‘Strengthening Recruitment and Training of Professionals’... Banks Emphasize Financial Consumer Protection in Daily Operations

From In-Branch Training to Specialized Talent Development Programs for Financial Consumer Protection
Raising Awareness Among Staff by Reflecting Consumer Protection in KPIs

The banking sector is not only establishing new boards of directors and headquarters departments related to financial consumer protection, but is also focusing on developing the professional competencies of frontline employees directly responsible for daily operations. This is seen as a measure to align with the financial authorities' policy of strengthening consumer protection, as well as to proactively prevent financial incidents and minimize potential customer damage.

According to the banking sector on March 19, major commercial banks have recently strengthened financial consumer protection training and launched new programs to foster professional personnel. This move follows last September’s announcement of the “Best Practices for Financial Consumer Protection Governance” by the Financial Supervisory Service, under which financial holding companies resolved to establish a Financial Consumer Protection Committee within their boards of directors, and major affiliates such as banks elevated their consumer protection departments to group-level entities.

Sketch of commercial bank ATM. Photo by Hyunmin Kim kimhyun81@

Woori Bank recently held interviews until the previous day for applicants to its pre-training program for practical staff in the newly established Financial Consumer Protection Group, which was launched in January. The recruitment targeted branch employees at or below manager level nationwide who had completed the Job Academy (basic job training) and held essential business certifications. The focus on employees with relatively fewer years of service aims to foster talent over the long term. Those finally selected will work in the headquarters’ Financial Consumer Protection Group for up to five years after completing a set training period. Woori Bank’s Financial Consumer Protection Group consists of the Consumer Protection Department, which is responsible for planning, internal control, and review of non-deposit products; the Dispute and Complaint Mediation Department, which handles complaint prevention and dispute responses; and the recently established Financial Fraud Prevention Department.

NH Nonghyup Bank plans to expand the “NH Internal Control Specialist” system, introduced in August last year, to strengthen consumer protection and financial incident prevention capabilities. Last year, employees who studied and were evaluated on subjects such as financial incident prevention, regulatory compliance, and financial ethics over eight weeks were granted a Level 3 Specialist qualification. This year, the bank intends to raise the bar to Level 2, and to Level 1 next year, further enhancing the curriculum and expertise. In addition, in collaboration with the Financial Training Institute, the bank is offering a “Financial Consumer Protection Counselor” qualification course for employees who pass subjects such as the Financial Consumer Protection Act and financial dispute mediation.

Hana Bank has also established internal regulations to ensure the professionalism and continuity of work for staff in its consumer protection departments. In addition, the bank is fostering professional talent by designating a financial consumer protection officer at each branch and headquarters department and providing regular consumer protection training. KB Kookmin Bank also established a Financial Fraud Prevention Unit within its Consumer Protection Group at the beginning of this year and is developing response and prevention policies related to financial fraud. Since 2022, Kookmin Bank has been collaborating with the National Police Agency to provide all employees with training on financial consumer protection, including voice phishing prevention.

Some banks have decided to include financial consumer protection in their performance-based compensation systems (KPIs) as well. The goal is to elevate awareness of the field, which was previously considered non-mainstream within banks, and to consistently secure relevant talent. An industry official explained, "The policy to strengthen financial consumer protection is an unstoppable trend, and as the atmosphere changes, employee interest and demand for expertise in this area are also on the rise."

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