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

OVERVIEW OF VPBANK CAM PHA BRANCH

VPBank

 English name: Vietnam Prosperity Joint Stock Commercial Bank

 Address: VPBank Tower, No 89 Lang Ha, Lang Ha Ward, Dong Da District, Hanoi City

 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

 Website: https://vpbank.com.vn/ca-nhan

1.1.2 Activity: range of production, target, competition

 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.

- Lending through credit card delivery

A credit card allows customers to make purchases upfront and pay later, with a spending limit established by the issuing bank VPBank currently offers a variety of credit card options tailored to meet the needs of different customer segments.

- VPBank Shopee Platinum credit card

- VPBank Super Shopee Platinum credit 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

VPBank Loan Insurance offers essential protection for customers with high-risk loans, ensuring peace of mind by covering part or all of the loan amount in the event of unforeseen circumstances such as death, injury, or natural disasters This insurance package enhances the security of your financial commitments, making it a valuable addition for borrowers seeking comprehensive coverage.

VPBank is committed to delivering maximum benefits to its customers while prioritizing the interests of its employees and shareholders The bank aims to cultivate a robust corporate culture and make meaningful contributions to community development.

 Competition: As one of the earliest joint stock commercial banks established friendly bank thanks to technology application and entering the group of 3 most valuable banks in Vietnam.

Information about VPBank, Cam Pha branch

 Address: No 308, Tran Phu Street, Cam Thanh Ward, Cam Pha City, Quang Ninh Province

 Director: Ms Ha Thi Xuyen

The VPBank Cam Pha branch offers a comprehensive range of products and services, aligning with the bank's core values and competitive goals By providing a complete suite of offerings, the branch aims to enhance customer satisfaction and strengthen its position in the market.

Introduce about my internship

1.3.1 The reason to choose the topic

In the realm of commercial banking, credit serves as a crucial and long-term revenue source, essential for profit growth and overall bank expansion, yet it also carries inherent risks that can lead to bankruptcy Consequently, credit activities, particularly personal credit, are vital for the sustainability and advancement of banks Given the current challenging domestic economic climate and limited consumer demand, enhancing the quality of personal credit and tapping into the potential of this customer segment remains critical Banks consistently prioritize improving credit quality to ensure efficient operations and mitigate risks Vietnam Prosperity Joint Stock Commercial Bank, recognized for its significant growth potential within the Vietnamese banking system, must focus on enhancing personal credit services as a key strategy to facilitate business operations and contribute to the nation's broader economic development This context underscores my choice to explore the topic: "Improving Personal Loans Service in Vietnam."

Prosperity Commercial Joint Stock Bank, Cam Pha Branch " to make the content of my thesis.

Table 1: Internship plan at VP Bank – Cam Pha branch

1/3/2022 – 6/3/2022 Getting to know the environment and colleagues at work

See how the staff at the bank work and what to do in each position

7/3/2022 – 13/3/2022 Learn and read documents related to the credit process and credit products of the bank

- Learn the history of the bank, its 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 customers with specific loan needs and advice.

- Together with the instructor to meet the borrower to appraise and offer suitable loans for customers.

- Make a loan application and submit it to the system

- Complete the loan and disburse

- Learn more consulting and evaluation skills with each customer

- Have a better understanding of credit products, thereby easily advising on suitable credit services for customers

- Know about the credit process and how to complete the loan application

2/5/2021- 15/5/2021 SWOT analysis of VP Bank

Find out strengths and 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

INTERNSHIP IMPLEMENT AT VP BANK- CAM PHA BRANCH

Internship position, objectives, responsibilities and duties

2.1.1 Subject structure and internship location

I am currently interning in the personal credit department at the bank, where I am supervised by Ms Pham Thi Hue, a senior credit officer Although the branch is small, it houses multiple departments, each responsible for distinct yet complementary functions, as illustrated in the accompanying chart.

Chart 1: Internship office of VPBank, Cam Pha Branch

This article investigates theoretical aspects of personal credit and credit quality within commercial banks, specifically analyzing the personal credit quality at the Cam Pha branch of Vietnam Prosperity Commercial Joint Stock Bank Based on this analysis, it proposes targeted solutions to enhance personal credit quality at the branch By engaging in the personal customer credit process at the bank, the research gathers valuable insights and information.

