Unused Travel Funds Can Now Be Invested Abroad Under New Financial Innovation Program (Image courtesy of Yonhap)
SEOUL, Nov. 6 (Korea Bizwire) — South Korea’s top financial regulator has approved a new service that lets travelers invest leftover foreign currency from prepaid cards into overseas stocks, marking the latest step in its push to foster financial innovation.
The Financial Services Commission (FSC) said Wednesday that it designated NH Investment & Securities and fintech startup Travel Wallet’s joint offering — the “Travel Wallet Foreign Currency Prepaid Balance–Based Overseas Stock Investment Service” — as an innovative financial service.
Under the new program, users can transfer unused balances from their foreign-currency prepaid cards issued by Travel Wallet directly into their brokerage accounts at NH Investment & Securities to invest in foreign securities. Previously, consumers could only convert leftover funds into Korean won.
The FSC said the service is expected to promote a “virtuous cycle” by allowing consumers to reinvest idle foreign-currency assets rather than letting them sit unused.
Two other projects were also approved under the regulator’s innovation program: a parental savings recommendation service offered by Aikooka, which suggests customized deposit and savings accounts for parents managing children’s allowances, and the “L.Point Plus Shinhan Account Service” by Lotte Members and Shinhan Bank, which enables users to store prepaid balances in linked accounts and earn interest.
Ashley Song (ashley@koreabizwire.com)
