Improving personal loans service of vietnam prosperity commercial joint stock bank, cam pha branch

Professional bachelor degree
in Finance-Banking-Insurance
(Customer relationships management)

WORK PLACEMENT REPORT

Improving personal loans service of Vietnam Prosperity Commercial
Joint Stock Bank, Cam Pha Branch

Names of student:

DO Ngoc Thien

University year:

2021 - 2022

Tutor at TMU:

DAM Thi Thanh Huyen

Tutor at USTV:

Marie-Josée Cambreling

Tutor at (Company): PHAM Thi Hue

Hanoi - 2022

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TABLE OF CONTENTS
TABLE OF CONTENTS..............................................................................................i
LIST OF TABLES......................................................................................................iii
FIGURE......................................................................................................................iii
CHART........................................................................................................................ iii
ACKNOWLEDGMENTS..........................................................................................iv
INTRODUCTION.......................................................................................................v
PART 1: OVERVIEW OF VPBANK CAM PHA BRANCH....................................1
1.1. VPBank.................................................................................................................. 1
1.1.1 Information about VPBank................................................................................1
1.1.2 Activity: range of production, target, competition...........................................1
1.2 Information about VPBank, Cam Pha branch....................................................3
1.3 Introduce about my internship.............................................................................3
1.3.1 The reason to choose the topic............................................................................3
1.3.2 Internship plan....................................................................................................4
PART 2: INTERNSHIP IMPLEMENT AT VP BANK- CAM PHA BRANCH.......5
2.1 Internship position, objectives, responsibilities and duties.................................5
2.1.1 Subject structure and internship location.........................................................5
2.1.2 Objectives of the project.....................................................................................5
2.1.3 Business procedure and work responsibilities..................................................6
2.1.4 Daily tasks............................................................................................................ 6
2.2 Credit products for individual customers of Vietnam Prosperity Bank, Cam
Pha branch...................................................................................................................7
2.2.1 : Overview of personal credit at commercial banks.........................................7
2.2.2 : Product characteristics and conditions...........................................................9
2.2.3 Credit process for individual customers at VPBank......................................10
2.3 Cases of using credit services at VP Bank, Cam Pha branch............................14
2.3.1 Case No1: Business loan...................................................................................14
2.3.2 Case No2: Loan to buy real estate....................................................................15

2.3.3 Case No3: Unsecured loan................................................................................16

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2.3.4 Case No4: Car loan...........................................................................................17
2.4 Analysis of credit services for individual customers at VPBank, Cam Pha
branch......................................................................................................................... 18
2.4.1 Situation of personal credit services at VPBank, Cam Pha branch..............18
2.4.2 Customer research............................................................................................19
2.4.3 Competitor analysis..........................................................................................23
2.4.4 SWOT analysis..................................................................................................24
2.5 KPI and KPR.......................................................................................................24
2.5.1 Key Performance Indicator – KPI...................................................................24
2.5.2 Key Performance Results – KPR.....................................................................25
2.5.3 Recommendation...............................................................................................25
PART 3: INTERNSHIP ASSESSMENT..................................................................26
3.1 Difficulties encountered during practice............................................................26
3.2 Achievements during the internship...................................................................26
3.3 Career plan...........................................................................................................27
CONCLUSION..........................................................................................................28
REFERRENCES
APPENDICES

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LIST OF TABLES
Table 1: Internship plan at VP Bank – Cam Pha branch................................................4
Table 2: Daily tasks at VPBank – Cam Pha branch during internship...........................7

Table 3: Survey result..................................................................................................20
Table 4: Survey results on satisfaction with credit services at VPBank.......................22
Table 5: Compare personal credit lending services at VPBank Cam Pha branch with
banks in the region.......................................................................................................23
FIGURE
Figure 1: Credit growth chart over the years at VPBank from 2018-2021...................18
Figure 2: Non-performing loan ratio chart over the years at VPBank (2018-2021).....19
CHART
Chart 1: Internship office of VPBank, Cam Pha Branch................................................5

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ACKNOWLEDGMENTS
To complete this project, I would like to express my deep gratitude to Ms. DAM
Thi Thanh Huyen for guiding and helping me throughout the process of writing this
thesis. Sincere thanks to the teachers of the Thuong Mai University and Toulon Var
University for their dedication to imparting valuable knowledge that can be applied to
the completion of the thesis. This is also a solid foundation for me on my future career
path. I would also like to thank the Board of Directors and staff of VPBank - Cam Pha
Branch for enthusiastically helping and creating conditions for me during my
internship.
Due to limited knowledge and research ability as well as practical experience, I
cannot avoid shortcomings. I look forward to receiving your valuable contributions to
improve my essay.
Thank you sincerely!