I conducted a survey using a questionnaire to assess customer satisfaction with PB Non-credit officer services at VP Bank's Cam Pha branch By aggregating and analyzing data from potential consumers in the bank's database, I evaluated the current state of credit services for individual customers Based on my findings, I propose several solutions aimed at enhancing the quality of the bank's credit services in the near future With the insights gained from my research, I am confident in my ability to develop effective strategies to optimize services and attract a larger customer base.

2.1.3 Business procedure and work responsibilities

During my internship, I performed essential tasks as a credit officer, which enhanced my understanding of the credit consultant role This experience allowed me to familiarize myself with the working process and adapt to the professional environment.

• 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

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.

Table 2: Daily tasks at VPBank – Cam Pha branch during internship

From 8:00 AM to 5:30 PM, the weekly workflow begins with a Monday meeting led by the branch manager, where credit officers outline the tasks for the week, focusing on managing customers' loan documentation and providing a clear orientation On Tuesday, the team checks overdue debts using T24, reminding customers and assessing their loan needs through CRM Wednesday is dedicated to processing loan applications and submitting necessary documents while assisting with administrative tasks like photocopying and scanning By Thursday, the focus shifts to finalizing customer loan documents for submission to the director Finally, on Friday, the team reviews and hands over completed documents, ensuring all tasks are fulfilled efficiently.

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

Credit products for individual customers of Vietnam Prosperity Bank, Cam

2.2.1 : Overview of personal credit at commercial banks

Personal credit represents a financial service offered by commercial banks, establishing a relationship between the bank and individual customers In this arrangement, the bank acts as the provider, granting customers the right to utilize its capital.

Individual customers are required to repay both the principal and interest within a specified timeframe, as outlined in the contract This repayment is essential for financing personal needs or supporting production and business activities, particularly for individual business households.

Loan amounts are typically small, yet the volume of loans is substantial due to bank-imposed conditions, including the justification of capital needs, repayment capacity, and collateral requirements This results in a high number of individual loans, as borrowers come from various income levels and possess diverse credit needs within the community.

Individual borrowers typically exhibit less sensitivity to changes in interest rates when seeking loans, as their primary concern tends to be the total repayment amount rather than the specific interest rate charged by the bank.

Many individual customers rely primarily on their salaries or income from business activities to demonstrate their ability to repay debts, which often limits their financial resources for repayment.

- 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

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 Mortgage loan term from 12 months to 300 months

Unsecured loans are available with terms ranging from 12 to 60 months When securing a loan with real estate, borrowers can access up to 75% of the property's assessed value For new car purchases, the loan amount can reach 85% of the car's value, while for used cars, it is capped at 65% of the vehicle'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)

Since January 2021, VPBank has maintained its interest rates for credit products, which range from 8% to 12% per year, with principal payments due at the end of the loan term and monthly interest payments.

Customer profile ID card / citizen identification / passport

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

Secured property records include a certificate of property ownership, which is essential for verifying ownership For mortgage loans, a penalty fee ranging from 0.5% to 3.5% is applied to the remaining balance, while unsecured loans incur a penalty fee of 1% to 5% of the remaining balance Additionally, for the final months of repayment, the maximum penalty fee for unsecured loans is capped at VND 2,000,000.

2.2.3 Credit process for individual customers at VPBank

Steps Specific tasks Related documents Implementation department

- ID card / citizen identification / passport

- Permanent residence / long-term temporary residence (KT3)

- Marriage certificate / certificate of singleness

Prepare profile Prepare valuation documents

- Documents provided by the customer

Individual customer department valuation - Valuation staff

- Based on the results of the valuation documents, make a loan contract

- Submit application to branch manager for approval

- Commitment to use an identity card

- Scan approved loan documents with stamp and signature of branch director

- Use VPBank's Secureloan system to 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

- Loan documents with full signature and seal of the bank are scanned and saved as PDF

Receive documents and sign contract

Based on the approved loan application results, the CSR staff will compile the disbursement documents and send them to the credit officers through the LOS system.

