Credit risk management in Sacombank - Vinh Long Branch

Abstract

The objectives of the study were to find out factors affecting credit risk management and propose solutions for credit risk management at Sacombank - Vinh Long Branch. The data of the study were collected by group discussion method and a direct survey of 79 managers and customer specialists related to credit extension at Sacombank - Vinh Long Branch. The analytical methods used include theoretical analysis and synthesis method, comparative method, descriptive statistical method and expert consultation method. In addition, the topic uses a Likert scale from 1 to 5. Research results have shown that three groups of risks affect credit risk management at Sacombank - Vinh Long Branch, namely objective causes, customer causes, and bank-driven causes. From there, some solutions are proposed for each group to limit credit risks and improve credit risk management activities at Sacombank - Vinh Long Branch: (1) Identifying and classifying credit risks; (2) Developing credit policy suitable for low credit risk; (3) Controlling credit risk; (4) Improving the quality of human resources; (5) Modernizing information technology in credit business activities.