In South Korea, card and payment industry is well-developed. With the government support, credit card became the most popular payment method which can be accepted everywhere.
Therefore, as a foreigner living in Korea, setting up a bank account and obtaining a credit card are essential tasks. This guide will provide detailed information on the process of opening a bank account and getting a credit card in Korea.
Bank Account Application Process for Foreigners
- Choose a Bank: The major banks in Korea that cater to foreigners include Shinhan Bank, Woori Bank, and Nonghyup Bank. These banks often have English-speaking staff and provide services tailored to the needs of international customers. Plus, you may also visit international banks including HSBC, Citibank, Deutsche Bank, etc, although there are not many branches in Korea.
*Note: Contactless account opening service for expats is only available from Hana Bank(Android/iOS) and Toss Bank(Android/iOS) currently. - Gather Required Documents: When applying for a bank account, you will typically need to provide the following documents:
– Passport
– Alien Registration Card (ARC) or Residence Card
– Proof of address in Korea (e.g., rental contract, utility bill)
– Korean mobile phone number - Visit the Bank Branch: You can visit the bank branch of your choice to open the account. The bank staff will guide you through the application process and help you set up your account.
- Complete the Application: During the application process, you will need to provide the required documents, fill out the necessary forms, and set up your account details, such as your preferred account type and any additional services you may want to add.
- Activate the Account: Once your application is approved, the bank will activate your account and provide you with the necessary information, such as your account number and debit card.
Additional Considerations
- Linking to Online Services: To access various online services in Korea, such as creating an online account or making online purchases, you may need a ARC ID number and phone number. Having a Korean bank account can also be necessary for linking your phone number to your Registration Card.
- Student Accounts: If you are a student, some banks in campus, may offer specialized student accounts that allow you to use your student ID card as an ATM card.
Credit Card Application Process for Foreigners
- Choose a Credit Card Provider: The major credit card companies that cater to foreigners in Korea include Samsung Card, Lotte Card, and Shinhan Card. Research and compare the different card options and benefits to find the one that best suits your needs.
- Gather Required Documents: When applying for a credit card, you will typically need to provide the following documents:
– Passport
– Alien Registration Card (ARC) or Residence Card
– Proof of address in Korea (e.g., rental contract, utility bill)
– Korean mobile phone number - Apply for the Credit Card: You can apply for the credit card either online, through the credit card company’s website, or in person at a branch location. The application process may vary slightly depending on the provider.
*Note: Shinhan bank cooperated with Shinhan Card to provide contactless credit card issuance for foreigner on its app, and Hyundai Card newly adopted card application process in English. - Credit Evaluation: The credit card company will evaluate your creditworthiness based on the information provided in your application. This may include factors such as your income, employment status, and credit history.
- Card Issuance: If your application is approved, the credit card company will issue your card and send it to the address you provided. You may need to activate the card and set up your account before using it.
Additional Considerations
- Overseas Usage Fees: When using your Korean-issued credit card in other countries, you may incur overseas usage fees set by global credit card issuers like Visa, Mastercard, and JCB.
- Voice Phishing: Fraudsters may attempt to obtain credit card information over the phone. To protect your privacy, never provide personal information over the phone or through text messages.
Final Thoughts
Despite the excellent development of the Korean financial market, the service for foreigners has been insufficient since it has been operated mainly by Koreans. However, as the number of foreigners visiting and residing increases, related services are also gradually increasing.
Remember, the specific requirements and procedures for joining financial services may vary slightly between different banks and credit card companies, so it’s always a good idea to check with the service provider directly for the most up-to-date information. Cheers for your smarter financial life. 😀
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