(Luận văn) solutions to improve the quality of capital mobilization at techcombank phuc yen branch

THANK YOU After my internship at a teller office of Vietnam Technological and Commercial Joint Stock Bank (Techcombank Phuc Phuc branch), with the enthusiastic help and advice from the staff in Techcombank, I finished my paper Graduate internship report During the time of studying and studying at the bank, there was only months but lu an I learned from practical experiences which are very different from the theory of va books on the school chair I would like to express my sincere thanks to the Board n of Directors of Vietnam Technological and Commercial Joint Stock Bank to tn (Techcombank Phuc Phuc branch), the staff and employees of the bank for creating gh favorable conditions for me throughout the practice p ie I would also like to send a special thank you to Ms Dang Thuy Nhung who nl w report accompanied and took care of the province during the process of completing this d oa During the internship in the bank as well as in the process of completing the report, because of the limited time and limited experience, it is difficult for me to avoid lu va an mistakes, I hope teachers in the International Training Department give up Pass and teach me more I look forward to receiving the sincere contributions from the nf work in the future Thank you sincerely ! z at nh Students practice oi lm ul teachers to improve knowledge and supplement experience to serve the practical z m co l gm @ an Lu n va ac th si TABLE OF CONTENTS LIST OF ABBREVIATIONS LIST OF TABLES FOREWORD The urgency of the topic lu an In the current trend of globalization and modernization, integration into the region va or the world is an indispensable trend for any country, Vietnam is no exception n The goal of the Party and the State is to fulfill the task of industrialization - to tn modernization, bringing Vietnam from an agricultural country to an advanced gh industrialized country In particular, to perform this important task, which is one of p ie the prerequisites to contribute to economic growth, the level of economic growth will depend on the size and efficiency of investment capital nl w In particular, the system of commercial banks is always the largest financial d oa intermediary and also the financial intermediary that economic entities transact most often in any country Important functions such as intermediary payment, lu va an credit intermediaries, banks have made positive contributions to promoting goods circulation, speeding up payment, capital flow, saving much cost Especially with nf oi lm ul capital mobilization activities, the bank will mobilize and focus idle capital sources, thereby providing capital to ensure that all production, business and transactions processes are carried out continuously and according to regulations z at nh Production scale has been expanded, promoting import and export activities, contributing to creating jobs for workers z @ In order to attract the most efficient capital, the banks must set up a plan to attract gm capital efficiently and reasonably However, this work is always affected by many m co l complex and constantly changing factors, especially in the context that the economy of the country is facing difficulties in curbing inflation and stability The an Lu n va ac th si economy, in addition to the fierce competition between banks, so the implementation of the bank's plan to attract capital is facing many difficulties and obstacles Therefore, capital mobilization is one of the most important activities of a commercial bank, not only affecting the bank's business activities but also lu an affecting the country's economic growth, requiring a large amount of capital va investment to meet current economic needs Thus, raising capital for business will n be put first with commercial banks and Techcombank Phuc Yen is no exception to tn During my internship at the bank, I realized the importance of raising capital, along gh with the knowledge of school training, I learned about the actual situation at p ie Techcombank Phuc Yen and chose the topic: " Solutions to improve the quality of capital mobilization at Techcombank Phuc Yen branch ”as the topic of her d oa Research purpose nl w graduation thesis report and research - Research the theoretical basis for capital mobilization and efficiency of lu va an commercial banks' capital mobilization in the market economy - Analyze and assess the status of capital mobilization at Techcombank Phuc Yen oi lm ul nf branch - Proposing solutions to improve capital mobilization efficiency at Techcombank Phuc Yen branch z at nh Research subject and scope - Subject