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INTRODUCTION
In commercial banks' business activities, credit through loans is the main and
long-term source of income of the Bank, loan products help the Bank to grow in profit
as well as scale, but also can make the Bank bankrupt because it always has potential
risks. Therefore, credit activities play an important role, determining the existence and
development of each Bank, in which personal credit activities are not out of this
influence. Faced with the general difficult situation of the domestic economy and the
limited consumption demand of this customer group, the problem of improving the
quality of personal credit as well as maximizing the potential from this customer
group.

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PART 1: OVERVIEW OF VPBANK CAM PHA BRANCH
1.1. VPBank

1.1.1 Information about VPBank
 English name: Vietnam Prosperity Joint Stock Commercial Bank
 Abbreviated name: VPBank
 Address: VPBank Tower, No. 89 Lang Ha, Lang Ha Ward, Dong Da District,
Hanoi City
 Phone: 02473056600
 Number of employees: The bank's network has covered the whole country
with more than 227 transaction points and 27,000 employees working at Vpbank.
 Vpbank always follows the line based on its core values
- Customers are the focus
- Effective
- Ambitious
- Human Development

- Trust
- Make differences
 Website: />1.1.2 Activity: range of production, target, competition
 Range of production
 Personal loan products at VPBank mainly develop traditional products,
applicable to almost all customers such as:
- Real estate loans: serving the needs of buying houses / land / project houses
(mortgage with assets formed in the future), construction and repair of houses.
- Loans to supplement capital for individual business households.
- Loans to buy cars mortgaged with assets formed in the future.
- Unsecured loans (without collateral): consumer loans, overdraft.
- Consumer loans.
- Lending through credit card delivery

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 Credit card is a type of credit where customers are entitled to spend first, pay
later through card payment method, with a limit set by the bank. Currently, VPBank is
applying many types of cards for different customer segments, such as:
- VPBank Shopee Platinum credit card
- VPBank Super Shopee Platinum credit card
- Diamond World Card
- Diamond World Lady Card
- VPBank Visa Platinum Travel Miles credit card
- VPBank Platinum Cashback credit card
- VPBank Platinum MasterCard credit card
- VPBank StepUp Mastercard credit card
- VPBank Titanium Cashback credit card
- VPBank MC2 MasterCard credit card

- VPBank Number 1 MasterCard credit card
 Loan insurance at VPBank: Benefits when customers buy together with
VPBank Loan Insurance: this is an insurance package for high-risk loans. Loan
insurance is responsible for paying part or all of the loan in case the customer
encounters risks such as death, injury, natural disaster, etc.
 Saving
 Target: VPBank believes that the bank will fulfill its mission of bringing the
highest benefits to customers, paying special attention to the interests of employees
and shareholders, building a strong corporate culture and making effective
contributions to customers. to the development of the community
 Competition: As one of the earliest joint stock commercial banks established
in Vietnam, VP Bank has made steady progress throughout the bank's history. VP Bank
has set strategic goals with the ambition of becoming the most consumer-friendly bank
thanks to technology application and entering the group of 3 most valuable banks in
Vietnam.
1.2 Information about VPBank, Cam Pha branch
 Address: No. 308, Tran Phu Street, Cam Thanh Ward, Cam Pha City, Quang
Ninh Province
 Foundation date: 01/12/2006
 Director: Ms. Ha Thi Xuyen
 Phone: 0902190262
 Number of employees: 30 employees

