South Korean online service provider Daum Kakao has launched BankWalletKakao, a social network based mobile wallet service, in partnership with Korea Financial Telecommunications and Clearings Institute (KFTC) and 16 local banks, following some delays.
Available for both Android and iOS, it lets users of its messaging app KakaoTalk link their BankWalletKakao account with up to 25 bank cards and one virtual Bank Money account to manage fund transfers, online and offline payments and ATM cards.
Users can send up to KRW 100,000 ($90) through a process that is as easy as sending a message to a KakaoTalk friend, without having to know the recipient’s bank account number.
Daum Kakao hopes the new app will become popular among users for sending cash and splitting bills.
The service is open to users aged 14 and over with an internet banking account and a smartphone registered in their own name.
Daum Kakao said that the service is secure: all banking activities are conducted through the established security systems of financial institutes and all data is encrypted.
The money service now falls under the remit of Korea’s Financial Supervisory Service (FSS) but reaching that decision took some time, since there is no precedent for such a service in the country.