of the study is the capital mobilization work at Techcombank, Phuc Yen z @ branch m co Research Methodology l 2019 gm - Research scope is Techcombank's Phuc Yen branch's activities in 2017, 2018 and an Lu n va ac th si Research methods are mainly used: - Methods of collecting information - Statistical and analytical methods - Information collected through many channels such as financial statements (2017, 2018, 2019), departments of Techcombank Phuc Yen branch, \ - The analytical method uses the collected information, combined with the methods lu an of comparison, comparison, aggregation of information, thereby making comments va on the capital mobilization picture at Techcombank Phuc Phuc branch n Topic structure to p ie gh tn The thesis is presented in chapters with the following basic contents d oa nl w oi lm ul nf va an lu z at nh z m co l gm @ an Lu n va ac th si CHAPTER I: THEORETICAL BASIS ON CAPITAL EFFICIENCY EFFICIENCY OF COMMERCIAL BANKS 1.1 OVERVIEW OF COMMERCIAL BANK 1.1.1 Definition of commercial banks According to Assoc.Prof Dr Phan Thi Thu Ha: Banking is a type of credit institution that performs all banking activities and other related business activities lu an According to the nature and operational objectives, the types of banks include va commercial banks, investment banks, policy banks, cooperative banks and other n types of banks ” to tn According to Assoc.Prof Dr Le Van Tien “Banking activities are money gh trading and banking services with regular content of receiving deposits and using p ie this money to provide credit and provide payment services maths" According to Assoc.Prof Dr Phan Thi Cuc “Banks are financial institutions nl w that provide a list of the most diverse financial services - especially credit, savings, oa payment services and performing a variety of financial functions the most d important of any business organization in the economy ” lu va an Within the scope of the essay, the author uses the definition of Assoc Prof Phan Thi Thu Ha and this definition is used throughout the essay oi lm ul 1.1.2.1 For commercial banks nf 1.1.2 Roles of commercial banks Commercial banks have full discretion over the risk This only happens when z at nh banks offer loans to businesses or individuals For example, when individuals want to borrow money from a bank, the bank will check the borrower's finances, z @ including income, credit scores, debt levels and other factors The results of this gm analysis help the bank assess customers' solvency By eliminating risky customers, m co l commercial banks reduce the risk of financial losses As a result, loans grow an Lu n va ac th si without any problems, thereby creating a larger source of capital for banks to continue lending, supporting economic development 1.1.2.2 For customers Commercial banks are places of deposit - deposits of customers, and use of deposits for profit-making purposes, and interest for customers In addition, commercial banks ensure loans to reach trusted customers Customers often use lu an their loans to make big deals, such as buying a home, investing in education and va making expenditures n 1.1.2.3 For economy to tn • Banks are the source of capital for the economy gh Commercial banks were born as a key to help those who need capital to get capital p ie and people with temporary idle capital can earn interest from capital Banks can also balance capital in the economy to help all economic sectors develop together nl w Banks will mobilize idle temporary capital from businesses, individuals will then d oa re-supply to those in need of capital to conduct reproduction with more modern equipment, create better products have a higher profit The more society lu an develops, the more capital it needs for the economy No organization can meet it nf va • Banking is a bridge between businesses and markets oi lm ul In a market economy, enterprises not have to produce anything but always have to answer three questions: what to produce? how to produce ? and for whom? Means production according to market signals The market requires businesses to z at nh produce products with better quality, better designs, in accordance with the tastes of consumers In order to so, businesses must be invested with modern z @ technology lines, the qualifications of officials and workers must be improved gm These activities require businesses to have a large amount of investment capital innovations, get quality products, cheap prices, improve competitiveness m co l big and to meet only the banks The bank will help businesses to implement their an Lu n va ac th si • Commercial banks are macroeconomic regulating tools of the State Commercial banks as the