The Financial Services Commission (FSC) said Monday its Financial Education Council approved a plan to strengthen financial training for military personnel, with the Ministry of National Defense (MND), Financial Supervisory Service (FSS) and other agencies taking part.
The initiative will move beyond lecture-style instruction and focus more on practical skills, including one-on-one financial counseling, debt management and help with savings and investment decisions.
The focus reflects the importance of military service in shaping young people's financial habits. For many, it is the first time they regularly receive a salary and build substantial savings. Habits formed during that period can continue to influence spending, saving and investment decisions after they leave the military.
The need for better guidance has grown as higher military pay and government-backed savings programs give young soldiers more money to manage. At the same time, authorities said they are increasingly exposed to online gambling, risky investments such as cryptocurrency, misleading investment information and high-interest loans.
Outstanding military loans from the 30 largest moneylenders registered with the FSC stood at 44.4 billion won ($32.2 million) at the end of 2025. In the same year, 432 military personnel received help with repaying about 10.2 billion won ($7.4 million) in debt through the Credit Counseling and Recovery Service.
To address those risks, the government will expand one-on-one counseling on managing salaries and expenses, planning savings and handling larger sums of money.
Those struggling with credit or debt will receive separate support, starting with an online assessment and followed by phone counseling. Private channels will also be available for debt-related questions that may be difficult to raise openly.
The government also plans to make the training easier to access through short-form videos and entertainment-style content. One model is a military finance program produced for Korean Forces Network (KFN) TV that uses real financial concerns raised by soldiers and has experts suggest possible solutions.
More attention will also be given to investment and borrowing risks. Beginning in the second half of 2026, financial industry groups will run on-site programs using real cases to explain online gambling and debt-financed investing. The programs will also cover the risks of cryptocurrency, leveraged products and high-interest loans.
Current and former financial industry employees, analysts and private bankers will also be brought in to teach basic asset management, investing and credit management.
To encourage participation, the government is considering awards and certificates for those who take an active part, along with possible financial benefits tied to healthy saving and money-management habits.
The MND already provides at least two hours of financial education a year for military personnel, while the FSS and other public agencies offer training at military bases. However, the FSC said the current system relies heavily on lectures and public institutions and provides little incentive to take part voluntarily.
The new approach is intended to give young people a more active role in solving their own financial problems instead of simply receiving information.
The government will gradually roll out new content, counseling services and industry-led programs. It will review feedback from military personnel and instructors as the measures expand.
The filing said the broader goal is to help young people build better financial habits during military service, improve their money-management skills and prepare for life after discharge.
AJP Takeaways
• The Financial Services Commission approved a plan on Aug. 31, 2026, to expand practical financial education and one-on-one counseling for South Korean military personnel.
• The Financial Services Commission said outstanding military loans from the 30 largest registered moneylenders totaled 44.4 billion won ($32.2 million) at the end of 2025.
• The Credit Counseling and Recovery Service helped 432 military personnel repay about 10.2 billion won ($7.4 million) in debt in 2025.
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