Buying Coffee for 500 Won with Gifticon Leads to 'Saving Beggar'... MZ Generation's KakaoTalk 'Geojibang' Craze

Saving Tips Shared in KakaoTalk Open Chat Room
"Prices Are Too High... Want to Save Money"
MZ Squeezes Belt Tight After 'Debt Investment' Aftermath

Sharing an anecdote about buying a cup of coffee for 500 won using saved gifticons. Proudly reporting having substituted lunch with bread distributed at university. This is the story of the 'Geojibang' that has recently become a hot topic among netizens.

Geojibang is a type of KakaoTalk open chat room. Netizens who have decided to 'live like beggars for a while' gather to share money-saving tips and encourage each other to save. The 'bittersweet' experiences shared here have gained cult popularity among the MZ generation.

There are also observations that the popularity of Geojibang is closely related to the current domestic economic situation. The sharp rise in living costs and steep interest rate hikes have become the harshest trials for the 2030 generation, who are suffering from the aftereffects of 'debt investment' and 'all-in investment'.

Money-Saving Open Chat Room 'Geojibang'

A sticker was attached to the drink glass to make it look like 'Bubble Tea.' [Image source=Online community capture]

Since early this month, Geojibang has become a hot topic across various online communities and social networking services (SNS). Most Geojibang rooms are created as KakaoTalk open chat rooms, sharing the room title 'Geojibang'.

Netizens gathered here share their cumulative weekly expenditures and ignite stronger determination to save. They scold those who overspend by tens of thousands of won, and impose penalties such as writing reflection letters on those with the highest spending. Various tips for saving living expenses are also shared.

Geojibang is especially popular among the MZ generation. Nowadays, it can easily be found even in open chats themed around idols, movies, and dramas.

"I Don’t Mind Not Earning Much, But I Want to Avoid Debt" - Anxious MZ Generation

'Geojibang' chat content. [Image source=KakaoTalk]

So why have the MZ generation become so engrossed in Geojibang? Yoomo (29), an office worker who started a Geojibang with friends, said, "It was hard to control my spending alone, but sharing information with people I know motivates me and makes me feel less lonely."

Just a few months ago, Yoomo spent large amounts without hesitation, but recently felt anxiety about the future and decided to save even small amounts. He also subscribed to a savings plan depositing about 500,000 to 700,000 won monthly. However, since he was used to spending his entire salary, saving was not an easy task. Yoomo said, "My friends are in similar situations, but sharing our struggles helps ease the 'pain of saving'."

Other 2030 generation office workers feel similarly. A (30) said, "With prices rising so much, I can see my money shrinking. I thought if I don’t save even on coffee or cigarettes, it would be a big problem, so I decided to tighten my belt." B (32) said, "With loan interest rates continuously rising, I can’t keep juggling payments with credit cards. Even if I don’t earn a lot, I want to avoid going into debt."

Aftereffects of Debt Investment... 2030 Generation Hit Hard by Economic Downturn

Geojibang is especially popular among the MZ generation. [Image source=KakaoTalk]

There are claims that the 'Geojibang craze' among the MZ generation is linked to the current domestic economic situation. The shocks from economic downturn, soaring prices, and interest rate hikes have hit the younger generation the hardest.

Just a few years ago, terms like 'FIRE tribe' and 'YOLO' were popular among the MZ generation. Social phenomena such as 'open runs' to buy luxury clothing, branded sneakers, and limited-edition alcohol also emerged.

The MZ generation was also the most active in cryptocurrency investment and the 'Donghak Ant Movement'. According to data released by the cryptocurrency exchange 'Bithumb' in May 2021, the 2030 generation accounted for nearly 62.4% of all investors at that time.

High loan interest rates pose a greater burden on the MZ generation, who have high debt ratios.
[Image source=Yonhap News]

New slang terms referring to high-risk investment methods also became popular. 'Debt investment' (debt-fueled investment) and 'all-in investment' (investing everything, even one’s soul) are representative examples. However, as the macroeconomic situation worsened and investment sentiment cooled, the MZ generation was the first to suffer.

According to a report titled 'Asset Status and Response Measures for the Future Life of Youth' released by the Korea Institute for Health and Social Affairs on the 27th of last month, a significant number of young household heads in their 20s and 30s have debts at risky levels.

The report states that as of 2021, 21.7% of young household heads aged 19 to 39 had a debt-to-income ratio (DTI) of 300% or higher, which is considered a 'risk' indicator. In other words, about 2 out of 10 household heads in their 20s and 30s have debts more than three times their income. The speed at which debt is increasing is also steep. In 2012, only 8.37% of young households were in the DTI risk category. This figure has surged 2.6 times in just 10 years.