KakaoBank Raises Savings and Deposit Interest Rates by up to 0.40%p

[Asia Economy Reporter Hwang Yoon-joo] Internet-only bank KakaoBank is raising its savings and time deposit interest rates.

KakaoBank announced on the 7th that it will apply an increase of up to 0.40 percentage points (p) to the interest rates for new subscriptions starting from the 8th.

The time deposit interest rates will increase by 0.20 to 0.40 percentage points depending on the maturity. For a 1-year maturity, the time deposit rate will be adjusted from 1.50% to 1.80%, and for 2 years, from 1.55% to 1.90%.

For flexible savings, the 6-month maturity product will increase by 0.20 percentage points, and products with maturities of 1 to 3 years will increase by 0.30 percentage points.

The 26-week savings interest rate will be adjusted from 1.50% to 1.70%, an increase of 0.20 percentage points. If customers successfully make consecutive automatic transfers for 26 weeks and receive the preferential interest rate (0.5 percentage points), they can earn up to 2.20% annually.

The 'Safe Box,' which allows money to be managed separately, and the 'Piggy Bank,' which automatically saves up to 100,000 KRW by collecting spare change in the account, will increase by 0.20 percentage points and 0.10 percentage points, respectively.

The Bank of Korea decided on the 25th of last month to raise the base interest rate from 0.75% to 1.00%, an increase of 0.25 percentage points. Following this, commercial banks have announced successive increases in savings and time deposit interest rates.

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