KakaoBank Offers Up to 0.5%p Additional Interest Rate for 26-Week Savings Plan

Reorganizing Additional Services in Free Savings into a Single Product to Enhance Subscription Convenience
0.20%p Annual Preferential Interest Rate Applied Upon Successful 7-Week Automatic Transfer Payment
Additional 0.30%p Annual Preferential Interest Rate for Achieving 26-Week Automatic Transfer Maturity... Maximum Interest Rate of 1.60% per Year

[Asia Economy Reporter Kiho Sung] KakaoBank announced on the 19th that it has separated the ‘KakaoBank 26-Week Savings’ account, which has accumulated about 8 million accounts, from the free savings account into a separate product and strengthened the interest rate benefits.

With this reorganization, the convenience of subscription was improved so that users can directly sign up for the '26-Week Savings' product on the KakaoBank application (app) deposit and savings product screen.

The preferential interest rate benefits according to the automatic transfer period were also strengthened from the existing 0.20%p per year to a maximum of 0.50%p per year. If the savings payment is successfully made through automatic transfer for 7 weeks after account opening, a basic interest rate of 1.10% per year and a preferential interest rate of 0.20%p per year are given, and if continued for 26 weeks, an additional 0.30%p per year is provided. The maximum interest rate of the 26-Week Savings is 1.60% per year. The new preferential interest rate benefits apply from new subscriptions as of this day.

The strengthening of interest rate preferential benefits is intended to provide the joy of saving and motivation for success in addition to the Kakao Friends characters that increase when savings payments are successfully made every week.

KakaoBank’s ‘26-Week Savings’ is designed as a service to help form saving habits through the fun of saving and the sense of achievement at maturity. Since its launch in June 2018, it has established itself as a representative deposit product of KakaoBank. As of the end of last month, the cumulative number of accounts opened exceeded 7.9 million.

Since last year, KakaoBank has also introduced ‘Partner Savings’ connecting external partners through the ‘26-Week Savings’. It is designed to allow users to enjoy consumption benefits while saving by providing discount coupons and limited edition goods. ‘26-Week Savings with Emart’ with Emart has about 560,000 account holders, and ‘26-Week Savings with Market Kurly’ has about 240,000 account holders. Partner Savings, which opened the beginning of banking commerce, has established itself as a case of win-win cooperation between finance and commerce.

A KakaoBank official said, “We have made this reorganization to support customers’ challenges and successes.” He added, “We plan to strengthen product competitiveness through expanding ‘Partner Savings’ in the future.”