As of June 22, 2026, major South Korean banks have officially launched the "Youth Future Savings" account, a government-backed policy product designed to assist young adults in building their financial assets. In a move to attract young customers, commercial banks are offering interest rates as high as 8.0% per annum, while internet-only bank KakaoBank is providing up to 7.0%.
The participating institutions include the "Big 5" commercial banks—KB Kookmin, Shinhan, Hana, Woori, and NH Nonghyup—as well as KakaoBank. The Youth Future Savings account is a three-year maturity, flexible savings product that allows individuals to deposit up to 500,000 KRW per month.
A key feature of this product is the government matching grant, which varies based on the subscriber's income level and employment status. "General-type" subscribers receive a 6% subsidy on their monthly deposits, while "Preferential-type" subscribers—such as those employed by small and medium-sized enterprises (SMEs) or small business owners with annual revenues of 100 million KRW or less—are eligible for a 12% subsidy. Additionally, subscribers benefit from tax exemptions on interest income.
The interest rates provided by the five major commercial banks reach a maximum of 8.0% per annum. While the base rate for these products is 5.0%, customers can earn an additional preferential rate of up to 3.0% percentage points based on various conditions, such as setting up automatic salary transfers, completing financial counseling, using bank-affiliated credit cards, or being a first-time savings account holder.
Specifically, Shinhan Bank and Hana Bank are offering a top rate of 8.0% by combining the base rate with tailored preferential conditions including financial consultations and credit card usage. Woori Bank offers 8.0% by applying a mix of regular and special preferential interest rates for customers who meet requirements like direct deposit of business revenues or holding no previous savings accounts with the bank. NH Nonghyup Bank also provides an 8.0% ceiling through its various digital banking and card-related benefits.
KakaoBank, the only internet-only bank participating in the program, is offering a competitive interest rate of up to 7.0%. To ensure stable system operation and service quality, the bank has capped its initial intake at 200,000 accounts.
The application window for the program runs from June 22 to July 3. During the first week, a "five-day rotation system" (based on the last digit of the applicant's birth year) will be enforced to manage high traffic, while applications will be open to everyone regardless of birth year during the second week. After passing income and eligibility screenings by the Korea Inclusive Finance Agency, successful applicants will be able to officially open their accounts between July 27 and August 7.
To mark the launch, banks are also holding various promotional events. Shinhan Bank is offering prizes such as iPhones and iPads, while Hana Bank is providing coffee coupons and mobile gift certificates. NH Nonghyup Bank and KakaoBank are also running giveaways including Naver Pay points and food delivery vouchers to attract applicants.
A banking sector representative noted, "The Youth Future Savings account is a robust policy instrument that allows young people to benefit from both government contributions and tax-free interest. With the addition of preferential interest rates and bank-specific incentives, we anticipate a strong demand from young customers looking to solidify their financial foundations."
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