Essential Financial Guide for Expats in Korea

Welcome to South Korea! Whether you are here for a quick visit or planning a long-term stay, getting familiar with the local money system is a huge step toward making your life easier. Dealing with finances in a new country can feel a little confusing at first, but don’t worry. Understanding the basics of the Korean Won (₩) will simplify your daily transactions significantly. This friendly guide provides a practical rundown of Korean currency, how to use it, and some useful tips for hassle-free spending.

Understanding the Korean Won

The official currency unit in South Korea is the BWonB (written as ₩). The system is comprised of both paper bills and metal coins, each having a distinct face value.

Paper Currency (Notes)

• Denominations We primarily use four banknote values B₩50,000, ₩10,000, ₩5,000, and ₩1,000B. For reference, the ₩1,000 note holds a value roughly comparable to one US dollar, though actual exchange rates fluctuate (e.g., around ₩1,350 to $1 in early 2024).
• Design Details Korean notes are known for featuring prominent historical figures and national treasures. Each denomination has its own size and color, making them easy to tell apart. Interestingly, Korean bills are slightly larger than US dollar notes. The largest bill, the ₩50,000 note, depicts Shin Saimdang. The iconic ₩10,000 note features King Sejong the Great, while the ₩5,000 and ₩1,000 notes honor scholars Yi I and Yi Hwang, respectively.

Metal Coins

• Denominations The four circulating coins are B₩500, ₩100, ₩50, and ₩10B. Although smaller denominations (like ₩1 and ₩5) officially exist, you won’t typically see them used in daily commerce.
• Usage Coins are essential for small transactions. They are mainly used as change when you purchase items with paper bills, and they come in handy for vending machines or certain public transportation fees.

Key Tips for Using Money in Korea

Cash vs. Card

South Korea has one of the highest credit card usage rates in the world! You can use your credit or debit card almost everywhere—from large department stores and restaurants to small neighborhood cafes. Most global cards like Visa, Mastercard, and American Express are accepted universally. In fact, you might even find a few modern establishments that operate on a Bcard-onlyB basis.

However, don’t ditch cash entirely! You will still need cash when visiting traditional markets, dealing with small street vendors, or shopping at some tiny, independent stores that may not be set up for electronic payments.

Exchanging Money and ATM Access

• Currency Exchange Foreign currency can be exchanged easily at the airport, major banks, and dedicated exchange offices often located near popular tourist attractions and shopping centers. These services generally operate during standard business hours.
• ATMs Cash withdrawals are simple thanks to the wide availability of ATMs. You can find them inside bank branches and frequently in convenience stores. Most ATMs offer English language instructions, making the process straightforward. While banks typically close around 4 PM, bank and convenience store ATMs are usually accessible B24 hours a dayB.

Small Transactions and Change

Always keep some coins handy! They are perfect for buying bus tickets, using public payphones (if you find one), and operating vending machines. When making a small purchase with a large bill, you will receive the difference as change, often including a mix of bills and coins.

Security and Authentication

Korea has a very low rate of counterfeit currency, so security is generally not a major concern. Nevertheless, it is wise to know the security features on the higher-value notes (₩50,000, ₩10,000, ₩5,000).

Look for the Bstriking hologramB on the front of these bills. When you shift the note, the hologram will display different images, including a map of the Korean peninsula (which features Dokdo!), the Taeguk symbol, and the Four Trigrams. Additionally, note serial numbers have been updated to use a Roman alphabet and number combination to assist international tracking, enhancing global financial security.

A Smooth Financial Start

Getting comfortable with the Korean monetary system is a vital first step toward enjoying your life here. We hope this guide provides you with all the necessary information to handle your financial transactions confidently and proactively in your new environment!