- Check information and print disbursement documents

- Confirmation from branch manager and stamp

- Receipt of secured property documents

- Scan the prize file signed and approved by the customer and stamped and signed by the branch manager

- Submit the scanned disbursement documents to VPBank's system

- Disbursement documents have been signed by the customer and approved and stamped by the bank

- 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 transfer).

Records After disbursement, the checklist will be printed and the documents will be rearranged

- Hand over the file to the treasury department

- Minutes of handing over documents

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

• 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

Mr Viet visited the branch to discuss a request for additional working capital to support his clothing and shoe trading business He intends to secure this mortgage loan by using his house as collateral.

After a direct discussion with Mr Viet regarding loan conditions and legal procedures, I verified his eligibility for a loan at VP Bank through a CIC check Subsequently, I prepared the appraisal file and accompanied the appraiser to assess the property Upon completing the valuation process, I scheduled a meeting with Mr Viet to review the loan details.

- 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 interest rate: 9.5% (based on the bank's regulations at the time of loan proposal)

The debt repayment method involves gradually paying down the principal while applying interest progressively This application is submitted to the head office for approval After a thorough review, if the application aligns with the bank's regulations, the loan is approved for disbursement.

2.3.2 Case No2: Loan to buy real estate

• Address: Tien Phong, Tan Hung, Hung Yen City, Quang Ninh Province

• Job: Wholesale and retail of groceries and fruits

After receiving customer data through the CRM system, I reached out to inquire about Mr Truong's interest in obtaining a loan for real estate He is looking to secure financing to purchase property using a loan against his existing assets.

After successfully signing the transfer contract at the notary office, I reached out to Mr Truong to discuss the loan conditions and finalize the legal procedures The CIC confirmed his eligibility for a loan at VP Bank, prompting me to prepare the appraisal file Together with the appraiser, I conducted a property valuation Subsequently, I scheduled a meeting with Mr Truong to review the loan details.

- 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

After guiding him to complete the legal documents and sign the loan application,

I submitted the application to the branch manager for approval, followed by completion of the system application and submission to the head office for disbursement approval After a thorough review, the application was confirmed to comply with the bank's regulations, leading to loan approval Once the loan amount was disbursed, it was transferred to the customer's account to settle the outstanding real estate loan.

• Address: Group 3, Area 7A, Quang Hanh Ward, Cam Pha City, Quang Ninh Province

• Job: Head of Human Resources Department at Apax English Center

In the past three months, customers have approached the bank seeking unsecured loans based on their salary account statements, primarily for consumption-related purchases They are looking for an overdraft limit of VND 150,000,000 to be repaid over a period of 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:

- Purpose of loan: Consumption shopping

- Limit term: 37 months 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 submitted the loan application to the branch manager and the VPBank system Once the loan is approved, the funds are disbursed to the customer's VPBank account, and the customer begins to incur debt from the moment the disbursement occurs.

• Address: Dong Chua Village, Vu Oai Commune, Ha Long City, Quang Ninh Province

• Job: Trading in building materials

Mr Doan is interested in purchasing a brand new Ford Ranger valued at 650,000,000 VND from a VPBank partner showroom He currently has 390,000,000 VND available and seeks a bank loan of 260,000,000 VND, which he plans to repay over 84 months by using his house as collateral.

After reviewing customer information and checking the CIC, it was determined that clients with a history of group 4 outstanding loans and those who have been overdue for several consecutive months pose a significant risk Consequently, after consulting with the branch manager, Mr Doan's loan application was ultimately denied.

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 achieved significant growth in business and service sectors, leading to increased investment activities primarily funded by banks As individuals increasingly utilize bank credit services for both business and consumer needs, VPBank recognizes this trend and is poised to enhance its personal credit product offerings To address the growing demand in society, VPBank is implementing strategic plans and measures to develop these loan products effectively.

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 significantly declined by 12.17% compared to previous years due to the impact of COVID-19; however, banks maintained stable credit values despite this decrease.

In the fourth quarter of 2021, credit demand experienced a significant recovery, increasing by 13.53% compared to the beginning of the year, resulting in a total outstanding credit balance of 10.38 million billion VND This growth marks a pivotal transformation post-COVID-19 and reinforces VPBank's market position From Q1 to Q4 2021, VPBank's growth surged from 2.95% to 13.95%, solidifying its role as a vital support for the economy.

