"Bank Doors Open Until 7 PM"... Increasing Number of Branches Operating 3 Hours Longer

Expanding Flexible Branch Hours in the Banking Sector

[Image source=Yonhap News]

[Asia Economy Reporter Park Sun-mi] Financial consumers will be able to conduct financial transactions in the evening at more bank branches next year. As the number of bank branches is being reduced, making it difficult for consumers to visit nearby branches, the expansion of branches with flexible operating hours is expected to help alleviate the inconvenience for consumers who are not familiar with non-face-to-face services.

According to the banking sector on the 30th, KB Kookmin Bank plans to expand branches with specialized operating hours next year. They are preparing to expand the operation of ‘9TO7 Bank,’ which extends operating hours by 3 hours compared to regular branches that open at 9 a.m. and close at 4 p.m., and ‘After Bank,’ which adjusts opening and closing times 1 to 2 hours later. Currently, the selection of branches and staff for the expansion of branches with specialized operating hours is underway, and the number of additional branches to be expanded will be decided by mid-January next year.

Kookmin Bank introduced branches with specialized operating hours in December 2017 to accommodate the convenience of office workers, dual-income couples, and business owners, and currently operates 20 ‘9TO7 Bank’ branches and 23 ‘After Bank’ branches. These branches extend opening hours or operate flexibly to meet the diverse needs of customers in different regions, such as office workers who find it difficult to visit branches during banking hours or can only visit during lunch breaks.

The expansion of branches with specialized operating hours reflects the management philosophy of KB Financial Group Chairman Yoon Jong-kyu, who aims to provide financial services without inconvenience to even a single customer. It is also known that Lee Jae-geun, the next president of Kookmin Bank, is actively promoting the expansion of specialized branches next year. A Kookmin Bank official explained, "The expansion of branches with specialized operating hours next year is to enhance customer satisfaction through increased customer contact points and to strengthen the competitiveness of face-to-face channels."

Shinhan Bank, which recently faced difficulties over the closure of its Wolgye-dong branch, has also prepared a desperate measure to alleviate consumer inconvenience. They plan to expand the operation of digital desks within digital lounges (unmanned branches) where financial services can be provided through video connections with bank staff from 9 a.m. to 5 p.m. Currently, 29 digital desks are in operation. Shinhan Bank plans to install about 60 more by the end of the first quarter next year.

This means that even after branch operating hours end, consumers will be able to receive financial services by connecting with staff through digital desks. Separately, the expansion of video consultation services using convenience store branches is also underway. Video consultations for banking services in convenience stores are available from 9 a.m. to 8 p.m. on weekdays, extending 4 hours beyond regular branch operating hours. This is to support local residents who visit convenience stores after work to receive consultations at their leisure. A Shinhan Bank official said, "We are not only increasing the number of digital desks but also considering flexible operation of digital desks for customers who want to conduct business early in the morning or late at night through employees who have needs for flexible working hours."

The banking sector cannot help but consider expanding branches with specialized operating hours to increase customer contact points amid the reduction of branches due to digital transformation and the expansion of non-face-to-face services. However, since the expansion of branches with specialized operating hours is also linked to flexible working hours for employees, it requires consultation with bank labor unions, and efficient labor-management coordination must be supported.

An official from a bank explained, "Previously, commercial banks operated specialized branches limited to airports, courts, hospitals, and branches for foreigners," adding, "Since there is a need to expand customer contact points to survive competition with big tech companies, flexible operation of business hours is inevitable."

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