Establishing a New 'Consumer Protection Value System' Aligned with Global Standards
Prioritizing Consumer Protection from Product Planning to Sales and After-Sales Management
Restructuring KPIs to Focus on Consumer Interests Rather Than Short-Term Results
KB Financial Group has established a new 'consumer protection value system' and is shifting toward 'consumer-centric finance' as emphasized by the government. The company will prioritize consumer protection as the top standard in all processes, from product planning to sales and after-sales management, and will restructure its key performance indicators (KPIs) to focus on consumer interests rather than short-term results.
On September 21, KB Financial Group announced, "In order to build a consumer protection framework that meets global standards, we proactively assessed the group's current status and analyzed advanced overseas cases to establish our consumer protection value system."
KB Financial Group's consumer protection value system is designed based on the UK Financial Conduct Authority (FCA)'s 'Consumer Duty,' reflecting KB Financial Group's customer-centric management philosophy and on-the-ground experience. The 'Consumer Duty,' implemented by the UK FCA since 2023, is regarded as a case that shifted consumer protection in financial institutions from a regulation-centered approach to actual protection.
The value system is based on the principle of 'finance that prioritizes the rights and interests of consumers,' and is built around three core values: ▲ the rights and interests of consumers ▲ responsibility toward consumers ▲ trust given to consumers.
Specifically, KB Financial Group will establish a management process for financial products and services that prioritizes consumer protection at every stage, including product discovery, planning, sales, and after-sales management. The company will revise internal regulations to strengthen consumer protection for high-risk products, such as by adding post-sale monitoring items for investment products and tightening sales limit management standards. KPI design will also be operated to prioritize consumer interests over short-term results.
To ensure that consumer voices are continuously reflected, KB Financial Group will expand the eligibility for dedicated service counters for financially vulnerable groups. In addition, the company will strengthen its comprehensive response system to prevent financial fraud. This includes ▲ developing AI-based damage analysis models ▲ upgrading the Voice Phishing Monitoring System (VMS) and Fraud Detection System (FDS) ▲ establishing an integrated response system with external organizations ▲ conducting voice phishing awareness campaigns and education for customers. The company also plans to improve the process for sharing responsibility in non-face-to-face financial incidents.
A KB Financial Group representative stated, "We have been considering fundamental changes in finance to strengthen consumer protection, and the resulting value system is significant in that it aligns with the era's trend toward consumer-centricity. KB Financial Group will spread the consumer protection value system across all affiliates to provide tangible benefits and trust to consumers, and will continuously improve its systems and culture." KB Financial Group plans to expand this initiative to all its affiliates.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
