Expanding car loan service for individual customers at PVcomBank – linh dam transactions office

Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office Expanding car loan service for individual customers at PVcomBank – Linh Dam Transactions Office

Professional bachelor degree

in Finance-Banking-Insurance(Customer relationships management)WORK PLACEMENT REPORT

Vietnam Public Joint Stock Commercial Bank

Expanding car loan service for individual customers

at PVcomBank – Linh Dam Transactions Office

Names of student: Nguyen Thi Hien University year: 2017-2020 Tutor at TMU: Ths Ngo Thi Ngoc Tutor at PVcomBank Linh Dam Transaction: Luong Xuan Huy

Hanoi - 2020

Firstly, I thank Institute of international cooperation, Thuong Mai University forproviding me the opportunity to advance my studies, who teach and provide us valuableknowledge, advises during the education

I rearly thank tutor Ths Ngo Thi Ngoc for her great helps and advices for finishing thisproject report

I sincere thanks come to the staffs at Pvcombank – Linh Dam Transaction office,especially Mr Luong Xuan Huy for giving us good opportunities to learn more about workingenvironment to carry out my project in the best conditions

LIST OF TABLES

ACKNOWLEDMENTS i

LIST OF TABLES ii

LIST OF FIGURES iv

INTRODUCTION 1

PART 1: OVERVIEW OF PVCOMBANK, PVCOMBANK – LINH DAM TRANSACTION AND THE INTERNSHIP 2

1.1 OVERVIEW OF PVCOMBANK 2

1.2 OVERVIEW OF PVCOMBANK – LINH DAM TRANSACTION 3

1.3 INTRODUCTION OF MY INTERNSHIP 4

1.1.1 The reason for choosing topic 4

1.1.2 Objective of the internship 4

1.1.3 Scope of topic 4

1.1.4 Internship plan 5

PART 2: INTERNSHIP IMPLEMENTATION AT PVCOMBANK – LINH DAM TRANSACTION 6

2 THE INTERNSHIP POSITION, RESPONSIBILITIES AND TASKS 6

2.1.1 Department structure and internship position 6

2.1.2 Business procedure and work placement responsibilities 6

2.1.3 Some characteristic about car loan for individual customers of PVcomBank 7

2.1.4 Process of car loan at PVcomBank 8

2.2 SOME BUSSINESS CASE 9

2.2.1 Case No1 (fail- customer's needs) 9

2.2.2 Case No2 (failed-customer risk) 9

2.2.3 Case No3 (successed) 10

2.3 SERVICE ANALYSIS 10

2.3.1 Customer research: 10

2.3.2 Survey result: 11

2.3.3 Competitor analysis 13

2.3.4 SWOT analysis: 13

2.3.5 Host firm assessment and recommendations 14

PART 3: INTERNSHIP ASSESSMENT 16

3.1 The difficulties encountered 16

3.2 Internship gained 16

3.3 Career plan 17

CONCLUSION 18

QUESTIONNAIRE FORM 19

LIST OF REFERENCES 22

LIST OF FIGURES

Picture 1.1: Head office of PVcombank 2

Picture 1.2: Logo of PVcombank 2

Table 1: Internship plan at PVcomBank Linh Dam Transaction Office 5

Figure 1: Structure of PVcomBank Linh Dam Transaction Office 6

Chart 1: Age group of customers 11

Chart 2: Monthly income of customers 11

Chart 3: The demand of car in the price 12

Chart 4: source for you to know PVcomBank 12

Table 2.1 PVcomBank compares with competitors on car loan market 13

Table 2.4: SWOT matrix of PVcomBank - Linh Dam about car loan service 13

Figure 2: My career plan 17

The global car market seems to be very stable recently As the growing society, thephysical and spiritual life of the people be more and more advanced, along with thecontinuous development of the demand for goods consumption, the need for travel of thepeople in the country However, owning a car just stops at the dream for many people because

of financial concerns Large supply, high demand, but not anyone can pay for a new car atonce So, many banks have offered loans for buying car, and of course, PVcomBank is noexception In order to meet the demand for owning a favorite car and remove barriers tocustomers fulfilling their wishes quickly and conveniently, Vietnam Joint Stock CommercialBank (PVcomBank) has implemented super-speed loan product "Only 4 hours with 4 wheels"with special preferential loan policies towards customers Receiving the importance andnecessity of the above, after a period of understanding and internship at PVcomBank – LinhDam Transactions Office, with a desire to deepen the understanding of car loan service, Idecide to choose the topic "Expanding car loan service for individual customers atPVcomBank – Linh Dam Transactions Office"

PART 1: OVERVIEW OF PVCOMBANK, PVCOMBANK – LINH DAM

TRANSACTION AND THE INTERNSHIP

1.1 OVERVIEW OF PVCOMBANK

- The full name: Vietnam Public Joint Stock Commercial Bank

- The abbreviated name: PVcomBank

- Slogan: “Ngan hang khong khoang cach”