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 Activity: range of production, target, competition: Like the main branch,
VPBank Cam Pha branch carries a full range of products, goals and competition.
Offering a full range of services to enhance VPBank's core values.
1.3 Introduce about my internship

1.3.1 The reason to choose the topic
In the business activities of commercial banks, credit is the main and long-term
source of income for the Bank, helping the Bank to grow in terms of profit as well as
scale, but also make the Bank bankrupt because it always contains potential risks.
Therefore, credit activities play an important and decisive role in the existence and
development of each Bank, in which personal credit activities are also not out of this
influence. In the face of the current difficult situation of the domestic economy and the
limited consumption needs of this group of customers, the issue of improving the
quality of personal credit as well as maximizing the potential from This group of
customers is still essential. The issue of credit quality in general and personal credit in
particular is always a topic of interest to banks above all, how to improve credit quality
to operate more efficiently and reduce risks for banks. goods is not a simple matter.
Vietnam Prosperity Joint Stock Commercial Bank is also not out of that
influence. With great development potential and highly appreciated position in the
banking system in Vietnam. Therefore, finding solutions to improve personal credit
quality is one of the most important tasks of banks today, facilitating business
processes as well as actively contributing to general development of the country.
Stemming from the above fact plus the need to learn more about the personal customer
credit segment, I chose the topic: " Improving personal loans service of Vietnam
Prosperity Commercial Joint Stock Bank, Cam Pha Branch " to make the content of
my thesis.
1.3.2 Internship plan
Table 1: Internship plan at VP Bank – Cam Pha branch
Date
1/3/2022 – 6/3/2022

Task/Mission
Getting to know the
environment and colleagues
at work

7/3/2022 – 13/3/2022 Learn and read documents

3

Outcome
See how the staff at the bank work
and what to do in each position
- Learn the history of the bank, its


related to the credit process
and credit products of the
bank

rules and requirements
- Understand the loan policies of
individual customers, the lending
process, card opening and
customers' rights when using
credit services at the bank.
14/3/2021- 1/5/2021 - Search and contact
- Learn more consulting and
customers with specific loan evaluation skills with each
needs and advice.
customer
- Together with the instructor - Have a better understanding of
to meet the borrower to
credit products, thereby easily
appraise and offer suitable
advising on suitable credit

loans for customers.
services for customers
- Make a loan application
- Know about the credit process
and submit it to the system
and how to complete the loan
- Complete the loan and
application
disburse
2/5/2021- 15/5/2021 SWOT analysis of VP Bank Find out strengths and
– Cam Pha Branch
weaknesses and offer solutions.
16/5/2021- 28/5/2021 Completion my report.
- Knowledge of VP Bank's credit
services
- Building knowledge, mastering
the process to serve the work in
the future

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PART 2: INTERNSHIP IMPLEMENT AT VP BANK- CAM PHA BRANCH
2.1 Internship position, objectives, responsibilities and duties
2.1.1 Subject structure and internship location
I am interning at the personal credit department under the supervision of Ms.
Pham Thi Hue, my direct supervisor at the bank and also a senior credit officer at the
bank. The branch where I practice is a small branch but has many departments in
charge of many different functions. Each department is responsible for a separate and
complementary function for each department as shown in the following chart:

Chart 1: Internship office of VPBank, Cam Pha Branch

Branch manager

PSE Loan

Personal Credit

Customer Service

Department

Department

PB

Non-credit
officer

Tellers

RM

2.1.2 Objectives of the project
Researching theoretical issues related to personal credit and credit quality in
commercial banks, analyzing personal credit quality of Vietnam Prosperity
Commercial Joint Stock Bank, Cam Pha branch. On that basis, some specific solutions
are proposed to improve the quality of personal credit at Vietnam Prosperity
Commercial Joint Stock Bank, Cam Pha branch. By participating in the personal
customer credit process at the bank, I approach and collect information from