currency center of the whole economy, ensuring the harmonious development for all economic sectors when participating in production and business activities, can be said every assignment The Bank's actions have affected more or less other economic sectors Therefore, the effective operation of commercial banks through its business operations is really a good tool for the State lu an to conduct macro-economic regulation va Commercial banks directly contribute to expanding the amount of money supplied n in circulation On the other hand, with the lending of components in the economy, to tn commercial banks have conducted the direction of cash flows, gathering and gh distributing capital of the market, controlling them effectively, ensuring adequate p ie supply timely enough capital needs for the reproduction process as well as implementing the role of indirect regulation macro economy d oa finance nl w • Commercial banks are the bridge between national finance and international Commercial banks are intermediaries and bridges to integrate Today, offshore lu va an investment is an important and profitable investment At the same time, countries need to export goods that they have a comparative advantage and import those they nf oi lm ul lack Commercial banks with business operations such as receiving deposits, loans, guarantees and especially international payment operations, have contributed to facilitating and promoting foreign trade be expanded and developed z at nh 1.1.3 Basic operations of commercial banks Modern commercial banks operate with three main operations: capital z @ raising operations, capital operations and other intermediaries These three gm operations have a close relationship, supporting and promoting each other to m co l develop, creating a reputation and competitive strength for commercial banks, an Lu n va ac th si which intertwine each other in the process of operation of the Bank , creating a unified whole in the business operation process of commercial banks 1.1.3.1 Capital raising operations Chart 1: Capital raising operation lu Commercial Bank an va Use of funds n Capital mobilization Intermediates tn to Credit institutio n Loan Capital reserve Invest Guarantee Invest Provide insurance p ie gh Dep osits Issue value papers d oa nl w va an lu • Deposit receiving operation This is a business that reflects the activities that the Bank receives deposits nf oi lm ul from businesses for payment or for the purpose of preserving assets from which commercial banks can mobilize In addition, commercial banks can also mobilize idle money of individuals or households deposited in banks with the purpose of • Valuable paper issuance profession z at nh preserving or earning interest on the deposits z @ Commercial banks mostly use this service to attract relatively stable and gm long-term capital, to ensure the ability to invest, to fully provide medium and long- risks and enhance stability in business operations m co l term credits economy Moreover, this service also helps commercial banks reduce an Lu n va ac th si • Transactions from other credit institutions Borrowing service is used frequently by commercial banks to create business capital for themselves by borrowing credit institutions in the money market and borrowing from the State Bank in the form of rediscount or secured loans The loans from the State Bank are mainly aimed at creating a balance in the management of capital of the commercial bank itself when it cannot balance the lu an capital on the basis of on-site exploitation va 1.1.3.2 Capital-using operations n • Lending operations: to tn Lending is the most important business of commercial banks Commercial gh banks borrow to lend, so whether or not to lend is a problem that all commercial p ie banks have to find ways to solve Normally, profit from lending activities accounts for 65-70% of total bank profits Lending operations can be classified in several nl w ways: by short-term, medium-term, long-term loans, by the form of secured loans, d oa unsecured loans, by the purpose of having loans Loans for real estate, commercial loans, personal loans, agricultural loans, leasing loans, lu va an • Financial investment operations In addition to credit operations, commercial banks also use capital mobilized nf oi lm ul from the population, from economic and social organizations to invest in the economy in the forms of capital contribution, capital contribution, business securities and directly earn a return on those investments z at nh 1.1.3.3 Other intermediaries • Payment service: It can be said that the bank is the cashier of the economy z @ Businesses and economic organizations will not have to