"Bridging the Digital Divide" Banking Sector Enhances Convenience for Senior Customers

Mobile Banking App Revamped to Suit Senior Customer Characteristics
Active Promotion of Senior-Specific Products and Educational Activities

[Asia Economy Reporter Jin-ho Kim] Self-employed Park Kyung-sook (67, pseudonym) has recently become deeply engrossed in using mobile banking. Through mobile banking, she signed up for a savings account offering preferential interest rates and sent pocket money to her grandson with just a few taps. After insisting on using only telebanking for over 20 years, Park started using mobile banking thanks to an application (app) screen specialized for senior customers. The large font and the collection of frequently used functions allowed her to use mobile banking, which had previously felt difficult.

Major commercial banks have rolled up their sleeves to reduce the ‘financial exclusion’ phenomenon among senior customers caused by rapid digitalization. This is interpreted as part of efforts to minimize the ‘digital divide’ existing between younger and older generations.

According to the financial sector on the 3rd, Woori Bank revamped the main screen of its mobile banking app, Woori Won Banking, this month, considering the characteristics of senior customers. First, the existing main screen was judged to be difficult for senior customers to use due to scattered functions, so the screen layout was simplified as much as possible. Only the most frequently used functions by senior customers, such as account inquiry and instant transfer, were placed prominently. Additionally, an important financial schedule notification feature was provided to improve accessibility for senior customers struggling with mobile banking.

Other banks are also devising various measures to enhance convenience for senior customers. Busan Bank is conducting a ‘Mobile Experience in Daily Life Campaign’ for senior customers aged 65 and older in preparation for the ‘With Corona’ era. They provide booklets guiding senior customers visiting branches on how to easily use mobile banking for card loss and reissuance, various utility bill payments, and more.

Gwangju Bank launched a senior customer-specialized product called the ‘Burning Youth Veteran Card.’ It features benefits that help middle-aged and older customers save on medical expenses at hospitals, pharmacies, and other places with high demand.

Internet-only banks without branches are also operating support measures for senior customers. Kakao Bank runs a dedicated call center exclusively for senior customers aged 65 and above. Considering special situations such as inheritance, they have also set up a face-to-face counter at the customer center located in Seoul Station.

The banking sector’s provision of various products and services to enhance convenience for senior customers is analyzed as a measure considering concerns that these customers might be pushed into blind spots amid the acceleration of digital finance. Senior customers unfamiliar with digital environments are increasingly excluded from so-called financial benefits such as special promotions on deposits and savings through mobile banking. According to data from the Financial Supervisory Service, the ratio of non-face-to-face subscription to deposits and savings at the five major commercial banks is 86.7% for those in their 30s, but only 19.1% for those aged 60 and above.

A financial sector official said, "With rapid digitalization, branch closures are also progressing quickly, making various protection measures for senior customers urgently needed," adding, "For this, the banking sector needs to take a more active role in developing senior-exclusive apps and financial products."

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