(image: Korea Bizwire)
SEOUL, Oct. 21 (Korea Bizwire) — South Koreans are flocking to savings banks after they raised interest rates for deposits and installment savings.
Since Wednesday, the Korea Federation of Savings Banks (KSFB) website and a number of savings bank apps, including OK Savings Bank Co. that uses the KSFB servers, have been shut down due to a traffic overload.
The KSFB believes the increase in traffic can be attributed to a number of savings banks raising their interest rates to 6 percent the day before.
Sangsangin Savings Bank Co. and Sangsangin Plus Savings Bank Co. raised their deposit interest rates to 6 percent. The very next day, Daol Savings Bank raised its deposit interest rate to 6.45 percent per year.
Daol Savings Bank Co. raised its deposit interest to 5.2 percent last week, before making another raise a week later.
Its offices were packed with customers willing to open up a savings account, with some lining up even before working hours.
Ashley Song (ashley@koreabizwire.com)
