Hyundai Card, a leading financial and technology company in Korea, has received upgraded credit ratings from major global agencies, including Fitch, Standard & Poor’s (S&P), Moody’s, and the Japan Credit Rating Agency (JCR). These upgrades reflect Hyundai Card’s robust integration with its parent company, Hyundai Motor Group, and its innovative use of data science in credit card services.
The company has strategically balanced its General-Purpose Credit Card (GPCC) and Private Label Credit Card (PLCC) businesses, achieving significant growth in both sectors. Hyundai Card’s flagship GPCC products, such as Hyundai Card M, have become popular for their customer-focused features, including the innovative M Points system. Meanwhile, its PLCC partnerships have expanded, commanding a 78% market share in Korea.
Hyundai Card’s investment of KRW 1 trillion in data science over the past decade has culminated in the development of its AI platform, UNIVERSE. This platform, which predicts customer behaviour and preferences, has been successfully exported to Japan’s Sumitomo Mitsui Card Company, marking Korea’s largest software export deal.
The company’s strong ties with Hyundai Motor Group have been pivotal, with credit purchase services supporting 40% to 45% of the group’s domestic vehicle sales. Hyundai Card’s proactive risk management and financial soundness have also been highlighted by rating agencies, maintaining industry-leading delinquency rates.
Looking ahead, Hyundai Card plans to leverage its improved credit ratings to raise capital in global markets, aiming for stable capital acquisition and reduced funding costs. As the company continues to expand internationally, its strategic use of data science and strong industry partnerships remain central to its growth strategy.
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