is a very meaningful achievement as it reflects expansion in both age groups and credit score segments," adding, "We will continue to introduce various products and services based on innovation to support convenient financial life for all citizens."

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