SEOUL, Dec. 18 (Yonhap) -- South Korea formally launched an open banking service on Wednesday in the latest move to boost convenience and lower transaction costs for customers.
The new system allows bank customers to use any mobile banking application of their choosing to access their bank accounts at any local bank and to withdraw or transfer their savings from any bank account, according to the Financial Services Commission.
Ten local banks, including KB Kookmin Bank, Shinhan Bank, Woori Bank and KEB Hana Bank, joined a preliminary service that began on Oct. 30.
The banks completely open their payment system to fintech firms as well, further enhancing convenience and lowering the cost of financial transactions for their customers.
The commission said open access to the payment system, along with the banks' joint access to accounts, will significantly lower transaction costs to only about 10 percent of the current costs.
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