waste time when buying m co l accurately by banks gm or selling goods and services because the payment will be made quickly and an Lu n va ac th si • Consulting and brokerage services: Banks act as intermediaries for buying and selling securities, advising on investors buying and selling securities and real estate • Other services: Bank manages assets, holds gold, money, leases safes, security, etc 1.2 Capital mobilization from commercial banks lu an 1.2.1 Concept va According to Assoc.Prof Dr Phan Thi Thu Ha: Capital mobilization is n considered as one of the earliest business operations in commercial banks In the to tn early stages of banking operations, this operation was simply storing valuable gh assets for safety purposes and at this time the sender had to pay, not the bank p ie Those amounts are only deposits and not completely play a role as a source of capital for commercial banks Money at this time is not considered a currency in its nl w own right because it is not capable of circulating and generating profits d oa Assoc.Prof Dr Le Van Tien, capital mobilization is a business of the bank where the bank uses a variety of tools and measures to create capital sources to ensure lu va an that capital mobilization activities are continuously conducted 1.2.2 Characteristics of capital mobilization nf Banks oi lm ul • First: Capital mobilization has a direct impact on the size of operations of the Capital mobilization has a direct impact on the expansion or contraction of z at nh credit, guarantee activities or in payment activities of the Bank Normally, compared with small banks, large banks have more diversified investment, lending z @ items, and also the scope and credit volume While small banks limit the scope of gm activities mainly in a small area or in a country If the bank's capital capacity is m co l large, the bank can expand the size of the credit volume, can finance large projects an Lu n va ac th si • Capital raising scale Table 6: Capital raising results of banks in Phuc Yen (2017 -2019) Unit: million dong Bank Year2017 Year 2018 Year 2019 Value Growth (%) Value Growth (%) an 43.06 453.968 40.43 Vietcombank 228.624 316.367 38.38 473.364 49.62 114.354 175.683 53.63 210.364 19.74 115.178 151.364 31.42 186.667 23.32 108.364 139.362 28.61 158.348 13.62 73.125 36.36 96.162 31.50 33.56 83.357 42.85 -32.93 29.314 20.31 -33.05 31.09 21.034 -11.89 va 323.275 n lu Techcombank 225.975 tn to Agribank Viettinbank p ie gh BIDV 53.625 VIB 43.689 oa nl w Bank Bình An 58.352 d 24.365 SHB 29.365 36.325 24.321 VP Bank 107.698 139.843 29.85 183.321 23.872 58.84 Bank va 23.70 z at nh Source: Techcombank Phuc Yen branch oi lm ul Đông Á Bank 15.029 an 36.328 nf lu Maritime The above is a summary of the capital mobilization situation of some banks in z @ Phuc Yen city in the period of 2017 - 2019 There are many banks in the city, m co l Techcombank is one of the banks with high mobilized capital gm showing fierce competition, but we have It can be seen that Phuc Yen an Lu n va ac th si According to the evaluation report of VietNam Report (VNR), Techcombank is listed among the most prestigious commercial banks in Vietnam (2019) Figure 1: List of Top 10 reputable Vietnamese commercial banks lu an n va p ie gh tn to d oa nl w an lu va Currently, TechcomBank is second only to VietcomBank and Viettin Bank In the ul nf statistics table of TechcomBank Phuc Yen branch, the total mobilized capital of oi lm TechcomBank Phuc Yen in the period of 2017 - 2019 closely follows the branch of VietcomBank (the difference is only from 2,649 - 19,396 million VND) Notably, z at nh in 2018, the total capital of Techcombank Phuc Yen was 6,908 million VND higher than Vietcombank This shows that the trust of Techcombank branch in z Phuc Yen is quite high to customers m co l gm @ an Lu n va ac th si Chart Title 500,000 450,000 400,000 lu an 350,000 n va 250,000 p ie gh tn to 300,000 nl w 200,000 d oa 150,000 lu nf va an 100,000 50,000 oi lm ul Năm 2017 Năm 2018 Năm 2019 z at nh Techcombank Vietcombank Agribank BIDV An Bình Bank VIB SHB VP Bank Đông Á Bank Viettinbank Maritime Bank z gm @ • Capital raising cost In the course of production and business activities, every business needs to invest a l certain cost and the bank is not an exception In order to attract idle capital from m co an Lu n va ac th si individual customers, economic organizations, commercial banks must pay a cost of capital mobilization, interest payment, marketing, advertising, marketing… The situation of Techcombank Phuc Yen's cost of capital mobilization is shown in the following table: Table 11: Capital mobilization costs over years lu an Unit: million dong n va Year 