Korean Commercial Banks To Launch Online Services

Korean commercial banks are now busy preparing for the launch of Internet banking services, following government approval of the online security system’s safety.

The Financial Supervisory Service (FSS) recently announced that there is no security problem in the current Internet-based banking system, which
was built by Korea Telecom.

“We requested Korea Information Security Agency (KISA) to inspect the security system for Internet banking last month, and recently, have
received an official notice from KISA that problems were not found in basic check
points of the security system.” said an official of Korea FSS.

Nine Korean banks, including Hana Bank and Kookmin Bank, will offer
online banking services through the Internet, starting at the beginning

Local banks and Korea Telecom are expected to enter into test operations
the online banking system for about a month prior to the launch of their
Internet banking service scheduled in July, when a law allowing
signature will be carried into effect in Korea.

In this connection, local banks which have been waiting for the
approval from the FSS are speeding up preparations for the upcoming
launch of
their Internet-based banking service, while joining forces with other
companies to offer better services than their commercial bank rivals.

Hana Bank, one of the nation’s leading banks, will collaborate with
CSN, an online shopping firm, to provide Internet-based banking
services, one
company spokesman recently announced.

In preparation for the July launch of its Internet banking service, the bank plans to register various banking products on Hansol
cyber shopping mall Hansol CS Club, the official explained.

Through the tie-up, the two companies will share their clients and offer
clients high-speed Internet access based on ISDN as well as offering
various cyber banking services.

The Hana official said the strategic tie-up with Hansol was designed to
preoccupy the market of great potential.

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