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%).

The economic recovery post-epidemic has led to a surge in loan demand, resulting in a notable increase in overdue debt rates In 2020, the overdue rate was just 3.81%, primarily attributed to a significant decline in loan demand during the pandemic, which kept overdue loans at a low level.

The high overdue rate goes hand in hand with creating difficulties and reducing reliability in the loan process at VPBank

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.

- 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

• Description of the questionnaire: Appendix

Recommended by friends/relatives/colleagues

Borrow to buy real estate 22%

I conducted a survey by sending it to 150 individuals, receiving a total of 120 completed responses Notably, 30 participants chose not to partake in the survey Among the respondents, 70% reported having borrowed accounts.

Men represent the majority of car loan borrowers, making up 64% of all customers The age group of 25 to 40 years holds the largest share of these borrowers at 57.3%, followed by those aged 40 to 55 years.

Business customers represent the largest segment of borrowers, comprising 44.7% of the total This group primarily seeks business loans, leading to nearly 50% of customers expressing a desire for such financing Additionally, 41.5% of borrowers have an average income ranging from 10 to 20 million VND.

A significant 35.6% of customers utilizing loan products prefer high interest rates, with an average loan amount of 25 million VND and a repayment period ranging from 6 months to 7 years The most popular repayment term is 6 to 7 years, appealing to 45% of borrowers, while 30% opt for a duration of 5 to 6 years.

Table 4: Survey results on satisfaction with credit services at VPBank

Criteria Very satisfied Satisfied Normal Unsatisfied Very unsatisfied

The behavior of the staff is polite and proper

The process and procedures of the bank are scientific and reasonable

The bank is always committed to protecting customer information when lending

The bank strictly implements the terms committed in the loan contract

Bank branches are invested in modern and convenient facilities for customers

Reasonable fee policy, suitable for all customers

To enhance customer satisfaction with its loan services, VPBank Cam Pha branch must implement strategic measures By doing so, the bank can establish a strong foundation for its loan products, enabling them to effectively compete with offerings from other financial institutions.

Table 5: Compare personal credit lending services at VPBank Cam Pha branch with banks in the region

Banks Unsecured loans Borrow to buy real estate

VPBank Cam Pha branch offers competitive loan interest rates and attractive incentives, making it appealing to a wider customer base and enhancing its market share for loan products In addition to preferential rates, the branch boasts a quick documentation and disbursement process, prioritizing exceptional customer care VPBank Cam Pha Express is committed to delivering an outstanding experience, positioning itself as a top choice for loan services.

- Being a bank with many titles, belonging to the group of 4 leading banks at the moment

- Suitable loan terms, quick disbursement

- Professional staff, with many years of experience

- Comfortable working environment, favorable for advancement

- The process of handling incorrect and ineligible documents is still slow

- Because it is a small quick payment, the authority to handle loans is still limited

- Interest rates are still heavily dependent on the head office, which inhibits the branch's competitiveness.

- The State encourages the demand for loans after the epidemic to restore the economy

- The demand for personal loans is increasing due to the development needs of the economy

- Support policies are put in place to help individuals easily access loans

- Diverse loan products, accessible to all types of customers

- The competition between banks with the same products is increasing.

- Limiting credit room brings many difficulties and challenges for banks

KPI and KPR

In the personal credit department, monthly assessments through Key Performance Indicators (KPIs) are essential for every employee During my internship, I observed that each team member was required to achieve specific monthly objectives to ensure effective performance and accountability.

- Target on payment accounts: 22 accounts/employee

- Insurance target: 60 million VND/employee

Although I am an intern, I also try my best to fulfill the given targets Besides, constantly learning and absorbing knowledge for work and future work

During my internship at VPBank Cam Pha branch, I gained invaluable insights and practical skills that went beyond my academic experiences I learned about the bank's loan products and developed the ability to draft legal loan documents The dynamic work environment also enhanced my communication skills, allowing me to connect with customers and engage in various extracurricular activities.

Through my internship and customer surveys, I've identified several strengths that position VPBank to effectively compete with regional banks However, it is essential to acknowledge the limitations that VPBank faces, which could pose challenges in the long-term integration into the national economy.

