Factors affecting households’ ability to access credit at Vietcombank Vinh Long

Abstract

This study aims to measure the factors that affect households' ability to access credit at Vietcombank Vinh Long. The goal was to provide management implications for improving credit access in the future. The research data set consisted of survey information from 210 households who submitted credit applications at Vietcombank Vinh Long until December 31, 2021. The study used descriptive statistics and the Probit regression model to analyze the factors that affect credit access. The results of the model estimation showed that there were seven variables that had a statistically significant impact on the ability of individual customers to access credit at the bank. These variables, in descending order of impact, were loan history, age, occupation, loan purpose, collateral, average income, and capital use plan. Based on these findings, the authors proposed management implications to improve households' access to credit at the Vietcombank Vinh Long branch in the near future.