K Bank and Gwangju Bank Partner to Support Low-Credit Borrowers

(From left) Jeong Il-seon, President of Gwangju Bank, Choi Woo-hyung, President of K Bank [Photo=K Bank]

K Bank is accelerating its efforts to expand inclusive finance by partnering with a regional bank.
On June 23, K Bank announced that it has signed a memorandum of understanding (MOU) for a "strategic marketing partnership" with Gwangju Bank.
The agreement aims to combine K Bank's strengths in online platforms and data-driven credit evaluation with Gwangju Bank's regional financial network and experience in supporting low-credit borrowers, creating a new model for cooperative finance.
Both banks will collaborate on the development and management of joint financial products aimed at low-credit borrowers and customers with limited financial histories (thin-file clients). They plan to utilize Gwangju Bank's credit evaluation model (CSS) to establish a more sophisticated credit assessment and post-management system, focusing on improving financial accessibility.
Additionally, they will pursue joint marketing and partnership initiatives to enhance product and service offerings, exploring various collaboration methods to expand customer benefits.
As financial authorities continue to promote inclusive finance, this partnership is seen as a significant step in presenting a practical model for expanding financial supply through collaboration between an internet-only bank and a regional bank.
K Bank boasts a customer base of approximately 16 million and has developed its own credit evaluation capabilities using financial and non-financial data. The bank has been continuously expanding its use of alternative information, including the introduction of the 'Naver Pay Score' in 2024 and enhancements to credit evaluation models using alternative data with Samsung Card and Shinhan Card, as well as the launch of the alternative evaluation service 'Equal' in 2025.
Gwangju Bank has a strong track record in supporting small and medium-sized enterprises and small business owners in the Gwangju and Jeonnam regions, having received a high rating in regional reinvestment assessments.
Choi Woo-hyung, President of K Bank, stated, "By combining digital financial capabilities with local financial expertise, we can provide more financial opportunities to a greater number of customers. We will introduce innovative inclusive finance products."

* This article has been translated by AI.

Lee Seongjin leesj@ajunews.com