2017 Year 2018 Year 2019 Capital raising cost 5.310 3.698 28.369 Total cost 6.998 5.365 43.685 75.8% 68.9% 64.9% tn to Target Capital mobilization expense / Total gh cost ie p Source: Techcombank Phuc Yen branch Capital raising expenses include interest payable to depositors and other expenses w oa nl related to capital mobilization activities such as advertising expenses, material expenses, salaries of officials capital mobilization In the structure of cost of d an lu capital mobilization, interest expense always accounts for the highest proportion because the Bank mainly attracts customers with interest rates It is natural for the va ul nf bank to increase its annual interest payment expenses, to increase the mobilized oi lm capital to meet the demand for credit expansion, in order to increase its competitiveness with other banks in the market Increasing interest expenses also z at nh increased the cost of capital of the transaction office In 2017, the average cost of capital was 75.8% by 2018 to 68.9% and in 2019 to 64.9% Cause in 2017, the z bank had a sharp increase in the average cost of capital mobilization because @ commercial banks had races to raise deposit rates, pushing interest rates up rapidly gm Under these circumstances, banks could not help but raise deposit rates By 2019, l the State Bank has once again increased its savings deposit interest rates due to the m co an Lu n va ac th si soaring price of gold and foreign exchange, which is an inevitable fact that the bank's cost of mobilization also increases rapidly The profitability of raised capital represents how much of the profit after capital mobilization will be The higher this indicator, indicates the positive development of the bank Table 6: Capital raising results according to profitability targets of mobilized lu an capital Year 2017 Target Percenta n va Unit: million dong gh tn to [1] Total raised capital p ie [2] Profit after tax Value % Percenta Year 2019 Value % Percent Value % ge ge age 225.975 323.275 143.06 453.97 140.43 1.962 1.536 78.29 8.032 522.92 0.87 0.48 Comment [ND5]: Nhầm lẫn dấu chấm phẩy Comment [ND6]: Xem lại số liệu Bất hợp lý 1.77 Comment [ND7]: Tính sai số liệu sai oa nl w Profitability = [2]/[1] Year 2018 In this table, we calculate the profitability of raised capital as follows d an lu Profitability = Profit after tax / Total capital raised Meaning: mobilized capital will create 0.87 dong profit after tax va nf From the above table, it can be seen that, although the total mobilized capital tends oi lm ul to increase over the years, the profit after tax target has a large fluctuation, a decrease in 2018 and a sudden increase in 2019, resulting in a volatility of z at nh profitability indicators Thus, we have seen the efficiency of using capital mobilization at Techcombank in the period from 2017 - 2019 z 2.3 Commenting and assessing the situation of capital mobilization at m co l gm 2.3.1 These achievements @ Techcombank, Phuc Yen branch an Lu n va ac th si With the best effort from the leadership to the entire staff Techcombank Phuc Yen Branch has achieved the following outstanding achievements: - Although the bank branch was newly established, the net profit in the years from 2017 - 2019 continued to increase - The branch has offered many packages of products and services to customers For savings deposit: demand savings and term deposits in VND and lu an foreign currencies, bonus savings, accumulated savings, savings, flexible principal va savings, 12 month term savings flexible, day savings, electronic savings, savings n accounts, automatic savings Lending is available: car loans, home loans, business to tn and production loans, VND loans with special interest rates, by items and by gh limits, medium and long-term investments by items, by limits, pledge valuable p ie papers, export documents and many other domestic and international payment 2.3.2 Limitations nl w products and services d oa Despite great efforts, the Bank's branch still has some limitations such as: - Bank branches still use too much borrowed capital from CIs while they have lu va an not exploited much idle capital from people - The use of mobilized capital for lending still faces many difficulties in the nf oi lm ul debt recovery phase, although the overdue debt ratio is small The bank is still not highly focused and thorough in the debt recovery phase, resulting in an increasing loan balance z at nh - In addition to the traditional form of deposits from customers' deposits, other forms of deposits such as issuance of valuable papers are quite limited z @ - Although information on new products and services has been transmitted to m co 2.3.3 