Within 07 days from the date a foreigner applies to adopt a Vietnamese child or the foreign adoption office in Vietnam is authorized by the foreigner applying to adopt a Vietnamese child, pays the fee and commits to notify the development of the adopted child, the Department of Justice shall report the results of the examination and propose an opinion on the settlement of the foreigner's application to adopt a Vietnamese child, submit it to the Provincial People's Committee for decision, along with 01 set of the child's dossier and 01 set of the adoptive parent's dossier.
Step 6: Decision to allow foreigners to adopt children
The decision to adopt a Vietnamese child to a foreigner is only made when the adoption procedures have been completed according to the law and the adoptive parent is present in Vietnam to directly adopt the child.
According to the provisions of Article 48, Decree 68/CP, within 07 days, the Chairman of the Provincial People's Committee shall sign the Decision to adopt Vietnamese children with the following conditions:
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Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
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zt2a3gsnon-credit services, joint stock commercial bank
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At that time, the Branch had to set aside a provision for credit risks, which reduced the Branch's income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giang's profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project "Restructuring the system of credit institutions in the period 2011-2015" approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: "Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services".
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giang's products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Minister's Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers' cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giang's treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giang's income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giang's corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giang's card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
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Organizational Structure of Joint Stock Commercial Bank for Foreign Trade of Vietnam - Bac Ninh Branch
- Have an explanation from the Department of Justice and attach the child adoption application.
- Considering that allowing Vietnamese children to be adopted by foreigners is the best measure to ensure the best interests of those children and does not fall under the case of refusal to register as prescribed in Article 50 of the Decree.

After signing the Decision on adoption, the Chairman of the People's Committee will return the file to the Department of Justice to organize the adoption handover according to general procedures, organize the registration of adoption in the adoption register and store the file according to the provisions of law.
Step 7: Adoption
Within 07 days from the date the Chairman of the People's Committee signs the Decision to adopt Vietnamese children, the Department of Justice must proceed with the handover of the adopted children to the adoptive parents. The handover ceremony is held at the headquarters of the Department of Justice in the presence of a representative of the Department of Justice. The adopted children, the receiving party is the adoptive parents, the handover party is the representative of the foster care facility or the biological parents, guardian. The handover of the adopted children must be fully recorded in the Minutes of the adoption handover according to the prescribed form, with full signatures of the receiving party, the handover party and the representative of the Department of Justice. According to
According to the provisions of Circular 07/2002, the handover does not accept authorization to hand over and receive adopted children. If for objective reasons (illness, disease, busy work...) the person applying for adoption cannot be present to receive the adopted child, the handover must be postponed. In the case where both husband and wife apply for adoption and one of them cannot be present for objective reasons, they must have a power of attorney for the other person; the power of attorney must be confirmed by the competent authority of that country. In the case where the party applying for adoption is the biological parent of the child, but for objective reasons one of them cannot be present, they must also have a power of attorney for the other person; the power of attorney must be confirmed by the People's Committee of the commune where that person resides. Representatives of foreign adoption offices may attend the handover ceremony as witnesses but are not allowed to receive children as the receiving party.
At the handover ceremony, the representative of the Department of Justice records in the adoption register and hands over the Decision to the parties. The Decision on adoption of Vietnamese children and the Minutes of adoption are made in 04 original copies: 01 copy is given to the adoptive parents; 01 copy is given to the delivering party; 01 copy is kept at the Department of Justice; 01 copy is sent to the International Adoption Agency of the Ministry of Justice.
Generally, after a relatively long period of time (120 days as prescribed by law) in the process of adopting a child, the handover ceremony seems to be the final milestone of this process and in fact, there are many handover ceremonies that are very touching and sincere. Through that, the relationship between adoptive parents and Vietnam in particular is further strengthened, and the solidarity and friendship between the two peoples of Vietnam and the country where the adoptive parents reside is also strengthened.
Step 8: Manage records and monitor the child's development after being adopted by a foreigner.
It can be said that this is a later step for children adopted by foreigners, because after handing over to adoptive parents, the adoption process seems to have ended. However, in terms of State management and the responsibility of adoptive parents to the host country, it continues.
In principle, all adoption applications (including the applications of foreign adoptive parents and the applications of Vietnamese children and other relevant documents) are directly and uniformly managed by the International Adoption Agency of the Ministry of Justice nationwide. The International Adoption Agency is responsible for coordinating with the diplomatic representative agencies and Vietnamese consulates abroad to monitor the development of adopted children until they reach 18 years of age. Therefore, in order to facilitate the International Adoption Agency, within 07 days from the date of handover of the adopted child, the Department of Justice is responsible for sending the International Adoption Agency all the documents prescribed in Clause 6, Article 49, Decree 68/CP, including:
- An original copy of the Decision to adopt a Vietnamese child
- An original copy of the Adoption Handover Minutes
- An original copy of the Commitment Letter to inform about the child's development
feed
- Other relevant documents, if any, except for documents already in the file
of children and of adoptive parents.
