Many banks will report losses this year

"Some banks the last few years has pushed beyond the table of bad debt accounting. If this year can not be recovered these amounts will be made up on books and some banks reported losses will increase"Dr. Nguyen Tri Hieu, 30 years specialist activities in the financial sector bank said.
 He reviews how about bank profits in 2011?
I was happy that many banks do effective, positive business results during tough economy, doing business hardships. Although the public has mixed opinions about bank profits in the context of doing business difficult.
However, some banks have announced losses of business results, especially in the field of forex trading?
The foreign exchange market is the largest market risk, banks engaged in business in this area with customer support functions to import and export transactions. By participating in the forex market with many changes, the profit and loss statement is obvious. I do not see that's what need to worry at this time. Of course, a bank enters the foreign exchange market on a large scale with many risks, you need to consider.
Some banks have announced business results are due to bad debt losses. According to him, caused by loose credit or business does not pay the debt?
Both, in addition to further a cause. Bad debt in 2011 are the implications of business many years ago, not just arising in 2011. As in previous years, the banking sector grew very hot with an average of 30-40%, with bank credit growth of 100%, this growth rate is very hot (in the U.S., the banking sector growth from 5-10% is considered good enough).
Of particular concern is that my credit growth / on the growth of GDP up 6-7 times. Economic growth of 6% growth, the banking industry more than 6-7 times that. For example, GDP growth was 6%, while credit growth up to 42%, the increase was 7 times.
Implications of overgrowth, as well as the body of a man so. A child growing too fast often leave the health implications and the banking industry is no different to the evolution of human physiology. When it grew so hot that the banking industry where accepted or admitted very large risks.
The major risk he just mentioned is what?
In banking there are 3 major risks: credit risk, market risk and business risk, particularly credit risks are huge risks in fast-growing problem. In recent years, real estate credit is probably the stage of credit created the biggest risk. Real estate credit in all the economy is always a source of lucrative mining for all banks. Before the financial crisis, banks are racing to pour credit into the real estate markets and bank credit growth were to jump right into the real estate sector because it is fast growing and very profitable, very attractive but also a crisis trap. When the crisis, property prices will fall rapidly and decline more.
Where some banks reported losses are suffering the consequences, implications of the hot growth, in which credit growth is therefore the property.
But also the idea of ​​bad debt in 2011 came from interest rates too high?
I completely agree with this opinion. Real estate credit is only one cause of bad debt. High interest rates also contributed. When interest rates over 20% / year, how many Vietnam enterprises can bear the financial burden so great? Even big business is also difficult to pay the loan "sharks" as such. From the "sharks" are very rarely used in bank lending, but at this rate I think this is usury.
In 2011 many businesses have shut down or is acquired, merged. Many businesses lose the ability to pay interest to banks, causing higher bad debts.
According to his forecast, interest rates in 2012 will be how?
It is difficult to guess as long as interest rates decrease and decrease as long as. People also expect that inflation in the last months of 2011 and continued in 2012. With the reduced expectations of inflation, interest rates will decrease. But interest rates are still very high and even the State Bank also took the view that the reduction of interest rates in the moment is very difficult. Despite the desire of businesses to lower interest rates down to lighten the cost burden.
But if you look at this aspect is seen cutting rates is very difficult. In the days before Tet, the bankers are aggressively competing to raise funds. Many banks facing liquidity verge of losing, has run the urge to run due to funding and interest rates pushed beyond the prescribed ceiling. Having pushed the banks 18%, 19% / year, even more. Although to this point, liquidity tensions have decreased, but the situation is not reduced because lower interest rates to attract deposits mobilized from the economy, many banks are offering very high interest rates.
So if interest rates to a lower level would push some banks out of the "playing field", this is contrary to the objectives of the Government is not to let any bank go bankrupt. We are standing at a crossroads, like interest rates fall, but the state of the banking sector is not allowed to do so.
Thus, in 2012 there will be many more banks reported losses?
I think this prediction is probably accurate. Some banks in recent years has pushed beyond the table of bad debt accounting. In many cases, they did not account sufficiently bad debt, more debt has been adjusted to the first half of 2012. If in 2012, they can not recover the loans will be made up on books. And now, the bank will have to account debts risk losing this capital in the books. Thus, in 2012 predicted the number of banks reporting losses increased and many banks reported, less than

