Solutions to Improve Credit Card Service Quality

Cau Giay Branch gives special attention such as: priority in time and service; gifts on special occasions (birthdays, holidays); participation in some events organized by BIDV - Cau Giay Branch such as year-end customer conference.

+ Organize the work of resolving customer complaints promptly and with good quality from the Branch Headquarters to the Transaction Office to increase customer satisfaction and loyalty with BIDV card services - Cau Giay Branch.

+ Strengthen the organization of card business training for Branches and training for Card Accepting Units to improve business quality and minimize risks for credit card business activities.

BIDV - Cau Giay Branch can periodically or regularly survey the level of customer satisfaction with BIDV's credit card services to grasp customer psychology to have appropriate solutions as well as create a foundation for market research, creating card product lines to meet customer needs.

Maybe you are interested!

Strengthening propaganda and promotion activities, especially internal communication, ensuring that all staff of BIDV - Cau Giay Branch understand the benefits of the service and are willing to pay by card, such as organizing annual service development competition programs.

3.2.2. Solutions to improve the quality of credit card services

3.2.2.1. Improve service quality

- Improve the quality of after-sales service provision

BIDV Cau Giay Branch needs to have a plan to build an after-sales system for credit cards in particular. For customers who spend frequently and have high payment turnover, staff need to monitor, advise and support customers to ensure payment transactions are carried out easily and quickly. In addition to guiding and informing customers about promotional programs for cardholders, staff need to present to the Branch Board of Directors the mechanism for giving birthday gifts or similar holidays to customers with large loan and deposit balances currently being carried out at the branch.

- In addition, the Branch needs to pay attention to the credit card service supply system. Specifically with the ATM system:

Ensure safety for customers: Place ATMs in places with good security and always have security guards there to ensure customers feel secure and safe when transacting at ATMs;

There should be a plan for ATM system maintenance and servicing, periodically every 3 months and when needed. Any problems must be resolved immediately, minimizing the possibility of machine failure.

Each ATM should have an easy-to-understand instruction manual, and a hotline should be set up so that customers can contact 24/7 to handle any ATM problems such as running out of money, the machine swallowing the card, running out of receipts, torn money, etc. Or the ATM can be equipped with spoken instructions so that people with low education can use the ATM more easily and simply.

3.2.2.2. Improve the quality of human resources providing credit card services

Employees are important resources that promote the success of every branch, finding talented people or people who are suitable for the job requirements is very important. To develop human resources in general business activities and payment card business in particular, BIDV - Cau Giay Branch needs to pay attention to implementing the following solutions:

First, improve the recruitment process and increase staffing for the department.

card:

BIDV - Cau Giay Branch needs to build and set high requirements on capacity.

professional skills as well as job skills such as communication skills, writing skills, work processing skills and customer care skills. In addition, the branch needs to recruit 3 more employees for the credit card department to keep up with the growth rate of credit card business in the coming time.

Second, improve the quality of training:

Branches need to conduct training, providing some basic business knowledge as well as soft skills, management skills, for staff. In addition, it is necessary to pay attention to the team of transaction officers and customer relations specialists at transaction offices to create a modern business style, at the same time, it is necessary to pay more attention to foreign language skills (especially English) at branches and transaction offices located in city centers to anticipate opportunities to expand transactions with foreign customers.

Third, build a reasonable employee compensation policy:

BIDV - Cau Giay Branch always offers preferential policies and rewards for employees linked to business performance, achieved goals and service quality that each employee provides to customers. BIDV has the following basic benefits: Regularly implement competition and reward programs such as sales competition, quarterly and year-end bonuses, to demonstrate the timeliness of the incentive policy. Continue to maintain incentive policies related to employees such as insurance, vacation, allowances, holiday bonuses, etc.

3.2.3. Complete solution for risk control and card service business management

To develop sustainable credit card services, in addition to expanding the scale and improving the quality of credit card services, BIDV - Cau Giay Branch needs to control risks well in this activity. To do so, BIDV - Cau Giay Branch needs to:

- Limiting risks from the card accepting unit: before signing a contract with a card accepting unit, the Bank needs to carefully evaluate and appraise, must meet the prescribed conditions, actual implementation needs, location of operation, business scale, products and services provided, revenue and the bank must send people to work directly to verify information. During the contract implementation process, along with regularly providing instructions on card payment, the bank needs to strengthen monitoring and inspection of card payment activities of the card accepting unit, to promptly detect major changes in revenue or unusual activities of the unit. In addition, the bank should assign specialized staff

Check and monitor the activities of card acceptance units to ensure compliance with regulations related to card payment operations. Conduct periodic and surprise inspections to support card acceptance units. If violations or abnormalities are detected, timely and appropriate measures will be taken. At the same time, there is a reward policy for employees and card acceptance units that operate well. Strict penalties for violations. When terminating the contract, the bank must collect the equipment and invoices to ensure that card acceptance units do not take advantage to conduct fraudulent transactions.

- Improving the professional and ethical qualifications of card officers, improving the quality of card officers through improving the efficiency of recruitment, and supplementing well-trained and professional officers is an urgent issue.

- Limiting risks from customers: it is necessary to further strengthen coordination with international card organizations as well as other banks and competent authorities to jointly prevent the risk of criminals making and consuming fake cards. At the same time, the Branch needs to warn each card-accepting unit about the risks of fake cards, instructing them on how to distinguish between real and fake cards. When detecting suspicious transactions, the card organization must immediately contact the agents where the transaction occurred to take timely measures.

