Lotte Card said on the 7th that on the 28th of last month Lotte Finance Vietnam received approval from the State Bank of Vietnam (SBV), the Central Bank, to convert from a "consumer finance company" to a "general finance company." This is the first case among Korean financial firms operating locally.
With this approval, Lotte Finance Vietnam's business scope will expand significantly. In particular, it will be able to increase the scale of credit and collateral loans to sound corporations, as well as loans for commercial vehicles.
In addition to existing personal loans and credit card operations, entry into the "lease business" will also be possible. Lotte Finance Vietnam plans to enter the early-stage auto lease market preemptively and provide financial services to growth industries such as medical devices and construction equipment going forward.
Lotte Finance Vietnam will change its corporate name to "Lotte General Finance Vietnam" and apply it sequentially to establishments and other sites going forward. Starting next year, it plans to strengthen its corporate screening organization to advance its risk assessment system and expand corporate loans, focusing on existing partners.