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customers and evaluate customer satisfaction with the service. I use a questionnaire to
survey a group of potential consumers from the database of VP Bank, Cam Pha
branch. Then I aggregate, filter and evaluate data from consumers to be able to see the
current status of credit services for individual customers. Finally, I offer some
solutions to improve the quality of the bank's credit services in the near future. I hope
with the knowledge I have learned, I can come up with effective solutions to optimize
services and attract more customers.
2.1.3 Business procedure and work responsibilities
During my internship, I was assigned to do the basic tasks of a credit officer.
Thanks to that, I have a better understanding of the position of a credit consultant. At
the same time, know the working process and get used to the working environment.
The task I have to do is:
• Support and guide customers: Open a beautiful digital account on VP Bank Neo
application, identify customers and sign documents,...
• Exploiting CRM on the bank's distribution system
• Call to remind customers of overdue debt
• Support and advise customers with information on loan limits, interest rates and
loan documents
• Appraise customers with branch managers and make loan contracts for
customers
• Help with odd jobs in the bank: Copy documents, scan documents, submit to
the director ...
2.1.4 Daily tasks
Hours of Operation: Monday to Friday: 8:00 am - 5:30 pm. The following table
is what I did when I went to the bank for my internship.

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Table 2: Daily tasks at VPBank – Cam Pha branch during internship
8:00 AM - 5:30 PM
Meeting at the beginning of the week with the branch manager and

Monday

other credit officers. Get the tasks of each week that need to be
practical, manage the customers who are doing loan documents,
Tuesday

give the working orientation of the whole week
Check overdue debt via T24, contact customers to remind. Contact

Wednesday

assigned customers on CRM and check customer loan needs.
Process loan applications, submit documents to the system. In
addition, helping office workers perform tasks such as

Thursday
Friday

photocopying, scanning documents, submitting documents, ...
Complete customer loan documents and submit to the director
Check the completed documents and hand over the documents

During my internship, the tasks can be flexible depending on the assignment of

the instructor, but it can be said that my main tasks include:
- Read documents about processes, conditions, interest rates. Credit limit and
regulations of VP Bank
- Contact with customers who need to borrow money through the bank's CRM
system
- Support in consulting, completing loan documents, submitting documents to
branch and head office directors
2.2 Credit products for individual customers of Vietnam Prosperity Bank,
Cam Pha branch
2.2.1 : Overview of personal credit at commercial banks
 Concept:

- Personal credit is a business form of commercial banks, in which personal
credit is just the relationship between two entities, the bank and individual customers,
in which the bank is the transferor of the right to use its capital.
- For individual customers, within a certain period of time, both principal and
interest must be returned as agreed in the contract, for the purpose of financing
personal needs in life or serving production and business in the form of individual
business households.

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 Characteristics
- The size of each loan is small but the number of loans is large, because the loan
amount is limited by the conditions from the bank such as the reasonableness of the
capital need, the ability to repay the loan and the collateral assets. However, the
number of individual credits is quite large because the subjects of this type are all
individuals in society, including many different income levels and diverse credit needs.
- The demand for loans of individual customers is less elastic in terms of interest

rates, usually borrowers are often more interested in the amount of money to pay to the
bank than the interest rate that the bank applies to that loan.
- The financial source to repay the customer's debt is often not high because
individual customers often take income from salary or from production and business to
prove income to repay the debt.
 Lending comdition
- Customers must have civil legal capacity, civil act capacity andntake civil
liability according to the provisions of law.
- Customers must have financial ability to repay the debt within the time limit
commit.
- Having a feasible investment project, production, business and service plan; a
feasible investment and life service plan with a feasible debt repayment plan and in
accordance with the provisions of law.
- - Fully comply with regulations on loan guarantee according to regulations of
the State Bank

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2.2.2 : Product characteristics and conditions
Object

Individual customers are individuals including spouses (if any)
who are eligible for loans according to the provisions of each
product.
Customers who need a loan have a stable income and are able to
repay the loan
Customers are not more than 60 years old at the time of credit
approval
Customers have collateral such as real estate, new / used cars

Customers with no debt of group 2 or more at VPBank and other
credit institutions
In the case of mortgage customers, group 2 debt is still
completely valid, unsecured borrowers must have no or only
group 1 debt.
In case a customer is in group 3, they can still file an exception
with the condition that their overdue debt does not exceed