- Headquarter: 22 Ngo Quyen, Trang Tien Ward, Hoan Kiem District, Hanoi City

- Holine: (84) 024 3942 6800

- Fax: (84) 024 3942 6796/97

- Websit: www pvcombank com.vn

Picture 1.1: Head office of PVcombank Picture 1.2: Logo of PVcombank

Source: PVcombank

- Vietnam Joint Stock Commercial Bank (also known as PVcomBank) was established

under the Decision No 279 / GP-NHNN dated September 16, 2013 of the State Bank ofVietnam on the basis of consolidation between the PetroVietnam Finance Joint StockCompany (PVFC) and Western Commercial Joint Stock Bank (WesternBank)

- Vietnam Joint Stock Commercial Bank has a nationwide network of branches /

transaction offices Currently, Vietnam Public Commercial Joint Stock Bank has a total ofmore than 161 Branches / Transaction Offices located in 28 provinces and cities across thecountry Among them are Ho Chi Minh City - 30 branches / transaction offices, Can Tho city

- 21 branches / transaction offices, Hanoi - 20 branches / transaction offices, and manyother provinces and cities

- At the time of establishment, Vietnam Commercial Joint Stock Bank - PVcomBank

has total assets of nearly VND 100,000 billion, charter capital of VND 9,000 billion, of whichthe largest shareholder is Vietnam Oil and Gas Group (accounting for 50%) and strategicshareholder Morgan Stanley (6.7%) With a network of 108 transaction offices in keyprovinces and cities nationwide; High quality human resources and extensive experience inproviding services to businesses in the petroleum industry, energy, and infrastructure.PVcomBank provides a wide range of products and services that fully meet the requirements

of institutional and individual customers

 Business activities

- PVcomBank provides financial and banking services such as opening domestic andforeign currency accounts, receiving deposits, investing in loans and guarantees, domestic andforeign payment, trade finance, transfer fast money, foreign exchange, card issuance andpayment, traveler's checks, home banking, online banking

- PVcomBank aims to build an image of a close, friendly, devoted bank for the success ofcustomers We are committed to strive to become a standard bank in service delivery, withfriendly style, taking the interests of customers - partners as the goal of action to build the brand

of PVcomBank always associated with the operating method Dynamic throughout: Bank no gap!

- PVcomBank is gradually affirming its prestige and brand in the financial andmonetary market, providing high quality services, making a difference in service style; at thesame time, fulfilling the corporate social responsibilities, bringing benefits to the communityand increasing shareholder value

1.2 OVERVIEW OF PVCOMBANK – LINH DAM TRANSACTION

-Name: PVcomBank linh dam transaction office

-Location: 13 BT1 Bac Linh Dam Urban Area, Nguyen Huu Tho, Hoang Liet Ward, HoangMai

District, Hanoi city

-Number of employees: 20 persons

-Date of creation: 2013

-Activity: Main business activities:

-Individuals: credit, money transfer services, card products, electronic banking, savings,other products

-Business: credit, deposits, trade finance, foreign exchange products, account services,other products

1.3 INTRODUCTION OF MY INTERNSHIP

1.1.1 The reason for choosing topic

The global car market seems to be very stable recently As the growing society, thephysical and spiritual life of the people be more and more advanced, along with thecontinuous development of the demand for goods consumption, the need for travel of thepeople in the country Large supply, high demand, but not anyone can pay for a new car atonce So, many banks have offered loans for buying car, and of course, PVcomBank is noexception Receiving the importance and necessity of the above, after a period ofunderstanding and internship at PVcomBank – Linh Dam Transactions Office, with a desire

to deepen the understanding of car loan service, I decide to choose the topic "Expanding carloan service for individual customers at PVcomBank – Linh Dam Transactions Office"

1.1.2 Objective of the internship

 My targets:

- Understand working environment in the bank

- Have the opportunity to learn and experience reality

- Make some suggestion in order to expanding the product’s quality.

- Needs expressed by the contractual owner

- Analyzing of the current status of car loan of PVcomBank Linh Dam Transaction

office

- Identified customer’s behaviour and satisfaction level.

- Attracting potential customer.

- Conducting customer surveys

- Expanding and enhance your abilities, meet all the requirements of the project

- Building relationship with customers.

 Quantified results expected

- I expected to do the survey on 100 respondents, who live in the research area, used

service of PVcomBank Linh Dam Transaction office

1.1.3 Scope of topic

- Scope of content: Car loan service

- Scope of customer: Individual customer and household

- Scope of the study: The study limited car loan, the solution to expanding will alsolimit the extent applicable in PVcomBank Linh Dam transaction office

1.1.4 Internship plan

Table 1: Internship plan at PVcomBank Linh Dam Transaction Office

04/02 – 07/02

Start internship and study about carloan Get a deep knowledge of theproduct

Collecting information aboutwhat customers need andsituation

10/02 – 14/02

Observe and learn communicationand negotiation skill from tutor andothers staffs as well of PVcomBankLinh Dam Transaction

Learn how to negotiate withcustomers and how the bankworks

17/02 – 10/04

Find customers, collecting datafrom banks; negotiate with themwith Personal CustomerRelationship Officer to meetcustomers directly

