SEOUL, Sept. 27 (Korea Bizwire) – K-Bank said Wednesday it will launch lending services for home mortgages and non-life insurance distribution by the end of this year, expanding its business portfolio to intensify competition with traditional banks.
The Internet-only bank, which was launched in April with paid-in capital of 250 billion won, will also launch a 150 billion-won (US$131.7 million) capital hike by the end of this year, after completing a 100 billion-won capital increase this month.
Shim Sung-hoon, CEO of K-Bank, told reporters that the bank aims to offer more convenient financial services to its customers.
“We will evolve into a banking service with more benefits and convenience,” Shim said.
Screenings of applications for home mortgages will be conducted around the clock via the Internet or a smartphone application, Shim said.
Using its digital platform, K-Bank could lower fees for selling general insurance products, according to bank officials.
Currently, K-Bank’s customers have access to about 16,000 ATMs without commission fees.
The bank said it will add some 1,300 such ATMs by the end of this year.
K-Bank, which is led by KT Corp., the nation’s biggest fixed-line Internet operator, has spent about 90 billion won in setting up infrastructure for its Internet banking system.