South Korea corporate bank account
Healy Consultants Group PLC effortlessly assists our Clients with the opening of a corporate bank account in South Korea without travel.
Our experienced banking team will prepare all requisite documentation on your behalf and submit a quality corporate bank account opening application, negating personal travel. Where required, we will also attend KYC interviews on your behalf.
Press the link headings below to find out more about business banking in Korea.
The financial sector in Korea
- In late 2017, Korea’s banking and financial sector is considered stable and slightly improving. However, the banking sector has room for improvement, as the country is ranked 106th in the soundness of banks ranking by WEF;
- Positively, since 2014, the net foreign asset position of the financial sector improved significantly, and is expected to rise to US$47.2bn in 2018;
- However, household debts have increased to more than 140%, reducing personal disposable income, fuelled by the fastest rate of population aging the World;
- The based interest rate implemented by the Korean Central Bank remains low at 1.5% following three consecutive years of decreases from 2.5% in 2014.
Korea corporate banking
- We recommend our foreign Clients to open their business bank account in Korea with a bank with which they already have a bank account in another country to optimize compliance reviews. For example, Woori bank operates branches in most continents;
- Amongst the international banks present in Korea, we recommend: i) Standard Chartered and ii) Citi bank. These international banks enjoy high levels of customer satisfaction rates and offer online banking in English;
- Alternatively, there are many local Korea banks that offer upmarket banking facilities, including i) Hana bank and ii) KB Kookmin Bank . To view a complete list of local and international banks licensed in Korea can be found in this list;
- The Korean currency, the Won, was issued for a first time in 12th June 1973. Currently, the highest denominated banknote is 50,000 KRW, equal to about US$48;
- Securing finance through the Korean financial system is not easy as the country is poorly ranked in the affordability of financial services ranking. To secure corporate financing in Korea, a start-up should prepare the following documents: i) a sound business-plan, inclusive of a feasibility study, ii) availability of sufficient collateral assets, iii) background check of the professional management and iv) at last 3 years audited financial statements.
Steps required to open a Korean corporate bank account
To open a Korean corporate bank account for our Client’s new resident company, Healy Consultants will follow these steps:
- At the start, our expert banking team will access the Client’s business plan and determine the optimal financial institution available in Korea. Thereafter, Healy Consultants will timely secure a confirmation of interest from either local or internationally recognized bank;
- Once the new Korean company is incorporated, Healy Consultants will prepare a quality and complete corporate bank account opening application, translated in the local language;
- In some cases, Healy Consultants will i) attend Skype interviews representing the Client, ii) offer a resident director service to facilitate easier banking relationship or iii) legalize and translate Power of Attorney or other corporate due diligence;
- Lastly, when the online banking has been successfully activated, Healy Consultants’ dedicated relationship officer will collect the online banking kit and token device, and courier to our Client.
Exchange controls and other regulations
- Korea has implemented a liberal policy towards foreign exchange controls in line with OECD benchmarks. Funds transfers above US$10,000 need to be supported with relevant proof of funds;
- While there are no restrictions on the transfer of capital, profits, dividends, royalties or interest into, or from the country, certain industries, such as cryptocurrency transactions, have limitations on the capital inflows. Visit this webpage for more useful information;
- Withdrawal of capital should be supported by report issued by recognized securities company or the Korean Appraisal Board.