Customer confidence in the banking consolidation

After the information consolidated First 3 banks, Vietnam Tin Nghia and SCB was officially announced, most customer deposits showed they still maintain their faith in the consolidated bank.
First Commercial Bank (Ficombank), Bank Vietnam Tin Nghia (TinNghiaBank) and Saigon Commercial Bank (SCB) has announced the formal integration of voluntary consensus to form a new bank scale big, strong capital and total assets.Deputy Governor of the State Bank of Vietnam (SBV) Tran Minh Tuan said: "The best conditions for the first three banks in Vietnam hopes to achieve good results and to ensure normal operation of the system as well as for each bank. In particular, the legitimate interests of the depositors in these banks will always be guaranteed ".
Represent the three banks, said Nguyen Thi Thu Suong, Ficombank Chairman, said: "Bank formed after the merger will become one of the joint stock commercial banks have invested capital in Vietnam. Charter capital is expected to reach 10,000 billion, total assets of more than 150,000 billion.
New bank will operate efficiently and compete better in the economic environment in the country. In particular, banks will support customers to access deeply all types of services, diversification of products and services bank diversity in scale, shareholders owning ... thereby improving the operational efficiency of the banking business, sustainable development and contribute to overall stability in the financial activities of the whole system. "After the information consolidated First 3 banks, SCB Vietnam Tin Nghia and was formally announced, the most recognized customer deposits at three banks are expecting a new bank after consolidation will strong, finishing services and more diverse. Accordingly, the majority of customers have indicated they still maintain their faith in the consolidated bank.
 As a customer at TinNghiaBank, his Japanese Thanh, Nguyen Thien Thuat live in District 3, HCM City, said he had heard about the three best known bank and the government is committed to supporting BIDV bank capital and key personnel for the consolidated bank after he completely believes in the liquidity of the new bank."I believe in a new development strategy TinNghiaBank. I think the competition will help customers get more attentive service and many more incentives in the new bank "- Thanh said.
 Ms. Liu Fang, office workers, live in 528/5/124B Dien Bien Phu, District 10, expressed his thoughts: "I think most of the banks is great. With the current market scale is difficult to compete for larger consolidated. Where they send the money coming big banks should be more peace of mind.
I have seven of gold at SCB and I would not be drawn at this time, as do not believe the rumors, if any. Bank simply written, clear message explaining asset customers at each bank are guaranteed all rights as the best, I think customers like what I have no problems with a brand new yet but more strongly than the potential. "
Ms. Tran Hanh, reside in Phan Dinh Phung Street, Phu Nhuan, owner of a design firm - print, said: "I have savings over 10 books of gold at SCB branches Tan was more than 3 months . This consolidated banks into large bank, I feel assured of assets are deposited in the SCB. "
Ms. Nguyen Le Yen Thu, Binh Thuan Ward, District 7, said: "On 6-12 I went to deposit money into Ficombank, 1 month term. Staff are actively saving to open a book and I trust the current banking operations. I think the merger makes banks more powerful, better service. If I had more money I'll post here. Just get good care, safety deposit, interest paid monthly happy, not ask for anything more. "Ms. Dao Thi Thu, live at 15B River Trade, Tan Binh District, said: "I just put money in Ficombank 900 million, term 1 month 1 week ago. 3 banks now hear so glad my best banks towards sustainable development, stronger. Expiry of their terms, but I will not continue to send cash in the bank again to express support for the development strategy of the bank. "

Note the use of electronic banking

E-banking services -  (Internet Banking) all banks use to serve the needs query information, bank transfers, online savings ... When using this utility should Note the following points:


 - Do not use the service through the public internet access points, wireless network ... so very fragile. Hackers can use tools to eavesdrop, then navigate to the personal information of users and steal them. Users simply access the NHDT on computers have been installed and the antivirus software is updated regularly. After using the services necessary to exit the system NHDT and close your browser window.
- During operation, do not activate the words "Save my password / details" or other words related to store passwords automatically when the browser request. Should regularly change your password, but absolutely not change your password in a public place.
- Users should be cautious when receiving email attachments from unknown sources as they may be associated virus. For cancer of unknown origin are sent from the bank title that users register with requests for account numbers, passwords ... they must immediately remove and scan for viruses on your computer. Banks never ask customers to provide such sensitive information. Absolutely not click any links or attachments on a message. In case of doubt concerning impersonation mail, or that their personal information was disclosed to immediately contact the bank for assistance.

Brussels restructures banks

NRC Handelsblad

"ING sells Nationale Nederlanden (its insurance division)" reads the lead of the NRC Handelsblad, which goes on to explain that the Dutch bank is undertaking an "in-depth reorganization, partly prompted by pressure from the European Commission." ING, which has been striving to divide its activities at its own initiative since the end of 2008, is now selling a third of them: its insurance and asset management divisions, as well as its US internet banking arm ING Direct USA – whose bad investments pushed ING to ask the Dutch government for a bail-out deal at the end of 2008. The suspension of ING Direct USA "was explicitly requested by Brussels" says the daily. ING whose business model – as both bank and insurer – was pioneering, will reimburse half of the 10 million euros in aid before the end of this year. According to French daily Les Echos, the restructuring is evidence of Brussels' determination to substantially overhaul banks which have received public bail-outs. "The message is crystal clear: there will be no return to 'business as usual' for operators put on life-support during the peak of the crisis," says the economic newspaper.