Loan term
Loan amount

5,000,000 VND within 30 days.
Mortgage loan term from 12 months to 300 months
Term of unsecured loan from 12 months to 60 months
The loan amount when mortgaged real estate is 75% of the
assessed property value
The loan amount when buying a new car is 85% of the car's
value. As for used cars, it is 65% of the car's value
Unsecured loans will range from 30,000,000 to 500,000,000

VND depending on the customer's salary and loan program
Debt payment form Debt payment methods include:
Pay the principal monthly, interest is paid monthly
Paying principal gradually, interest decreasing (Step up)
Interest rate

Paying principal at the end of the period, monthly interest
Interest rates According to VPBank's official letter, applied to
credit products from January 2021 to now, have not changed,

Customer profile

specifically ranging from 8 - 12%/year.
ID card / citizen identification / passport
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Permanent residence / long-term temporary residence (KT3)
Marriage certificate / certificate of singleness
Documents proving the purpose of the loan: Car purchase
contract/Deposit contract/VAT invoice...
Proof of income: Labor contract, salary sheet, bank account
statement...
Fee policy

Secured property records : Certificate of property ownership
For mortgage loan: Penalty fee (0.5 - 3.5%) x Remaining
balance
For unsecured loans: Penalty fee (1 - 5%) x Remaining balance.
For the last months, the maximum unsecured penalty fee is
VND 2,000,000

2.2.3 Credit process for individual customers at VPBank
Steps

Specific tasks

Related documents

Implementation

department

1. Process of property valuation
Receiving
Customers provide

- ID card / citizen

records

identification / passport

necessary documents

Customer

- Permanent residence /
long-term temporary
residence (KT3)
- Marriage certificate /
certificate of singleness
- Valuation payment slip
- Certificate of property
Prepare profile

Submit profile

Prepare valuation

ownership

- Offer for valuation

Individual

documents

- Documents provided

customer

Submit property

by the customer
- Submit the application

department
Individual

valuation and

on the bank's system

customer

valuation documents

- Conduct property

department

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valuation

- Valuation staff

2. Loan proposal
Prepare loan

- Based on the results - Request a loan

- Individual

application

of the valuation

- Income statement

customer

documents, make a

- Commitment to use an

department

loan contract

identity card

- Customers sign

- Business confirmation

loan documents

- Purchase list

- Submit application

- Sale contract

to branch manager

- Valuation profile

for approval

- Customer CIC

- Stamp the loan
Submit loan

application
- Scan approved loan

- VPBank's Secureloan

- Individual

application

documents with

system

customer

stamp and signature

- Loan documents with

department

of branch director

full signature and seal of

- Debt

- Use VPBank's

the bank are scanned and management

Secureloan system to

saved as PDF

department

- Disbursement proposal

- Customer

fill in customer
information and loan
documents on the
system
- Check customer
information before
submitting the
application
- Submit documents
and wait for
documents to be
prepared for
disbursement
3. Loan disbursement
Receive
Based on the

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documents and

approved loan

- Debt acceptance

- Individual

sign contract

application results,

contract

customer

the CSR staff will

- Loan contract

department

compile the

- Mortgage contracts

- Debt

disbursement

- Minutes of property

management

documents and send

valuation

department

them to the credit

- Recommend to import

officers through the

- Receipt of secured

LOS system.

property documents

- Check information
and print
disbursement
documents
- Customers sign
disbursement
documents
- Confirmation from
branch manager and
Submit

stamp

- Scan the prize file

- Disbursement

- Individual

application and

signed and approved

documents have been

customer

disbursement

by the customer and

signed by the customer

department

stamped and signed

and approved and

by the branch

stamped by the bank

manager
- Submit the scanned
disbursement
documents to
VPBank's system
- Check customer
information before
submitting the
application

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- Submit documents
and wait for
disbursement
according to each
loan case
- The loan amount
will be disbursed
according to the
method chosen by
the customer (cash or
Records

transfer).
After disbursement,

- Minutes of handing

- Individual

the checklist will be

over documents

customer

printed and the

- Accounting records

department

documents will be

- Treasury

rearranged

Department

- Hand over the file
to the treasury
department

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2.3 Cases of using credit services at VP Bank, Cam Pha branch