VPBank must enhance its brand image and establish connections with robust market segments to drive growth Streamlining the loan optimization process can help shorten loan durations, making it more appealing to potential customers Additionally, fostering a positive service attitude is essential for boosting the overall value of the company.

INTERNSHIP ASSESSMENT

Difficulties encountered during practice

- When I first entered the internship, I myself had never worked in a professional environment like VPBank, so I was still not familiar with the professionalism of the staff here.

- I also lack the office skills of a banker such as using a printer, using the bank's desk phone, etc.

- The next difficulty that I encountered was convincing customers to use the bank's services.

- The daily workload of a credit officer is quite large There are many types of documents, so it requires me to be meticulous and highly focused.

Solutions to overcome these difficulties:

- I try to observe and learn from office staff about working style and office skills.

- Building relationships with my predecessors made it easier for me to learn.

- Read carefully, memorize the bank's loan products It gives me confidence when communicating with customers.

- When there are too many documents to handle, I can ask some staff to help me.

In return when they are busy, I am also willing to help them solve their problems

Achievements during the internship

- Acquired knowledge: I have acquired knowledge about credit lending services at VPBank I also experienced working in a bank.

Through my experience, I have gained a comprehensive understanding of the loan product process, implementation, and required documentation I have also developed strong communication skills, allowing me to confidently interact with customers This valuable experience will significantly contribute to my future career growth.

- Improved skills: My communication skills have improved significantly I also learned a lot of skills in using office tools such as printers, desk phones, etc Finally,

Internship office of VPBank, Cam Pha Branch

This article investigates theoretical aspects of personal credit and credit quality in commercial banks, focusing specifically on the personal credit quality at the Cam Pha branch of Vietnam Prosperity Commercial Joint Stock Bank It proposes targeted solutions to enhance personal credit quality within the bank By engaging in the personal customer credit process at the bank, valuable information was gathered to support this analysis.

I conducted a survey using a questionnaire to assess customer satisfaction with PB Non-credit officer services at VP Bank's Cam Pha branch By aggregating and analyzing data from potential consumers in the database, I evaluated the current status of credit services for individual customers Based on my findings, I propose several solutions aimed at enhancing the quality of the bank's credit services With the knowledge I have gained, I am optimistic about developing effective strategies to optimize services and attract a larger customer base.

2.1.3 Business procedure and work responsibilities

During my internship as a credit officer, I gained valuable insights into the role of a credit consultant This experience allowed me to understand the working process and adapt to the professional environment effectively.

• 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

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.

Table 2: Daily tasks at VPBank – Cam Pha branch during internship

From 8:00 AM to 5:30 PM, the week begins with a Monday meeting involving the branch manager and credit officers to outline weekly tasks and manage customers' loan documentation On Tuesday, overdue debts are checked through T24, and reminders are sent to customers while assessing their loan needs via CRM Wednesday is dedicated to processing loan applications and submitting necessary documents, alongside assisting office tasks like photocopying and scanning By Thursday, all customer loan documents are finalized and submitted to the director Finally, Friday is reserved for reviewing and handing over completed 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,

2.2.1 : Overview of personal credit at commercial banks

Personal credit represents a financial service offered by commercial banks, establishing a relationship between the bank and individual customers In this arrangement, the bank acts as the provider, granting customers access to its capital for personal use.

Individual customers are required to repay both the principal and interest within a specified timeframe, as outlined in their contract This repayment is essential for financing personal needs or supporting production and business activities, particularly for individual business households.

The loans offered are typically small in size, yet they are numerous due to bank-imposed limitations based on factors such as the borrower’s capital needs, repayment ability, and available collateral This results in a high volume of individual loans, as they cater to a wide range of individuals across various income levels and diverse credit requirements.

The demand for loans among individual customers tends to be inelastic concerning interest rates, as borrowers typically prioritize the total repayment amount over the specific interest rate applied by the bank.

Many individual customers typically rely on limited financial sources, primarily their salaries or income generated from their business activities, to demonstrate their ability to repay debts This constraint often results in a lower capacity to manage and settle outstanding financial obligations.