In addition, within the scope of its functions and duties, the Department of Justice is also responsible for assisting the Provincial People's Committee in managing all records of children in the province who have been adopted by foreigners, as well as monitoring the development of children until they turn 18 according to annual reports from adoptive parents.
Thus, through the above analysis, it can be seen that in order to resolve the issue of Vietnamese children being adopted by foreigners, it is necessary to go through at least 8 different steps, with the authority of state agencies in each stage. The total time prescribed by Vietnamese law to resolve this issue is 120 days for cases of applying for a specific child.
In case of not requesting the child's name:
In general, in this case, the process and procedures are similar to the case of requesting a specific child mentioned above, but with the following additional steps:
1. The international adoption agency of the Ministry of Justice sends an official dispatch to the Department of Justice where the adoptive parent wishes to adopt a child, along with a copy of the adoptive parent's application, so that the Department of Justice can introduce the child.
2. After receiving the official dispatch from the Adoption Agency, within 15 days, the Department of Justice shall issue an official dispatch requesting the foster care facility to identify children who meet the conditions and are suitable to the wishes of the adoptive parent for adoption. After selecting the child, the Department of Justice shall issue an official dispatch in response to the International Adoption Agency of the Ministry of Justice.
3. The adoption agency, within 7 days from the date of receipt of the response document from the Department of Justice, must be responsible for issuing an official dispatch to notify the adoptive parent of the results of the child introduction for adoption.
4. Within 30 days from the date of receipt of the notice from the International Adoption Agency, the applicant must respond in writing to the International Adoption Agency regarding whether or not he/she agrees to adopt the child. If the applicant agrees, the International Adoption Agency shall send an official dispatch requesting the Department of Justice to guide the adoption facility in preparing the child's file. In case of disagreement, the Adoption Agency shall also send an official dispatch to the Department of Justice so that the Department can notify the adoption facility.
The settlement process as well as the time limit for adoption are only calculated when receiving a written response agreeing to adopt the child from the adoptive parent.
3.1.3.2. Cases of settling adoption at Vietnamese diplomatic and consular agencies
According to Article 5 of Decree 68/CP, Vietnamese diplomatic and consular agencies will only process applications for foreigners permanently residing in the receiving country to adopt Vietnamese children residing in that country if the children do not currently have permanent residence in the country. In case the Vietnamese children being adopted currently have permanent residence in the country, the authority and procedures
In order, the procedures for handling adoption registration are as presented in section 3.2.3 above.
If it is determined that the application for adoption of a Vietnamese child residing abroad does not fall under the cases of refusal to register as prescribed in Article 50, Decree 68/CP and is a measure to ensure the interests of that child, the head of the Vietnamese diplomatic or consular agency shall sign the decision to allow the adoption of a Vietnamese child. In case of refusal to allow the adoption, the Vietnamese diplomatic or consular agency shall notify the applicant in writing, clearly stating the reason for the refusal.
After completing the adoption, the Vietnamese diplomatic and consular agencies are responsible, through the Ministry of Foreign Affairs, for sending the adoption records to the international adoption agency for general management.
However, when considering the provisions from Article 52 to Article 56 of Decree 68/CP, it can be seen that the process and procedures for settling adoption in this case are much simpler than the case of applying for Vietnamese children currently residing in the country. However, the time limit for settlement is also 120 days from the date the Vietnamese diplomatic and consular agency receives all valid documents.
3.1.3.3. Cases of adoption involving foreign elements in border areas
According to Article 71 of Decree 68/CP, citizens of neighboring countries residing in border areas with Vietnam who wish to adopt Vietnamese children residing in border areas must submit an application according to the prescribed form, including confirmation from the competent authority of that neighboring country that the applicant is eligible to adopt a child. If a husband and wife apply to adopt a child, the application must be signed by both husband and wife.
The application must be accompanied by a document from the child's biological parents agreeing to the child's adoption. In the event that the child's biological father or mother has died or has been declared dead or has lost civil capacity, only the other parent's consent is required. In the event that both the child's biological father and mother have died or have been declared
If the child is deceased or has lost civil capacity, there must be written consent from the child's guardian. In the case of Vietnamese children being adopted from the age of nine or older, there must also be written consent from the child himself.
The above documents are made into 02 sets of documents and submitted to the People's Committee of the commune where the Vietnamese child to be adopted resides in the border area. When submitting the documents, the applicant must present the documents specified in Point a and Point b, Clause 3, Article 69 of this Decree for inspection.