2.3.1 Case No1: Business loan
• Name: Tran Quoc Viet
• Date of birth: 11/01/1994
• Age: 28
• Gender: Male
• Address: Group 3, Area 5, Cam Binh Ward, Cam Pha City, Quang Ninh
Province
• Job: Business household Tran Quoc Viet - Trading in fashion clothes and shoes
• Income/month: 160 million VND (bank account statement)
• Number of years working: 4 years
• Marital status: Married
Mr. Viet came to the branch to work directly with me. He wants to borrow
additional working capital according to the limit for the purpose of trading in clothes
and shoes for his business in the form of a mortgage loan as collateral, which is his
house.
After talking directly with Mr. Viet to discuss loan conditions and legal
procedures, I checked CIC and found that he was eligible for a loan at VP Bank. So I
did the appraisal file and went with the appraiser to appraise the property. At the end of
the valuation process, I had an appointment with Mr. Viet to discuss loan information
as follows:
- Maximum loan limit: Because your assets are valued at VND 1,200,000,000
and according to the bank's regulations, you will be able to borrow 75% of the asset
value of VND 800,000,000
- Loan term: 24 months
- Loan interest rate: 9.5% (based on the bank's regulations at the time of loan
proposal)
- Debt repayment method: Paying principal gradually, interest gradually
decreasing (Step up)
After instructing him to complete the legal documents and sign the loan
application and have the application approved by the branch manager, I completed the

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application on the system and sent it to the head office for approval. After reviewing
the application and being approved, his application was in accordance with the bank's
regulations and the loan was approved for disbursement.
2.3.2 Case No2: Loan to buy real estate
• Name: Tran Ngoc Truong
• Date of birth: 05/03/1986
• Age: 36
• Gender: Male
• Address: Tien Phong, Tan Hung, Hung Yen City, Quang Ninh Province
• Job: Wholesale and retail of groceries and fruits
• Income/month: 100 million VND (bank account statement)
• Number of years working: 8 years
• Marital status: Married
After being allocated customer data on CRM, I called to know about Mr.
Truong's case that he wanted to take out a loan to buy real estate in the form of a loan
to buy back real estate on the customer's own property.
After Mr. Truong signed the transfer contract at the notary office successfully. I
contacted Mr. Truong directly to discuss loan conditions and complete legal
procedures, CIC checked and found that he was eligible for a loan at VP Bank. So I
did the appraisal file and went with the appraiser to appraise the property. At the end of
the valuation process, I had an appointment with Mr. Truong to discuss loan
information as follows:
- Maximum loan limit: Because your assets are valued at VND 1,600,000,000
and according to the bank's regulations, you will be able to borrow 75% of the asset
value of VND 960,000,000
- Loan term: 300 months

- Loan interest rate: 8.5% (based on the bank's regulations at the time of loan
proposal), borrowers with a loan insurance package should enjoy a preferential interest
rate from the bank.
- Debt payment method: monthly principal payment, monthly interest payment
- Disbursement method: Payback directly to customer's account

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After guiding him to complete the legal documents and sign the loan application,
I submitted it to the branch manager for approval. After that, I completed the
application on the system and submitted it to the head office to wait for approval for
disbursement. After reviewing the application and being approved, his application was
in accordance with the bank's regulations and the loan was approved for disbursement.
After disbursing the loan amount, it will be transferred to the customer's account to
pay for the outstanding real estate loan amount
2.3.3 Case No3: Unsecured loan
• Name: Tran Quoc Hung
• Date of birth: 17/03/1986
• Age: 36
• Gender: Male
• Address: Group 3, Area 7A, Quang Hanh Ward, Cam Pha City, Quang Ninh
Province
• Job: Head of Human Resources Department at Apax English Center
• Income/month: 40 million VND (bank account statement)
• Number of years working: 5 years
• Marital status: Married
Customers have come directly to the bank with the desire to borrow unsecured
loans according to the salary account statement program in the last 3 months, for the
purpose of shopping for consumption. The customer's desired overdraft limit is VND

