|Beginning March 3, 2018, persons who are between 15 and 18 years old can open debit cards, credit cards and prepaid cards without the need to provide proof of income’s sources, according to the State Bank of Vietnam.(Source: antd.vn)|
Moreover, persons who are from 6 to 15 years old can create debit cards associated with their parents’ and guardians’ accounts.
The new decree left some parents confused about how they would control their children’s spending.
Ngoc Mai in Ba Trieu district told Lao dong (Labour) newspaper that she found the policy infeasible.
“I will never let my children open credit cards with overdraft lines when they are under 18 years old as I do not know what they’ll spend,” she said.
Sharing the same concern, Nguyen Son in the downtown district of Hoan Kiem in Hanoi said that persons between 15 and 18 were not able to manage their personal spending.
“At that age, the management and supervision from parents and schools are important to their full development. Therefore, my children are not allowed to have their own credit cards,” he said.
However, according to the newspaper, it is not easy for persons aged 15 to 18 to register credit cards at commercial banks with high overdraft lines as it is difficult for them to repay the debt. An officer of the State Bank of Vietnam, moreover, stressed that the decree was a solution to reduce cash payments.
“Vietnam will promote payment without cash in the near future, therefore, rather than preventing their children from using credit cards, parents can set spending limits by transferring a fixed amount of money to their accounts to easily control their expenditures,” he said.
Hanoi authorities in March 2018 set a plan to set up cashless payment systems at all supermarkets, restaurants and department stores by 2020. Also, it is expected that 60% of households will use cashless payment platforms for their daily needs and 70% of citizens over age 15 to have bank accounts.