Momo, Home Credit partner to promote cashless consumer finance

Under this partnership, consumer financial services will be gradually provided via their mobile apps, instead of being handled offline and using cash at transaction centres which lacks safety and is time-consuming.

Nguyen Ba Diep, Vice Chairman of the Board of Director of the M_Service company – owner of Momo, said the rate of Vietnamese people accessing financial services is still low, about 30%, due to various reasons, and the fastest way to improve the situation is applying technology. Momo has technology and needs specialist partners to facilitate access to financial services.

Branislav Vargic, Chief Operations Officer at Home Credit Vietnam, said his company has decided to further cooperate with technological partners to bring the best benefits to customers, helping them swiftly access financial services.

He described his firm’s cooperation with Momo as a landmark in the consumer finance sector’s advancing towards Industry 4.0.

Experts said consumer finance plays an important role in economic development in Vietnam and the world, helping to promote consumption, people’s access to credit services and capital turnover. In Vietnam, the consumer finance market has grown continually, by nearly 30 percent each year.

Branislav Vargic said rising income will encourage consumers to spend more, especially in an expanding economy. This is a chance of the consumer finance market. 

Meanwhile, consumers are switching to online transactions, instead of using cash, and this partnership will also help promote a safe consumer finance market, he added.

Home Credit has had 8.1 million clients in Vietnam and got over 2.5 million downloads for its mobile app with about 1.8 million clients managing consumer loans via this app. Meanwhile, Momo now has over 8 million app users and another 3 million using its services at transaction offices.