Financial firms rush to attract teens as new customers

gettyimagesbank By Yi Whan-woo Financial firms are rushing to attract teenagers as new customers, offering digital payment services and debit cards that do not require consent from parents. Kakao Pay has introduced “Teens’ Number,” a service that allows teens to charge cash and buy goods. The online payment arm of Kakao Corp.

underlined that its service does not need a real bank account, and can be opened upon approval from parents. To protect young users from overspending, “Teens’ Number” restricts the maximum chargeable amount to 200,000 won per transaction. The total amount also can’t exceed 1 million won each month.



Commercial banks have also been trying to draw in teenage customers. For instance, they have been introducing debit cards for teens since April after financial regulators lowered the age for consumers allowed to use T-money public transportation cards with a deferred payment plan from 18 to 12 years old. In September, KB Kookmin Card launched the “So Young” debit card, offering discounts at businesses frequented by teenagers.

Shinhan Bank offers the “Teens Plus Poney” debit card, which is connected with the Shinhan Poney money management app to help cardholders track their spending and learn to manage assets. Meanwhile, some industry sources said parents should be able to monitor how their underage children use these tailor-made financial services. “They can be exploited for scams and other financial crimes, especially considering these services do not require parents’ consent and leave children unprotected in some ways,” a source at a card issuer said.

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