The cause of the limitations l communication channels gm entities in the economy, the Branch has not fully exploited the existing information an Lu n va ac th si Objective reasons: - Although Techcombank has made great progress in developing new types of services in capital mobilization and some other business services, but compared to other products and services on the financial market, it is still quite poor complaining, monotonous, features and utilities are not highly competitive compared to other commercial banks in the area such as: Viettinbank, lu an Vietcombank va - The premise of material and technical, especially management techniques and n technology platforms, is still poor, not commensurate with the potential and to tn affecting the support of the Bank's core products The modernization program has gh not been completely completed, so the exploitation and reporting of data still face p ie many difficulties - Increasing and more effective participation in the economy of financial nl w intermediaries such as securities companies, financial companies, insurance d oa companies, postal savings Banks not only compete with each other to dominate, but also against other financial institutions lu va an - The socio-economic environment is not really favorable for the bank's operation The impacts from macroeconomics are one of the most basic factors that nf oi lm ul strongly influence the capital mobilization of the unit In the context of the global economic downturn, Vietnam is no exception People's income decreased, unemployment increased, accumulated assets in society decreased, causing z at nh difficulties in mobilizing of banks In an economic downturn, people often avoid risking their capital by investing in gold or other types of hoarding assets z @ Subjective reasons: gm - Developing more new products to raise capital not much Although the forms m co l of mobilization have diversified, they have not been really attractive to customers and besides, the branches of joint stock commercial banks have developed strongly an Lu n va ac th si and always applied higher deposit rates Although the branch has applied the issuance of promissory notes and bonds, the interest rates have not been really flexible Bills and bonds only had fixed interest rates, no guaranteed slippage, limiting the attractiveness of depositors The development of the market requires the bank to provide a diverse portfolio of related services - Although there are software applications in raising capital and managing cash lu an flow in and out every day, but it is still in the process of finishing to make the va software run well, sometimes system and network errors sometimes occur crashes n affecting operations, making customers wait to tn - Marketing operations of the branch are conducted without high efficiency gh The forms of advertising as well as understanding customer psychology have not p ie been focused Marketing has been set up but has not been given the proper d oa nl w attention to promoting products in the localities oi lm ul nf va an lu z at nh z m co l gm @ an Lu n va ac th si CHAPTER 3: SOLUTIONS TO IMPROVE THE EFFICIENCY OF MOBILIZING DEPOSIT CAPITAL AT THE TECHCOMBANK OF PHUC YEN BRANCH 3.1 Opportunities and challenges in Techcombank's capital mobilization lu Opportunity In the period of 2017 - 2019, when the economy is developing stably and va • n an activities to tn firmly, GDP is estimated to reach 6.68% mainly due to the increase in head and gh domestic personal consumption Favorable macroeconomic conditions have helped p ie stabilize the banking system Techcombank's business environment and business results have improved significantly in terms of abundant liquidity, a significant d oa increased steadily nl w reduction in the NPL ratio to less than 3%, the demand for savings and credit In addition, Phuc Yen Techcombank has created the interest, cooperation lu va an and trust of customers This is a contributing factor to help business operations in general and capital mobilization in particular of the banks in Phuc Yen city area oi lm ul nf achieve high results Along with the advantages of external factors such as geographical location, enthusiastic advice of staff; within Techcom bank in Phuc Yen branch, the z at nh employees have solidarity and ideas in their work The organizational structure of the bank is compact, logical, most of the staffs of the Branch mostly have z @ university, post graduate and high professional qualifications Since then, creating Challenge m co l • gm a specific feature in customer service skills of TechcomBank Phuc Yen branch an Lu n va ac th si In recent years, the Vietnamese banking