Home Credit becomes member of Vietnam Bank Card Association

Filip Dosedel, head of Cards and Revolving Products at Home Credit Vietnam (middle), with Nguyen Thi Kim Oanh (left), president of the Vietnam Bank Card Association, and Nguyen Quoc Hung, general secretary of the VNBA, at the admission ceremony

The VBCA membership is a recognition that Home Credit is an important card issuer in Vietnam’s rapidly growing card payment market. As a member, Home Credit will quickly receive the latest updates from the State Bank of Vietnam and contribute to the company’s opinion on draft bills and decrees related to the banking and financial industry.

“VBCA membership provides an opportunity for Home Credit to connect with leading organisations in the industry, and learn and exchange experiences on payment processes as well as the latest technological trends. It is also a major recognition of Home Credit’s continuous efforts and achievements,” said Filip Dosedel, head of Cards and Revolving Products at Home Credit Vietnam.

Dosedel and Home Credit Vietnam’s cards team at the ceremony

To join the card association, Home Credit had to acquire more than 400,000 customers with credit cards. For two consecutive years, Home Credit Vietnam received the Visa Awards 2020 and 2021 in two categories: Leadership in Payment Volume Growth and Leadership in Credit Payment Volume Growth.

As a digital transformation and tech-forward company, Home Credit continuously improves its services and launches new products to meet the trends and demands of online shopping and cashless payments, bringing many offers to different types of customers.

Home Credit's credit cards are one of the main products which the company encourages customers to register for, with many outstanding incentives and uses. Customers can download the app, register for the card and get approved within three minutes, all from the comfort of home.

They can also enjoy various benefits such as cashback up to 10 per cent on all transactions, 45 days interest-free, zero annual fees, and many other attractive promotions. The entire process is secure, and the app offers customers absolute control over their spending.

The pandemic has created an opportunity for the card market to grow. The number of cards in circulation has increased by 1.5 times. Moreover, the number of points of sale has nearly doubled over the last year. In the first six months of 2022, the total volume of Vietnam’s card payments reached $79.59 million, 4 per cent higher than the same period in 2021.

Online shopping has fueled the magnificent development of Vietnam’s card payments. According to a survey by the Ministry of Industry and Trade on eCommerce in 2020-2021, the number of users switching to card or e-wallet payment methods has increased remarkably.

The proportion of the population making payments by credit and debit cards increased from 20 per cent to 24 per cent while those using e-wallets also went up from 23 per cent to 37 per cent. Meanwhile, the percentage of users choosing to pay cash on delivery declined from 78 per cent to 73 per cent in 2021.

According to the Vietnam Banks’ Association and the State Bank of Vietnam, by the end of July, the number of cards in circulation reached 139.1 million, a 15.3 per cent increase compared to the end of 2021.

Entering Vietnam's consumer finance market in 2008, Home Credit is now a pioneer in implementing environmental, social, and governance standards. At the end of 2021, Home Credit publicised its first sustainability report with related targets for sustainable and inclusive finance.

Assessing the potential of buy now, pay later services Home Credit is betting on the prospects of buy now, pay later services in Vietnam. Michal Skalicky, chief customer officer of Home Credit Vietnam, shared with VIR’s Thanh Van his insight into the growth potential in Vietnam’s e-commerce market.

Home Credit: Thinking differently about financial literacy Home Credit has been conducting financial literacy education programmes for more than two decades – an uncommon and pioneering practice in the consumer finance industry. The company also measures the impacts of financial education programmes on its customers, which sets it apart from other industry players.

Home Credit Vietnam honoured among the top 50 outstanding investors in 2021-2022 Home Credit Vietnam has been awarded this year’s Golden Dragon Award, marking the eighth year in a row the company has won the distinguished award.