Within 15 days from the date of receiving a complete and valid dossier and fee, the People's Committee at the commune level is responsible for examining the dossier and posting the adoption application for 07 consecutive days at the headquarters of the committee. After examining the dossier and posting the adoption application, the People's Committee at the commune level shall send an official dispatch to the Department of Justice, along with 01 set of dossier for comments.
Within 30 days from the date of receipt of the official dispatch from the Commune People's Committee, the Department of Justice shall review the adoption application and provide a written response to the Commune People's Committee.
Within 07 days from the date of receiving the opinion of the Department of Justice, the People's Committee at the commune level shall decide on the adoption and proceed with the handover of the adopted child as in the case of adoption registration between Vietnamese citizens in the country according to the provisions of law on civil status registration.
Thus, it can be seen that, in this particular case, after the Commune People's Committee carried out the adoption, the entire file was not sent to the International Adoption Agency according to general regulations but was kept locally, and the role of the International Adoption Agency in monitoring, supervising, and managing this matter was not seen. In my opinion, this is also an issue that needs to be reconsidered in the future.
3.1.3.4. Cases of refusal to adopt a child
The above presentations show that the competent State agencies of Vietnam have the right to refuse to register an adoption application but must clearly state the reasons. So in what cases is it allowed to refuse? According to the provisions of Article
50, Decree 68/CP Foreigners applying to adopt Vietnamese children will be refused in the following cases:
Firstly, the adoptive parent does not meet the conditions for adoption according to the laws of the country where he or she resides.
Second, the adoptive parent does not meet the conditions for adoption according to Vietnamese law.
Third, the adopted children do not meet the requirements prescribed by Vietnamese law.
Fourth, there is reason to believe that the adoption is for the purpose of child trafficking, child labor exploitation, child sexual abuse, illegal material gain or other profiteering purposes.
After examining and considering at the International Adoption Agency or examining and verifying at the Department of Justice or the police agency and discovering that a foreigner falls into one of the above cases, upon written request from these agencies, the Provincial People's Committee has the right to refuse to adopt a Vietnamese child and notify the parties in writing.
In case a foreigner applying to adopt a Vietnamese child refuses to adopt the child who has been introduced, the International Adoption Department shall send an official dispatch to the Department of Justice so that the Department can notify the foster care facility to introduce another child.
If the adoptive parent wants to adopt another child, his or her application will only be considered 12 months after the date he or she refuses the child who has been introduced [29].
3.1.4. Legal consequences of adoption
According to the provisions of the Law on Marriage and Family 2000 and other relevant legal documents, adoption, after completing the procedures and being recognized and registered with the competent State agency, will create a legal relationship between adoptive parents and adopted children. That also means that adoptive parents and adopted children have the same rights and obligations as biological parents and biological children. Vietnamese law does not stipulate that adoption of children will legally terminate the relationship between parents.
birth and children are given up for adoption. In addition, according to the Law on Vietnamese Nationality, it is stipulated that: "Vietnamese children adopted by foreigners still retain Vietnamese nationality".
Thus, according to Vietnamese law, children adopted by foreigners will simultaneously maintain two legal relationships with their adoptive parents and their biological parents. This is still a gap in current law.
3.1.5. The role of Vietnamese agencies handling foreign adoptions according to Vietnamese law
3.1.5.1. Central adoption agency (Department of International Adoption, Ministry of Justice)
The model of a central agency that focuses on directing and directly resolving international adoption issues has been established in almost all 55 member countries of the 1993 Hague Convention as well as in some other countries that are not members of this Convention [26, pp. 74-75]. Applying this model, with the goal of joining the Hague Convention as soon as possible, Vietnam has established the Department of International Adoption under the Ministry of Justice (according to Decision 337/2003/QD-BTP). According to the provisions of Decree 68/CP, the Department of International Adoption under the Ministry of Justice has the main functions of:
Gearbox: 1.5
Roles and relationships according to legal regulations of Vietnamese State management agencies in the field of adoption with foreign elements
PROVINCIAL PEOPLE'S COMMITTEE
Foster care facility
DEPARTMENT OF JUSTICE
MINISTRY OF JUSTICE, DEPARTMENT OF INTERNATIONAL ADOPTION
ADOPTION WITH OVERSEAS ELEMENTS
Police
conscious
MINISTRY OF PUBLIC SECURITY
FOREIGN OFFICE
Coordination relationship
41
Command relationship
- Help
The Minister of Justice shall implement unified State management in the field of adoption involving foreign elements.
- Prize
decide on child custody




![Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
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zt2a3gsnon-credit services, joint stock commercial bank
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At that time, the Branch had to set aside a provision for credit risks, which reduced the Branchs income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giangs profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project Restructuring the system of credit institutions in the period 2011-2015 approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services.
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giangs products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Ministers Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giangs treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giangs income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giangs corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giangs card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
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