| The logo of the Korea Federation of Savings Banks |
A coalition of savings banks in Korea will launch a unified online banking platform in September to improve customer service, an industry official said Wednesday.
The move is part of efforts to facilitate a long-term image makeover and boost customer loyalty amid fast-declining profitability compounded by the protracted economic slowdown.
According to the Korea Federation of Savings Banks (KFSB) representing 79 banks, the platform will provide frequently sought-after banking services, including seeking and canceling loans and requests on loan-rate cuts. Payment and cash wiring services also will be included.
The upgrade of the previous platform reflects criticism that its limited services hindered the banks from becoming digitally savvy financial services entities.
More money has been allocated to strengthen the digital service, including software development, with a final review underway to remove technical glitches.
“The earlier platform launched in 2016 had many shortcomings, which we acknowledge required a major overhaul,” a KFSB official said.
“Major improvements will be in order that could help the user experience ― a step closer for us to become a customer-oriented financial service provider amid a steady increase in non-face-to-face transactions
The upgraded version will offer an around-the-clock one-stop service without installing additional mobile applications.
This is a major improvement because most of the apps individual savings banks introduced were not interchangeably usable, which posed big problems for customers who had to open and close various apps several times to process a simple request.
“We plan to launch the service as early as the first week of September but the date could be delayed, depending on how much time is needed to solve the glitches,” the official said. “We expect the new platform will help enhance customer satisfaction.”