Navigating a foreign country becomes much smoother when you understand the local currency. In South Korea, that currency is the Won (KRW, ₩). This guide from money-central.com will walk you through everything you need to know about South Korean Money, from banknotes and coins to currency exchange, banks, and tax-free shopping. Whether you’re planning a trip to bustling Seoul or the serene countryside, understanding the Won is essential for a hassle-free experience.
Understanding the Korean Won (KRW)
The official currency of South Korea is the Won, symbolized as ₩ and with the currency code KRW. It’s important to familiarize yourself with the different denominations of banknotes and coins you’ll encounter during your travels.
Banknotes of South Korea
South Korean banknotes are colorful and distinct, making them relatively easy to differentiate. Here are the denominations you will commonly see:
1,000 Won (천 원 – Cheon Won)
The 1,000 Won bill is light blue and features Toegye Yi Hwang, a prominent Confucian scholar of the Joseon Dynasty, on the front. The reverse side depicts Gyesangjeonggak, a historic building.
Front of 1000 South Korean Won banknote featuring Toegye Yi Hwang
Back of 1000 South Korean Won banknote showing Gyesangjeonggak
5,000 Won (오천 원 – Oh Cheon Won)
The 5,000 Won note is reddish-orange. The front portrays Yulgok Yi I, another famous Confucian scholar and statesman, along with his mother Shin Saimdang. The back showcases Ojukheon House and plants of bamboo and plum blossoms.
Front of 5000 South Korean Won banknote featuring Yulgok Yi I and Shin Saimdang
Back of 5000 South Korean Won banknote showing Ojukheon House
10,000 Won (만 원 – Man Won)
The 10,000 Won bill is green and features King Sejong the Great, the fourth ruler of the Joseon Dynasty, who is credited with the creation of the Korean alphabet, Hangeul. The reverse side displays Cheonsang Yeolcha Bunyajido, a Korean star chart.
Front of 10000 South Korean Won banknote featuring King Sejong the Great
Back of 10000 South Korean Won banknote showing Cheonsang Yeolcha Bunyajido star chart
50,000 Won (오만 원 – Oh Man Won)
The highest denomination banknote, the 50,000 Won bill, is yellow. It features Shin Saimdang, a renowned artist, writer, calligraphist, and poet, who is also the mother of Yulgok Yi I. The back shows a painting of bamboo and plum blossoms (Maechangdo and Mukpo-dodo).
Front of 50000 South Korean Won banknote featuring Shin Saimdang
Back of 50000 South Korean Won banknote showing Maejangdo and Mukpo-dodo paintings
Coins of South Korea
Korean coins are less frequently used in daily transactions compared to banknotes, but it’s still useful to recognize them:
1 Won (일 원 – Il Won)
The 1 Won coin is copper-colored and quite small. It features a Rose of Sharon, the national flower of South Korea. However, these coins are very rarely encountered in circulation today.
10 Won (십 원 – Sip Won)
The 10 Won coin is brass-colored and features the Dabotap Pagoda, a famous stone pagoda from Bulguksa Temple in Gyeongju. Like the 1 Won coin, the 10 Won coin’s circulation is also limited.
50 Won (오십 원 – Oh Sip Won)
The 50 Won coin is white gold-colored and depicts a rice stalk, symbolizing agriculture in Korea.
100 Won (백 원 – Baek Won)
The 100 Won coin is silver-colored and features Admiral Yi Sun-sin, a celebrated naval commander renowned for his victories against Japan in the late 16th century.
500 Won (오백 원 – Oh Baek Won)
The 500 Won coin is the highest denomination coin, and it is also silver-colored and the largest in size. It features a crane, symbolizing longevity and peace in Korean culture.
Banking and Currency Exchange in South Korea
Exchanging currency and managing your finances in South Korea is generally straightforward thanks to a well-developed banking system.
Banks and ATMs
Banks often provide the most favorable exchange rates for tourists. Typical banking hours are from 9:00 AM to 4:00 PM on weekdays. While hours may vary slightly, most branches adhere to this schedule. Automated Teller Machines (ATMs) are widely available, not only at bank branches but also in subway stations and convenience stores. Many ATMs operate 24/7, though bank-affiliated ATMs usually function until 11:00 PM.
For international travelers, it’s important to note that ATMs accepting foreign cards are common, especially in tourist-frequented areas. Look for ATMs displaying the “Global” sign or logos of international networks like Visa or Mastercard. These ATMs typically offer multilingual interfaces, including English, Chinese, and Japanese, making transactions easier for visitors. While convenience store ATMs are accessible, they may sometimes levy higher transaction fees compared to bank ATMs.
Currency Exchange Options
Besides banks, you can exchange currency at government-certified exchange booths. These are especially useful for exchanges outside of regular banking hours and are commonly located in areas popular with tourists, such as Myeongdong or Itaewon in Seoul. Certified booths are identifiable by a “Certified” sign along with currency symbols. It’s advisable to use certified exchange booths or banks to ensure you receive a fair exchange rate and avoid potential scams from uncertified vendors.
Tax Refunds: Global Tax Free in Korea
A Value Added Tax (VAT) of 10% is included in the price of many goods and services in South Korea. Tourists can take advantage of the “Tax Free” system to claim refunds on purchases made at participating stores.
If you shop at stores displaying a “Tax Free” sign and spend more than 30,000 Won, you are eligible for a VAT refund. To claim your refund, follow these steps:
- Shop at Tax-Free Stores: Make purchases totaling over 30,000 Won at stores displaying the “Tax Free” sign.
- Request a Refund Check: When paying, present your passport and ask for a refund check. The store will provide you with the necessary documentation.
- Customs at the Airport: Upon departure, present your passport, refund check, receipts, and unopened goods to customs officials at the airport.
- Receive Your Refund: After customs verification, you can collect your refund in cash, via check, or credited back to your credit card at the designated refund counter near the departure gates.
Tipping in South Korea
Tipping is generally not customary in South Korea and is not expected in most service scenarios. You won’t need to tip taxi drivers, waiters, or hotel staff. In fact, attempting to tip might sometimes cause confusion. However, it’s worth noting that some upscale hotels and restaurants may automatically add a 10% service charge to your bill, in addition to the 10% VAT. While taxi drivers don’t expect tips, they will appreciate it if you let them keep small change.
Understanding South Korean money and financial customs will help you navigate your trip with confidence and ease, allowing you to focus on enjoying the rich culture and experiences South Korea has to offer.
