Bank App 'Eoreushin Mode' Expanded to Securities, Insurance, and Cards

Name also changed to 'Simple Mode'

The 'Simple (Senior) Mode' service, provided within banking applications for convenient use, is expected to expand to other financial sectors such as securities firms, insurance companies, card companies, savings banks, and credit cooperatives.

On the 5th, the Financial Services Commission held a meeting of the 'Financial App Simple Mode Activation Task Force (TF)' chaired by Kim Jin-hong, Director of the Financial Consumer Bureau, to discuss plans for expanding the recently launched simple mode in the banking sector. Representatives from the Financial Supervisory Service and various financial associations also attended the meeting.

Due to recent IT advancements, over the past three years (2019?2022), the number of mobile banking customers increased by 38.7%, and transaction amounts doubled; however, the usage rate among the elderly remains relatively low. Among actual bank customers, those aged 60 and above accounted for 21.2%, but only 10.3% of mobile banking users were in their 60s.

Accordingly, the authorities established 'Guidelines for Senior-Friendly Mobile Financial App Configuration' to enhance convenience for financially vulnerable groups, and as of the end of June, 18 domestic banks have completed launching senior modes. Among six banks surveyed, 27.4% of senior mode users were in their 60s, 45.2% were in their 40s and 50s, and 25.6% were in their 20s and 30s.

The authorities see the need to expand this senior mode to other financial sectors as well. In securities firms, insurance companies, card companies, savings banks, and credit cooperatives, the proportion of mobile app users aged 60 and above is about half of the proportion of customers aged 60 and above in the overall customer base.

The authorities plan to rename the senior mode as 'Simple Mode' and have selected savings banks and credit cooperatives as the sectors to first introduce it. They will support launching the simple mode within their integrated financial apps by the end of this year and next year, respectively.

These sectors handle similar banking tasks (loans and deposits) as banks and operate integrated financial apps (SB TokTok Plus and Shinhyup ON Bank) at the central association level, making the introduction of simple mode relatively easier. Card companies plan to introduce simple mode next year, while insurance and securities companies will start from 2025.

An official from the authorities stated, "We will form a working TF composed of financial authorities, financial associations, and financial companies to prepare guidelines for introducing simple mode by individual sectors. We will regularly hold meetings to review implementation plans. Additionally, we will listen to financial companies' opinions on any difficulties during the process and share application cases to ensure the successful establishment of simple mode."