'4th-Party Banking Challenge' KCD Bank Officially Renamed as Korea Soho Bank

Conveying the Meaning of Small Business Specialization through Soho (Small Office Home Office)

Korea Credit Data (KCD) announced on the 10th that the internet bank consortium it is promoting has been officially named the ‘Korea Soho Bank Consortium.’

The term "Soho" in Korea Soho Bank stands for Small Office Home Office (SOHO), referring to small-scale business types. The consortium explained that it reflects the meaning of an internet bank centered on small business owners.

On the same day, the website was also launched. The consortium emphasized its goal as "the first bank for small business owners." It introduced the financial services it aims to provide. The consortium plans to implement credit evaluations focused on the business capabilities of entrepreneurs. It intends to move away from traditional credit evaluations centered on individual credit scores. Based on multifaceted information such as business sales, cash flow, proportion of regular customers, and competitiveness within the region, it will offer credit evaluations and financial services tailored to the industry and the business lifecycle. New innovative financial services will be unveiled through the website.

As of September, Woori Bank, Woori Card, and ITCEN have expressed their intention to participate in the Korea Soho Bank Consortium. Discussions with multiple financial and IT companies regarding consortium participation are ongoing, and new participating companies will be announced sequentially.

Kim Dong-ho, CEO of Korea Credit Data, stated, “The goal of the Korea Soho Bank Consortium is to be the first bank for small business owners.” He added, “Together with the consortium members, we will provide fair credit evaluations based on business capabilities to neighborhood store owners in Korea who have not been properly evaluated despite running their businesses well, and based on this, we will implement financial services that help the growth of local stores.”

Korea Credit Data (KCD) announced on the 10th that the internet bank consortium it is promoting has been officially named the "Korea Soho Bank Consortium."
[Photo by Korea Credit Data]