Will consumer loans remain a money-spinner for banks post-COVID-19? This was a question recently posed by market observers after witnessing the pandemic’s big economic impact on individuals and households, dragging down demand for personal loans.
The State Bank of Việt Nam’s new regulatory limits on unsecured consumer-finance personal loans will pressure the business models of more-exposed companies over the next few years, according to Fitch Ratings.
Overseas remittances to Việt Nam are expected to decline mainly due to global factors.
Competition in the country’s debit and credit card market has become stiffer as foreign and small banks join large domestic banks and finance companies in the race to gain shares in the potential market.
Consumer finance companies are offering various promotions to customers, aiming to enlarge their share in an increasingly competitive market.
Consumer credit company Home Credit Vietnam Finance Company Ltd on August 22 signed a deal with MoMo Wallet, the biggest e-wallet company in Viet Nam, to offer customers faster and more convenient services.