Purchasing power 'revives', consumer credit is bustling

Domestic purchasing power is recovering strongly.

After a period of stagnation due to economic fluctuations and weak demand, the Vietnamese consumer market is regaining its "breath". According to the General Statistics Office, the total retail sales of goods and consumer service revenue in the first 10 months of 2025 is estimated at 5.77 million billion VND, up 9.3% over the same period last year. Despite being affected by natural disasters and floods in some localities, this increase still shows that domestic purchasing power is recovering strongly, especially when entering the peak season at the end of the year and the upcoming Lunar New Year.

The revival of consumption not only fuels the retail industry but also “fans fire” in the consumer credit sector, a sector that had stagnated during the difficult economic period. Currently, outstanding consumer loans are about 3 million billion VND, accounting for more than 20% of the total outstanding credit of the economy. According to experts, this number still has a lot of room to expand when the demand for loans for consumption, home repair, vehicle purchase, education, travel , etc. is clearly increasing.

Financial experts believe that consumer loan demand will increase again by the end of 2025 and the following year thanks to the economic recovery. “The consumer credit market is entering a new growth cycle,” said Dr. Nguyen Quoc Hung, Vice Chairman and General Secretary of the Vietnam Banking Association. At the same time, he said that domestic demand and policy support packages will create important momentum for credit institutions.

*Currently, outstanding consumer loans are about 3 million billion VND, accounting for more than 20% of the total outstanding credit of the economy. Photo: Duy Minh*

In fact, after the restructuring and customer segment screening period, many financial companies and commercial banks have recorded positive results. VPBank 's Q3/2025 report shows that consolidated profit reached more than VND 20,395 billion, up 47% over the same period last year, in which FE Credit, a affiliated consumer finance company, has recovered impressively with 9-month profit equivalent to the results of the whole year 2024. FE Credit representative said that this result comes from focusing on quality customers, increasing debt collection and refining the operating system.

Not only FE Credit, HD SAISON (under HDBank) also made a strong impression when it achieved a profit of 1,100 billion VND, return on equity (ROE) of up to 24.4%. Meanwhile, HDBank recorded a total consolidated pre-tax profit of 14,803 billion VND in the first 9 months, up 17% over the same period last year.

In the same positive direction, Tin Viet Finance Joint Stock Company (TIN) achieved a profit after tax of 369 billion VND, an increase of more than 1,100%. Similarly, Electricity Finance Joint Stock Company achieved a profit before tax of 904.5 billion VND, an increase of nearly 68%... These figures reflect a strong "revival picture" of the consumer finance sector, a sector that was once under pressure from bad debt and high capital costs.

Analysts say that with the economic growth target of 8.3 - 8.5% this year, along with a series of stimulus policies, increased purchasing power and improved consumer confidence, the consumer credit market will continue to thrive.

In particular, recently, the Government issued an Official Dispatch requesting ministries, branches, localities and enterprises to coordinate in strongly implementing solutions to develop the domestic market, emphasizing the provision of credit packages to support production, business and consumption with favorable borrowing conditions.

In parallel, many large-scale stimulus programs have been, are being and will be implemented such as: The first Autumn Fair - 2025, the National Concentrated Promotion Program 2025, along with a series of incentives from retail systems and manufacturing enterprises. The year-end shopping atmosphere is forecast to be more vibrant, leading to an acceleration in consumer loan demand, opening a "golden season" for credit institutions.

*The year-end shopping atmosphere is expected to be more vibrant, leading to an acceleration in demand for consumer loans. Photo: Tuan Nguyen*

Expanding access to consumer credit

Seizing this opportunity, commercial banks have quickly launched preferential consumer credit packages with low interest rates and flexible conditions. Accordingly, Agribank, Vietcombank, BIDV, VietinBank, VPBank, SHB, VIB... have simultaneously implemented loan programs for living, consumption, home purchase, car purchase, study, and personal business.

More specifically, VIB continues to selectively expand credit, focusing on core products such as home loans, car loans and personal business loans, targeting customers with good collateral and transparent legal documents. Meanwhile, FE Credit is implementing a credit package with up to 50% interest rate reduction from October 30 to the end of November 2025 to support people in provinces heavily affected by floods such as Thai Nguyen, Bac Ninh, Lang Son and Cao Bang.

A representative of FE Credit said that the program not only aims to provide immediate financial support but also to create a foundation for sustainable recovery for people in disaster areas. “The company hopes that the credit package with preferential interest rates will help people repair their homes, buy necessities and stabilize their lives after the disaster,” he shared.

Along with the efforts of credit institutions and financial companies, the State Bank is also perfecting the legal framework to expand access to credit for people. According to the draft amendments to Circular 43/2016/TT-NHNN and Circular 18/2019/TT-NHNN, the State Bank proposes to increase the total outstanding consumer loan limit of a customer at a financial company from VND 100 million to VND 400 million. This is considered a step in line with the current economic and social development and living standards of the people.

However, industry experts also note that it is necessary to strictly control credit risks when expanding the scale of lending. Dr. Nguyen Quoc Hung emphasized: "Lending must have a clear purpose and be proven. It is unacceptable to lend without controlling the purpose of capital use."

He also warned that increasing the direct disbursement rate for unsecured loans poses a risk of fraud or misuse. Therefore, financial companies must strictly comply with the law when issuing professional regulations. “If they do wrong, they can still be held accountable even 10-15 years later. The most important thing is to protect your staff by doing the right thing,” Mr. Hung emphasized.

From the direction of the management agency and the self-renewal efforts of credit institutions, the Vietnamese consumer finance market is showing remarkable resilience. When purchasing power revives, consumer credit not only contributes to promoting economic growth, but also becomes an important "bridge" between the banking system and the people, helping legal capital flow in the right direction, nurturing domestic consumption, serving the goal of sustainable development.

Currently, Vietnam has 16 financial companies licensed to operate by the State Bank. Among them, we must mention names such as: FE Credit, HD Saison, Mcredit, Home Credit, VietCredit, Lotte Finance, EVN Finance, TNEX, Mirae Asset...

Source: https://congthuong.vn/suc-mua-hoi-sinh-tin-dung-tieu-dung-nhon-nhip-429611.html