Kakao Pay Money Surpasses 2 Trillion Won in Prepaid Balance for the First Time

Leading the Cashless Era with Convenience and Benefits

The balance of Kakao Pay Money, the prepaid balance service of Kakao Pay, has surpassed 2 trillion won for the first time.

According to industry sources on November 25, the Kakao Pay Money balance stood at 2.0961 trillion won as of the third quarter of this year.

The company explained that this achievement is the result of the “mobile-based convenience” that allows users to make payments, transfers, and investments instantly with just a smartphone, combined with practical benefits such as points earned with every payment, income tax deductions equivalent to cash, and up to 5% annual interest when linked to a securities account. In fact, Kakao Pay Money accounted for 60.8% of Kakao Pay’s total payment volume in the third quarter.

Kakao Pay Money is a prepaid balance that users can top up by linking their bank account to Kakao Pay. Users can enjoy various benefits such as point accumulation and interest from linked securities accounts. When making a payment of at least 1,000 won at a Kakao Pay merchant with Kakao Pay Money, users receive Kakao Pay Points as a reward. In addition to the basic point accumulation, there is also a bonus draw that randomly grants additional Kakao Pay Points.

Another key advantage of Kakao Pay Money is that it offers income tax deductions equivalent to cash. Users can freely top up any amount from 10,000 won up to their limit, while minors can top up from as little as 1 won. There is also a scheduled top-up feature that allows users to specify a date for automatic charging. If the balance is insufficient, the service can automatically top up from the user’s designated main financial account, adding further convenience.

Since 2020, Kakao Pay has expanded the benefits of Kakao Pay Money by linking it with the comprehensive account service of its subsidiary, Kakao Pay Securities, aiming to broaden users’ access to financial services. While the original Kakao Pay Money focused on basic services such as payments and transfers, its integration with a variety of financial products offered by Kakao Pay Securities-including stocks, funds, and pensions-has greatly enhanced user convenience.

By opening a comprehensive account with Kakao Pay Securities, users can receive up to 5% annual interest. When Kakao Pay Money is topped up, it is automatically transferred and deposited into the comprehensive securities account. Unlike traditional financial products, users can freely deposit and withdraw funds and still receive up to 5% annual deposit interest from Kakao Pay Securities on their average balance. Since the funds are deposited in a securities account, users are not subject to the 2 million won limit that applies to prepaid balances and can hold unlimited amounts, with deposit protection of up to 100 million won per person.

After opening a securities account, topping up Kakao Pay Money results in automatic transfer to the securities account, allowing users to immediately use the funds for stock trading, funds, or pension savings. A company representative emphasized, “While prepaid balances are generally thought to be used only for payments, Kakao Pay has expanded the utility of Kakao Pay Money by connecting it to a variety of financial services such as payments, transfers, and investments.”

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