industry has undergone a drastic change, gradually moving deep into the process of international integration Vietnam's successful signing of a series of free trade agreements, especially the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has created new challenges for Techcombank's banking system and Phuc Yen Techcombank branch lu an The fierce competition among other Bank branches such as Vietcom, Viettin, va BIDV with a series of programs and explosive incentives will bewildering n customers, comparing the benefits between the banks It is completely to tn unavoidable, requiring Techcombank Phuc Yen branch to train technicians and at gh the same time compare with competitors to create its own strengths p ie Currently, in Phuc Yen city, there are many industrial parks and foreign business organizations, so foreign banks with strong financial and management capacity nl w will approach the area, because That makes the competition even tougher d oa Specifically as Woori Bank, Shinhan Bank, ANZ, In addition, human resources also play a key role in the development of lu va an Techcombank's branches In the context of integration, many industries have been developed and flourished, so the personnel of the banking industry has been nf staff for branches or super-branches oi lm ul decreasing and the training process has been prolonged, resulting in a shortage of 3.2 Solutions to improve the efficiency of capital mobilization at z at nh Techcombank, Phuc Yen branch 3.2.1 Expanding the capital mobilization network z @ Currently, Phuc Yen city has Techcombank transaction offices, gm concentrated in the city center This will not expand the bank's operation scale m co l Therefore, in order to encourage and advise people to deposit money, Techcombank Phuc Yen needs to arrange a wide operational network, open more an Lu n va ac th si transaction offices and savings funds with more employees, specifically as zones neighborhood: Thanh Tuoc, Hung Vuong ward, or Honda area,… With a wide network of transaction offices, Phuc Yen Techcombank will attract more potential customers 3.2.2 Diversifying forms of capital mobilization At the present time, although the capital mobilization form of Techcombank lu an - Phuc Yen branch is quite diverse and plentiful, the total mobilized capital has not va reached the set plan In order to raise more and more capital, Techcombank Phuc n Yen Branch needs to diversify forms of mobilization, specifically as follows: to tn • Diversifying savings deposits gh In addition to the current terms (3 months, months, months, 12 months), p ie banks need to open more deposit terms such as years, years, Even longer It also needs flexibility in depositing more money in the term The application of nl w different forms of time savings deposit with different terms will increase medium oa and long-term capital, facilitating the diversification of the bank's use of capital d • Issuing, extending personal savings, issuing personal checks and payment cards: lu va an Personal checks and payment cards are considered to be the main form of payment in the future suitable to the 4.0 era This form helps the bank attract idle nf oi lm ul capital sources from the population with low interest rates At the same time, developing personal accounts contributes to modernizing the process of payment via banks, reducing the amount of cash in circulation z at nh In addition, with payment accounts, customers will use the "Fast mobile" application, in this application will allow customers to send savings online without z @ having to go to the counter, this is a new form but It is not attractive to customers, adjust interest rates to suit the market as well as current competitors m co • Applying forms of long-term savings mobilization l gm because the time for deposit is limited, and the interest rate is too low, so it can an Lu n va ac th si Techcombank Phuc Yen Branch can apply the following types of long-term savings mobilization: + Form of saving and retirement pension: For those who have current income, want to save a part of income for future consumption when they grow old by monthly deduction of income to deposit into account this This is like social insurance for the elderly lu an + Housing saving form: For people who have low and middle income without va housing Specifically: depositors can use the savings in the bank to borrow more n money to buy houses in the long run For example, when buying a house of to tn Vinhome, customers can borrow a house for a period of 35 years, this is one of gh Techcombank's strong incentives to support customers while there is no bank p ie lending to customers during the time so much • Enhancing