The number of individual business owners using KakaoBank's banking services has reached 1.7 million, and its weekly active user metric has surpassed 1 million. The bank plans to expand its corporate lending sector by launching loan refinancing products and loans targeted at small and medium-sized enterprises (SMEs).
According to KakaoBank on Monday, the number of individual business owners using its banking services totaled 1.7 million as of the end of October. This marks an achievement four years after the launch of its individual business owner banking service in November 2022.
As of the end of October last month, the monthly active users (MAU) exceeded 1.2 million, and weekly active users (WAU) surpassed 1 million. This means the platform has grown into one used by more than 1 million business owners every week, following its achievement of reaching 1 million MAU within three years of launch.
Over the past four years, KakaoBank has expanded its product lineup to include credit loans, guarantee letter loans, interest-subsidized guarantee letter loans, and real estate collateral loans, supplying a cumulative total of 7 trillion won in funds to individual business owners.
The bank has also continuously reduced interest burdens. The individual business owner real estate collateral loan launched in October last year provided funds at an average annual interest rate of 3.74% since its release, with usage available up to a maximum of 1 billion won. Current loan interest rates range from a minimum of 3.04% to 7.89% annually.
In addition to loans, the bank has supported services that aid in business operations, such as tax management, verification of policy funds and government subsidies, and business consulting. It introduced features including 'My Business,' 'Business Owner Certificate,' 'Boss Loan Refinancing,' 'VAT Box,' 'Policy Fund Loan Finder,' 'Government Subsidy Finder,' and 'Small Business Consulting.'
This month, it will launch a refinancing product that allows individual business owners to switch loans from other financial institutions to KakaoBank's real estate collateral loans. The bank also plans to launch joint loans with Busan Bank targeted at SMEs next year.
KakaoBank said, "We started four years ago with the goal of becoming the financial platform used by the largest number of individual business owners, and have grown into a platform chosen by 1.7 million business owners and visited by more than 1 million people every week." The bank added, "Going forward, we will continue to expand services that reduce the financial burden on individual business owners and provide practical assistance in running their businesses."
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