150,000,000 within 37 months.
After checking the salary account statement and checking the CIC, I found that
Mr. Hung has no overdue debt and his income is sufficient to meet his loan needs. I
have discussed with Mr. Hung about the loan information as follows:
- Overdraft limit: 150,000,000 VND
- Purpose of loan: Consumption shopping
- Limit term: 37 months
- Interest rate: On the 25th of every month, VPBank's system will automatically
calculate and close the customer's overdraft interest incurred during the interest

16


payment period. The amount of interest is based on the amount the customer has
advanced in the month.
After guiding him to complete the legal documents and sign the loan application,
I carried out the process of submitting his application to the branch manager and the
system of VPBank. When the loan is approved, the bank disburses him to the
customer's account at VPBank, the customer will receive the debt from the time
VPBank disburses to the customer's account.
2.3.4 Case No4: Car loan
• Name: Dang Huu Doan
• Date of birth: 26/03/1984
• Age: 38
• Gender: Male
• Address: Dong Chua Village, Vu Oai Commune, Ha Long City, Quang Ninh
Province
• Job: Trading in building materials
• Income/month: 50 million VND (bank account statement)
• Number of years working: 2 years

• Marital status: Married
The customer wants to buy a car at VPBank's partner showroom. When I
received the client's profile, I contacted to learn about the customer's needs. Mr. Doan
wants to buy a 100% brand new Forf Ranger car worth 650,000,000 VND, he already
has VND 390,000,000 and wants to get a bank loan of VND 260,000,000 within 84
months by mortgaging his house.
After asking for customer information and checking CIC, I found that customers
with a history of group 4 outstanding loans, customers that have been overdue for
many consecutive months. After consulting the branch manager, Mr. Doan's loan was
not approved.

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2.4 Analysis of credit services for individual customers at VPBank, Cam Pha
branch
2.4.1 Situation of personal credit services at VPBank, Cam Pha branch
In recent years, our country's economy has also had remarkable successes in
business and service activities. The developed economy promotes increasingly large
investment activities and one of the main sources of capital comes from banks. Since
then, individuals have increasingly used credit services of banks to serve business and
consumer needs. This is a good condition for banks, including VPBank, to promote the
development of personal credit products. Understanding the increasing needs of
society, VPBank has plans and measures to develop this loan product.
Figure 1: Credit growth chart over the years at VPBank from 2018-2021

Credit growth over the years (%)

Credit growth through the
quarters of 2021 (%)

In 2020, the demand for credit decreased deeply due to the impact of covid-19
(reduced to 12.17% compared to the previous years. Despite the decrease in demand,
the bank still kept the credit value stable.
In 2021, credit demand will recover strongly in the fourth quarter of 2021 (up
13.53% compared to the beginning of the year), the total outstanding credit balance to
the economy will reach 10.38 million billion VND, this is a step marking a
transformation. after covid-19, reaffirming VPBank's position in the market. Q1/2021
to Q4/2021 VP Bank grew from 2.95% to 13.95%. This growth step helps the Bank
affirm its role as a lifeline in the economy.

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Figure 2: Non-performing loan ratio chart over the years at VPBank (2018-2021)

In 2021, VPBank takes the lead in the top 10 banks with a lot of bad debt with
more than VND 15,800 billion, an increase of 60% compared to the previous year
(from 3.81% to 7.36%).
Due to the economic recovery, the high demand for loans after the epidemic has
increased the rate of overdue debt. It can be clearly seen that in 2020, the overdue rate
is only 3.81%, mainly due to low overdue loans due to the decrease in loan demand
due to the epidemic.
The high overdue rate goes hand in hand with creating difficulties and reducing
reliability in the loan process at VPBank
2.4.2 Customer research
Method: I conducted a survey through an online platform (Google form) using a
questionnaire.
• Survey subjects: Customers who have used or are intending to use VPBank's
personal credit services.

• Target: 150 customers
- Determine customer satisfaction with VPBank's personal credit services, Cam
Pha branch
- Evaluate loan requests of individuals interested in the service
- Develop suitable credit lending products of VPBank to meet these needs.
• Number of customers participating in the survey: 120 customers

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