the form of selling insurance through Bancassurance nl w Currently, Techcombank is the market leader in the distribution of life d oa insurance products via banks, accounting for 26-30% of the market on this distribution channel However, at present, Techcombank is only selling Manulife lu va an Vietnam's insurance, but there are a lot of insurance on the market such as AIA, Dai - ichi, Prudential, Hanwha, Each insurance company has its own strengths, nf oi lm ul so Techcombank, apart from the exclusive selling of Manulife Vietnam's insurance, can associate with many other insurance companies, aiming to be an insurance agent to enhance its abundance and diversify on this Bancassurance z at nh channel • Savings in foreign currencies (mainly US dollar - USD), gold savings, gold z @ guaranteed savings gm Currently, the demand for loans in US dollars by individuals, organizations m co l and businesses through the banking system is huge However, Phuc Yen Techcombank has not met that demand yet, due to complicated loan procedures, an Lu n va ac th si low capital in USD (due to low interest rates of USD savings), so in the future it is necessary to build many packages products with more deals 3.2.3 Simplify procedures in banking operations With the current fierce competition among banks, complicated procedures will be a huge obstacle for Techcombank Phuc Yen in attracting customers Therefore, the bank should take measures to streamline procedures, simplify lu an procedures in the process of receiving deposits and loans, such as the training of va staff to take action quickly possible n 3.2.4 Enhancing bank marketing in line with the business strategy of each to tn period of Phuc Yen Branch Techcombank gh Currently, marketing activities of the bank are very poor The race of deposit p ie interest rate and lending interest rate also affects the branch Therefore, marketing nl w interested activities to promote the Bank's image, create a reputation The Bank is always d oa Specifically: running ads ads, sending messages through customer data, promoting making ATM cards, giving credit cards to long-term customers, lu va an applying preferential interest rates to loyal customers, In addition to the solutions proposed above, Techcombank Phuc Yen also nf oi lm ul needs to regularly foster and improve its professional skills, innovate transaction styles, modernize banking technology and improve the quality of banking services z at nh …… z m co l gm @ an Lu n va ac th si CONCLUDE The banking system is the largest capital transfer intermediary in the lu an economy, having a great influence on economic development Banks have va successfully mobilized capital, used capital effectively to bring a large amount of n investment capital for large economies, creating new strength for the economy to to tn reach out to achieve achievements and progress new After practicing at the unit, I gh realized that this is a reputable branch and made great efforts in capital p ie mobilization activities, credit activities contributed a significant part to the economic development of Phuc City Yen over the years However, due to the nl w fierce competition of the banking market as well as the requirements for d oa operational renewal, the branch should continue to maintain the existing advantages and develop many ways to raise capital and open capital credit scale lu va an expansion, besides, the bank's products and services such as investment advisory, payment, etc also need to be improved and improved to continue to stand firm and nf oi lm ul enhance brand value Techcombank further on the market z at nh z m co l gm @ an Lu n va ac th si APPENDIX lu an REFERENCES va n (1) Financial statements 2017, Accounting Department, Vietnam Technological to tn and Commercial Joint Stock Bank - Phuc Yen Branch gh (2) 2018 Financial Statements, Accounting Department, Vietnam Technological p ie and Commercial Joint Stock Bank - Phuc Yen Branch (3) Financial Statements 2019, Accounting Department, Vietnam Technological nl w and Commercial Joint Stock Bank - Phuc Yen Branch d oa (4) Diagram of organizational structure, Administration Department, Vietnam Technological and Commercial Joint Stock Bank - Phuc Yen Branch lu Finance Publishing House nf va an (5) Administration of commercial banks, Assoc Prof Dr Nguyen Thi Mui, oi lm ul (6) Financial - monetary - banking syllabus of Assoc TS Nguyen Van Tien published the second time of Statistical Publishing House (7) Banking risk management, GS Duong Huu Hanh, Labor - Social Publishing z at nh House (8) Administration of commercial banks, GS-TS Nguyen Van Tien, Lao Dong z m co l gm @ Publishing House an Lu n va ac th si