Promote online lending to meet the needs of people and businesses

In order for many people and businesses to access credit capital, commercial banks and credit institutions in the province have focused on investing in developing technology infrastructure, increasing the application of digital transformation technology in online lending on electronic platforms. This form of lending not only saves time and costs for customers but also creates conditions to promote credit growth of banks.

Vietcombank Bac Thanh Hoa staff guides people through online loan forms.

Currently, at commercial banks, the application of electronic means in the lending process is carried out regularly. Most credit institutions in the area have applied electronic means to carry out credit granting processes, applied technology in customer management, digitized records, and researched the application of digital signatures in credit appraisal. At the same time, promoting online lending, increasing convenience, and meeting customer needs. As of early July 2024, 100% of credit institutions in the province have applied the national population database in the appraisal and assessment of customers to lend based on citizens' information on the VNeID application, via the website dichvucong.gov.vn, scanning QR codes on citizen identification cards, applying technology to lending, implementing online lending via bank applications with more than 10,000 customers having received loans with outstanding loans reaching nearly 3,000 billion VND. Loans focus on serving essential needs of life such as consumption, home repair, car purchase, business loans... This is a utility that helps customers save maximum on procedures, travel time and convenient transactions 24/7, quick disbursement within just 1 - 3 hours or at the latest 1 day from the time of receiving the customer's complete application.

Specifically, the system of branches of the Bank for Agriculture and Rural Development (Agribank) in the province has actively promoted solutions to improve loan records and procedures, non-cash solutions in credit activities, deploy automatic debt collection; accelerate the process of applying technology and automation methods in the loan initiation process, debt management, and collateral management. Agribank branches in the province are aiming to replace 50% of small loans borrowed online. Banks deploy online lending through Loc Viet overdraft cards, Digital Banking Kiosk - Agribank Digital to meet the needs of customers who want to borrow capital anywhere, anytime. Meanwhile, the system of the Bank for Investment and Development (BIDV) in the province is currently also supporting customers to borrow capital online through the BIDV SmartBanking application with the form of online savings book loans. Specifically, customers can register for online loans using online savings accounts with a maximum disbursement limit of up to 100 million VND within 1 - 2 minutes. Vietnam Joint Stock Commercial Bank for Industry and Trade - Thanh Hoa Branch also has an "Online Overdraft" product for all customers using VietinBank iPay with payment accounts and savings deposit accounts on VietinBank iPay. The maximum loan amount is up to 90% of the value of the collateral, not exceeding 300 million VND/overdraft account...

However, in addition to the advantages, online lending also has many potential risks of abuse, distortion, and black credit fraud. Many customers have not yet accessed online loans from official credit institutions because their personal profile data has not been fully and accurately updated, leading to unauthenticated customers... With the rapid development trend of digital banking ecosystems, competition in the online consumer credit sector will continue to grow strongly. To help people and businesses easily access legitimate and reliable financial services, minimize the risk of borrowing at interest rates outside, encountering "black credit" causing many consequences for themselves and society, credit institutions in the area are continuing to focus on developing many convenient financial credit products and services in the direction of online transactions, overdraft loans, loans without collateral; increasing investment in technology systems to ensure information security and confidentiality during transactions. From there, assess the credit history, spending and payment ability, or production and business efficiency of the borrower to decide on the disbursement limit. At the same time, strengthen the supervision of loan capital use, arrange capital sources to develop product packages to meet the needs of life; control credit quality well for consumption purposes; strengthen monitoring, inspection, control, and internal audit activities. In addition, when customers need to borrow capital, they need to research and choose a reputable service provider, fully displaying information on the website, such as the name and business code, address, and specific policies on loan interest rates.

Article and photos: Luong Khanh

Source: https://baothanhhoa.vn/day-manh-cho-vay-truc-tuyen-dap-ung-nhu-cau-cua-nguoi-dan-doanh-nghiep-218722.htm