Hana Bank is opening two 'Hana The Next Lounge' senior consultation centers in Daegu and Daejeon this month, marking the bank's first regional expansion beyond the Seoul metropolitan area. The move follows KB Kookmin Bank's introduction of the banking sector's first senior comprehensive consultation center, while Shinhan Bank strengthens its trust product offerings under the 'SOL Mate' senior brand launched last year. Korean banks are accelerating their push into the senior asset management market as they seek to diversify customer bases amid ongoing household lending management policies, focusing on retirement planning, inheritance services, and non-financial health and care programs tailored to aging customers.
Hana Bank Expands Senior Lounges to Daegu and Daejeon
Hana Bank is opening two additional 'Hana The Next Lounge' locations in Daegu and Daejeon this month. Hana The Next is a senior-focused brand that Hana Financial Group introduced 2 years ago, offering retirement planning, asset management, inheritance and gift consulting, plus non-financial services related to health and leisure to support customers' retirement planning.
The core offline touchpoint is the Hana The Next Lounge, a senior-focused consultation center. Until now, lounges operated only in the Seoul metropolitan area including Euljiro, Yeongdeungpo, Seolleung, and Seocho. With this month's openings in Daegu and Daejeon, the bank secures its first regional bases outside the capital area.
Hana Bank is reviewing plans to expand these senior-only consultation branches to around 20 locations. The Daegu and Daejeon lounge openings this month mark the first step in building a nationwide network beyond the Seoul metropolitan area.
Hana The Next My Home Pension Reaches 330 Billion Won
At the lounges, Hana Bank provides various educational content for seniors including retirement planning and asset management lectures, as well as artificial intelligence (AI) usage training, mental health programs, and elderly care planning. The offerings target demands connected to seniors' overall lives beyond financial consulting, including digital utilization, health, and care.
Senior customer demand extends beyond consulting and education to financial products. The flagship product 'Hana The Next My Home Pension' saw subscription amounts grow to 330 billion won as of early this month, within 1 year of launch.
Until now, housing pensions operated primarily as public products, leaving elderly homeowners with properties exceeding 1.2 billion won in official value with limited options to use their homes to secure retirement funds. My Home Pension is a product combining Hana Bank's collateral trust with Hana Life's lifetime annuity function, designed to meet this demand.
Shinhan Bank Targets 2 Trillion Won in Trust Product Inflows
Shinhan Bank also entered the market last year through its senior-focused brand 'SOL Mate'. Banks are focusing on the senior demographic as part of a strategy to expand new customer touchpoints. As the household lending management stance continues, making it difficult to grow customer bases through credit expansion alone, banks are expanding services targeting customer groups with relatively fewer touchpoints, such as seniors and foreigners. Shinhan Bank's strengthening of senior business is assessed as aligned with a strategy to diversify its customer base.
Shinhan Bank is placing particular emphasis on strengthening the trust segment among senior products. Internally, the bank set a target of around 2 trillion won in annual fund inflows.
Testamentary trusts in particular are considered a core product for banks' senior asset management, as they can maintain long-term customer relationships from lifetime asset management through post-death inheritance execution.
Testamentary Trust Market Grows to 5.5 Trillion Won
The market is growing rapidly. This year, the four major banks' testamentary trust balance exceeded 5.5 trillion won. It increased by around 1 trillion won since the start of the year, showing that demand for asset transfer and inheritance planning among the elderly is entering in earnest.
In April, Shinhan Bank held a declaration ceremony for 'SOL Mate Testamentary Trust·Dementia Relief Trust' subscriptions, with the bank president and executives promising to subscribe, demonstrating strong commitment to business expansion.
The bank also simplified trust product subscription procedures. By streamlining processes so existing customers can subscribe more easily, it is focusing on broadening the base of testamentary trusts that were previously centered on high-net-worth individuals.
A banking sector official explained, "To target the senior market, non-financial services extending to asset management, health, and care after retirement are important in addition to financial products," adding "this is why banks are placing weight on building customer relationships through specialized channels."
FAQ
What did Hana Bank announce this month regarding senior services?
Hana Bank is opening two 'Hana The Next Lounge' senior consultation centers in Daegu and Daejeon this month, marking its first expansion into regional areas outside the Seoul metropolitan area. The bank is reviewing plans to expand to around 20 such senior-only consultation branches.
How much has Hana The Next My Home Pension grown since launch?
The 'Hana The Next My Home Pension' product reached 330 billion won in subscription amounts as of early this month, within 1 year of its launch. The product combines Hana Bank's collateral trust with Hana Life's lifetime annuity function for homeowners with properties exceeding 1.2 billion won in official value.
What is the current size of the testamentary trust market among major Korean banks?
This year, the four major banks' testamentary trust balance exceeded 5.5 trillion won, having increased by around 1 trillion won since the start of the year. Shinhan Bank has set an internal target of around 2 trillion won in annual fund inflows for trust products.
