Digital-Only Product NH All One e-Account Launched
Replacing Existing Products and Increasing Preferential Interest Rates
Super App 'NH All One Bank' Set for Early Next Year Release
Accelerating Digital Transformation Including User Activation
NH Nonghyup Bank is launching a service that allows customers to receive interest immediately, becoming the first among the five major banks to do so. As internet banks have introduced this service and significantly increased their app (application) user base, this move is seen as a strategy to secure customers ahead of the launch of a super app early next year.
According to the financial sector on the 6th, Nonghyup Bank will launch the "Receive Interest Now" service on its digital-only product, NH All One e-Account, starting from the 28th of this month. Among the five major commercial banks (KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup Bank), Nonghyup Bank is the first to introduce such a service. The "Receive Interest Now" service can be used once a day; by simply pressing a button on banking apps related to Nonghyup Bank, such as NH All One Bank, customers can receive daily interest immediately. Interest is calculated based on the previous day's balance and the applicable interest rate of the account (annual basis) is applied as is.
The bank is also focusing on digital-only products by replacing existing non-face-to-face products with this account and increasing benefits. Starting from the 1st of next month, the existing non-face-to-face exclusive products, Magic Tree Account and e-Preferential Interest Savings, will be replaced by NH All One e-Account and NH All One e-Savings, respectively. NH All One e-Account is a digital-only product launched in May. It can be subscribed to through NH All One Bank, which is scheduled to transition into a super app. While replacing the products, the bank raised the interest rates to benefit customers. The previous Magic Tree Account offered a maximum of 0.9% even with various preferential conditions. However, NH All One e-Account offers up to 2.0% annual interest benefits if preferential conditions (maintaining a monthly average balance of over 1 million KRW and new subscription by first-time customers of the bank) are met. Additionally, the bank added extra preferential services such as waiving fees for internet banking and smart banking transfers to other banks, as well as ATM (Automated Teller Machine) fees.
The "Receive Interest Now" service was first introduced by Toss Bank and has since been adopted by other banks. This service, which provides immediate interest once a day whenever the customer wishes, was first launched by Toss Bank in 2022. K Bank introduced a similar service through Plus Box, and Kakao Bank through Safe Box. Outside of internet banks, Suhyup Bank offers immediate interest payment through its "Sh Daily Receive Account" when customers apply for "Receive Interest" via the app, providing interest up to the previous day immediately.
Through the introduction of this service, Nonghyup Bank is expected to increase the monthly active users (MAU) of NH All One Bank. To receive interest, users must access the app and press a button. If customers frequently enter the app, the frequency of app usage increases, providing more opportunities to explore other app functions, according to industry explanations. In fact, as of last March, over 5 million people used this service at Toss Bank. They received 468.2 billion KRW in interest, with usage frequency reaching 390 million times.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