3.3. Some recommendations

3.3.1. For Card Associations

The cooperation between member banks in the card association has created a link to promote the healthy development of the Vietnamese card market. With its confirmed role of planning strategies and orienting the development of card services in the Vietnamese market. To further promote its role, in the coming time, the Card Association should pay attention to the following issues:

The Association should also develop financial and non-financial mechanisms as well as strict sanctions to punish and encourage commercial banks to do card business.

The card association contributes ideas to improve procedures and payment processes of traditional payment methods and develop payment methods.

modern payment. In addition, the Card Association should also actively promote the benefits of using card payments to all classes of people to create consensus when cards are widely used in life.

3.3.2. Recommendations to Vietnam Joint Stock Commercial Bank for Investment and Development

Along with the socio-economic development and fierce competition in the market, BIDV needs to innovate products and create different products based on market research and customer needs. Currently, BIDV only cooperates with two international card organizations: Visa and MasterCard. In the coming time, BIDV needs to cooperate with other international card organizations such as Amex, JCB, Unionpay, etc. to diversify the bank's credit card products.

Reduce transaction fees for cardholders. Currently, BIDV's credit card fees (issuance fee, card replacement fee, management fee) are all at an average level compared to those of other banks. Meanwhile, more and more commercial banks are participating in this potential business field. Therefore, in order to compete with other commercial banks, BIDV needs to research and adjust the credit card fee schedule to suit the current living standards of the people and be the most competitive.

In addition, BIDV needs to improve the existing technology system. Build a management information system (MIS). This is a system that supports the management and operation of BIDV in general and card business activities in particular. Focus on protecting the security system to ensure safety in the BIDV system by improving the efficiency of the firewall system, regularly scanning the system for viruses, building a data encryption system on the transmission line to ensure the safety of transmitted/received data on the public transmission line, improving the reliability of the entire system, enhancing information confidentiality, avoiding information leakage and exploitation, building timely solutions when the system is illegally accessed.

CONCLUDE

In general, credit cards are a civilized and modern payment method and an inevitable trend of development in payment activities, creating conditions for the process of international economic integration in our country. With the great benefits it brings to cardholders, banks, card accepting units and especially to the economy, credit cards have become a popular payment method in the world in general and in Vietnam in particular. Developing credit card services is the right direction for BIDV - Cau Giay Branch because credit card services are products serving the modernization of the banking industry, a product that enhances the competitiveness of banks in the coming time, when most banks focus on promoting the development of the retail market.

Through the thesis, the author has completed the following tasks:

Firstly, the thesis has systematized some basic theoretical issues on the development of credit card services at commercial banks including an overview of credit card services; concepts, contents, evaluation criteria and factors affecting the development of credit card services; at the same time, the thesis also provides some experiences in developing credit card services of some bank branches and lessons learned for BIDV - Cau Giay Branch.

Second, the thesis has studied, analyzed and evaluated the current status of credit card service development at BIDV - Cau Giay Branch in the period of 2018-2020 through the current status of product development, policies, prices, fees, technology infrastructure and risk control, credit card service business management. From there, the thesis has found the limitations and causes of the limitations in the development of credit card services at BIDV - Cau Giay Branch.

Third, based on the limitations, causes of limitations and orientations, development goals of credit card services of BIDV - Cau Giay Branch, the thesis has proposed a number of solutions to improve and further develop credit card services at BIDV - Cau Giay Branch in the coming time.

However, the thesis still has some limitations as follows:

Firstly, regarding the survey sample: when conducting a survey on the quality of credit card services, due to time constraints, the author was only able to conduct the survey within the scope of Cau Giay District. Therefore, the survey results do not fully reflect the quality of credit card services of BIDV - Cau Giay Branch. If there are conditions for further research, the author will expand the scale of the survey to make the research results more accurate.

Firstly, about the research time scope: the research time scope of the thesis is only 3 years from 2018-2020. If there are conditions for further research, the author will expand the research scope in 5-10 years to have a more general view of credit card service development activities at BIDV - Cau Giay Branch.

LIST OF REFERENCES

1. Phan Nguyen Phuong Anh (2020), Improving customer satisfaction using card services at Joint Stock Commercial Bank for Foreign Trade of Vietnam - South Saigon Branch, Master's thesis in Economics, majoring in Business Administration, Foreign Trade University.

2. Nguyen Thanh Binh (2019), Improving the quality of card services at the Bank for Agriculture and Rural Development of Vietnam, Master's thesis in Economics, Hong Bang International University.

3. Nguyen Minh Kieu (2009), "Commercial banking operations", Statistical Publishing House. Hanoi.

4. Nguyen Thu Hang (2020), Business efficiency of credit card services at Transaction Office 3 - Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV - SGD 3), Master's thesis in Economics, majoring in Banking and Finance, National Economics University.

5. Le Thi Thanh Huong (2020), Developing card services at Vietnam Joint Stock Commercial Bank for Investment and Development - Thang Long Branch, Master's thesis, University of Commerce

6. Nguyen Minh Long (2020), Solutions for developing credit card services at Vietnam Joint Stock Commercial Bank for Foreign Trade, Master's thesis in Economics, major in Banking, Ho Chi Minh City University of Economics.

7. Dang Thi Nga (2020), Development of credit card services of Vietnam Joint Stock Commercial Bank for Industry and Trade - Dong Hai Duong branch, Master's thesis, University of Commerce

8. Trinh Hoang Nam (2019), “Developing the credit card market in Vietnam” Banking Technology Magazine, No. 100, page 55.

9. State Bank (2007), “Decision No. 20/2007/QD-NHNN promulgating regulations on issuance, payment, use and provision of support services for bank card activities dated May 15, 2007” of the Governor of the State Bank

10. Joint Stock Commercial Bank for Investment and Development of Vietnam - Cau Giay Branch (2018, 2019, 2020), Business performance report, Hanoi.

Comment