Kyongnam Bank steps up protection for financially vulnerable customers

"I used to feel embarrassed asking tellers questions, so I always had my children handle things for me. Now that I've learned how to use the kiosk myself and know what fraud tactics to watch out for, I feel confident enough to take care of my own banking."

Those are the words of an elderly customer who recently completed a tailored financial education program at Kyongnam Bank. As the customer's experience shows, the rapid digitalization of financial services has left older adults and other vulnerable groups feeling excluded and anxious. To address this, Kyongnam Bank has drawn attention for its hands-on, community-focused approach — both at its head office and on the ground — to help customers overcome those concerns.

Through the end of August this year, Kyongnam Bank had blocked 105 attempted financial fraud cases, including voice phishing, protecting approximately 2.6 billion won ($1.88 million) in customer assets. The results reflect not only network monitoring but also the sharp eyes of frontline tellers working in tandem with police.

On July 22, a security guard at the bank's Ulsan Taehwa-dong branch noticed an international call alert on the phone of an elderly customer who was trying to withdraw 15 million won by breaking a fixed-term deposit early. After checking the call, staff quickly alerted police and protected the customer's retirement savings — the customer had claimed the money was for dividing up a savings club payout. Earlier, in March, a teller at the Changwon Sodap-dong branch spotted signs of distress in a customer filling out a questionnaire and blocked a 50 million won transfer. Both branches received letters of appreciation from their respective local police stations.

The bank's central response network has also been tightened. Early this year, it established a dedicated Financial Fraud Response Team and a Damage Zero Support Center to monitor suspicious transactions around the clock. In March, it signed an MOU with the South Gyeongsang Provincial Police Agency and the Financial Supervisory Service's South Gyeongsang office, setting up a dedicated hotline to strengthen real-time investigative cooperation.

While major commercial banks have cut their branch networks by nearly 40 percent over the past decade, Kyongnam Bank has kept reductions to a minimum. It has also lowered barriers to in-person banking through a post office teller partnership, senior-focused branches, and a "Moving Bank" service that makes regular visits to financially underserved areas.

The bank has also significantly expanded preventive education for financially vulnerable groups. From January through August this year, it visited senior welfare centers and public health clinics to deliver 123 hands-on training sessions for more than 8,300 seniors and people with disabilities. It has also expanded its one-company, one-school program — partnering with 379 elementary, middle and high schools across the province — as well as financial education aimed at young adults.

"The faster the financial environment goes digital, the greater the risks and inconveniences faced by vulnerable customers can become," said Kyongnam Bank President Kim Tae-han. "We will fulfill our duty as a regional bank by staying close to our community, listening carefully to their voices, and building the safest and most accessible financial environment possible."