Analyzing the factors affecting the decision to get consumer loans from commercial banks of workers in Bien Hoa city, Dong Nai province

ABSTRACT:

The demand for loans of workers to pay living expenses is high under the impacts of COVID-19 pandemic. Dong Nai is one of the provinces with the largest number of industrial parks in Vietnam, and most workers live in Bien Hoa city. This study uses quantitative research methods to explore the factors affecting the decision to get consumer loans of workers in Bien Hoa city. The study surveys 354 workers who have got consumer loans or intend to get consumer loans from commercial banks. The study finds out that the decision of workers in Bien Hoa city to get consumer loans from commercial banks is affected by eight factors including: image of reputation, loan procedures, social influence, service quality, convenience, cost and interest rate, banking staff, and credit policy. Based on the study’s findings, some solutions are proposed to help commercial banks access and increase their market share in the consumer loan market in
the coming time.

KEYWORDS: decision, consumer loan, influencing factors, commerical banks.

Bui Van Thuy, Hoang Vu My Hanh, Chu Thi Kieu Duong (2022)

Viet Nam trade and industry review. ISSN: 0866-7756, No. 23 (10/2022), pp. 324-329.