Learn and approach reality

13/04 – 17/04

Conduct a survey on customer’sdemand and satisfaction aroundPVcomBank Linh Dam

Understand to createrelationships with customers

20/04 – 01/05

Do service analysis:

-Customer survey-Competitor comparing

- SWOT matrix

- List the risks

Learn from experience and findways to expand car loan serviceand reach target customers

04/05 – 07/05 Completing the report and finishing

the internship

Knowledge of car loan service ofPVcomBank Career orientation

in near future

PART 2: INTERNSHIP IMPLEMENTATION AT PVCOMBANK – LINH DAM

TRANSACTION

2 THE INTERNSHIP POSITION, RESPONSIBILITIES AND TASKS

2.1.1 Department structure and internship position

- The structure of PVcomBank Linh Dam Transaction office:

Figure 1: Structure of PVcomBank Linh Dam Transaction Office

- My position: Assistant of Personal Customer Relationship Officer PVcomBank - LinhDam

2.1.2 Business procedure and work placement responsibilities

 Process

- Finding customers: Information on car loan service of PVcomBank has been made

public on the website of PVcomBank, leaflets at branches to attract customers in need

- Call advice for customers who have used other services at the bank to introduce

products

- Make questionnaires and directly interview customers who are interested in the service

- Advising for customers: First of all, I collect some basic information of customer:

income, cost of living, money need to borrow, … Then I apply my knowledge about car loanand negotiation skill that I had learned to advise for customer and find solution for them

- The next steps (collecting customers’ profile, customer credit evaluation, approval and

disbursement) conducted by Personal Customer Relationship Officer PVcomBank Linh Dam

Director

Business Department

Sales Department

Individual

Customer

Department

Corporate Customer Department

Accounting Department

And I support filtering information and entering data into forms to prepare the necessaryrecords.

- Call advice for customers who have used other services at the bank to introduce

products This helps car loan service to reach known customers If there is a need, thecustomer will respond Then I will be going to meet the common customers about the productwith the tutor's supervision

- Do research: make a list of questionnaire to survey the people who have make a car

loan at PVcomBank before, from that we can know about their satisfaction about the service

- Customers care: After-loan supervision is done by credit officer, intern does not allow

to do this

 Daily tasks

Practicing internships is an extremely necessary approach for my future work to become

a Personal Customer Relationship Office It helps me know how to apply what I've learned inschool to easily handle real-life situations in the smartest way I have learned all about theregulation of the bank, department rules, organizational structure of bank I was trained how

to behave at work, to learn how to communicate and behave properly Each department has aseparate and different workspace, so in order to better understand and grasp basic office jobs,

I have had several sitting sessions and observed how the employees work Here are the jobs Ihave done to gain experience and familiarize the working environment in the bank:

- Read documents and circulars of PVcomBank

- Arranging documents and carefully check the correct order

- Copy, enter data and print documents

- Search and advise customers on car loan

- Support customers write down the registration form

- Support Personal Customer Relationship Office prepare documents When the papersthat need to be signed or stamped, I helped deliver the materials to the departmentsresponsible

- Daily working time:

• In the morning: from 8am to 12am

• In the afternoon: from 1:30pm to 3:30pm

2.1.3 Some characteristic about car loan for individual customers of PVcomBank

 Terms to borrow:

-Customers have full civil legal capacity and civil act capacity

Province / City where PVcomBank's head office is located

-Customers have financial capability to ensure loan repayment sources

-Customers meet the loan terms and conditions of PVcomBank

 Benefits:

- Quick: Commitment to approval in just 04 hours

- Flexible: Competitive interest rate with many options

- 7.49% / year for the first 06 months

- 8.99% / year for the first 12 months

- Loan period up to 84 months

- Lending up to 85% of the value of collaterals

- In particular, the product is applied to both customers' needs to borrow new and used

cars

- Products loaning to buy cars "Only 4 hours with 4 wheels" of PVcomBank also

cooperates with major car dealership / showroom in the world to bring customers value-addedservices, such as: discount from 10% of the total bill when using car care services atshowrooms: Long Bien Cars, Vietvoiz, Bosch Car service, when paying via PVcomBankMasterCard

 Interest rate:

- Level 1: Interest rate of 7.49% / year for the first 6 months

- Level 2: Interest rate of 8.99% year for the first 12 months

 Registration procedure

- Loan application form, made according to PVcombank's form

- Legal documents of customers: residence records, household registration books,

KT3,

- Documents about collaterals: Real estate has red book, pink book

- Profile of loan plan

- Documents proving loan repayment source, loan purpose: Payroll, salary statement,

labor contract / business registration certificate, property lease

- Other relevant documents (depending on specific cases).

2.1.4 Process of car loan at PVcomBank

- Process of loans for buying car through main steps following:

- Step 1: Introduce products, provide forms and receive loan applications

- Step 2: Verify and approve the loan, issue payment commitments

- Step 3: Sign and finalize procedures for registration of secured transactions

- Step 4: Disbursement

- Step 5: Check, monitor and recover the principal and handle the arising issues