South Korea will partly expand the scope of in-person services allowed for internet-only banks while keeping the principle of non-face-to-face operations. The Financial Services Commission approved measures to allow exceptions for consumer protection and inclusive finance, including debt restructuring support, corporate loan screening interviews, and checks for forged documents. It also allowed in-person verification tied to mortgage and jeonse loans, collateral inspections and certain administrative limits. The three internet-only banks must report plans in advance.

Competition to acquire capital companies is intensifying in South Korea\'s financial sector. With limited room for growth in household lending and mounting constraints on profit models centered on deposit-to-loan margins, capital firms are emerging as a key route into the non-bank credit market. KakaoBank is pushing to buy Mastern Capital, Hanwha Life has been named preferred bidder for Acuon Capital, and Sh Suhyup Bank is reviewing options as it seeks to broaden its non-bank portfolio.