Alphabiz - KB Kookmin Bank, Shinhan Bank and Peers See Fraud-Linked Account Freezes More Than Double

Photo courtesy of Yonhap News

[Alpha Biz= Paul Lee] SEOUL, June 4 — South Korea’s five major lenders, including KB Kookmin Bank, Shinhan Bank, Hana Bank, Woori Bank and NH NongHyup Bank, have seen a sharp rise in fraud-related account freezes this year.

According to financial industry data, banks froze a total of 72,128 accounts between January and May, more than double the 32,683 cases recorded in the same period last year.

Industry officials said that while traditional voice phishing cases have declined, new forms of financial fraud — including investment scams — have led to a surge in suspicious transactions and account freezes.

Financial authorities last year expanded the scope of compensation rules to cover a broader range of telecom-based financial fraud beyond voice phishing.

Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)