Visa and SeA Bank to Drive Digital Payments in Vietnam Pros 2024

Visa is expanding its partnership with Southeast Asia Commercial Joint Stock Bank (SeABank).

The latest effort between the two companies is designed to help develop digital payments in Vietnam, SeABank said in a news release Wednesday (May 29).

According to a news release, the effort is based on a series of “pillars,” including improved card products and services, optimizing the card service ecosystem on digital platforms and enhancing risk and fraud management in card issuance and payments.

“As the rapid transition from cash to digital payments in Vietnam opens up many opportunities for card development, the expanded cooperation is expected to help SeABank break through, thereby opening up opportunities towards the future of digital payment, contributing to the national digital transformation,” the release said.

The partnership comes, as PYMNTS wrote last week, at a moment when evidence points to a tipping point for digital payment methods.

“As PYMNTS Intelligence and the Federal Reserve have reported, consumers and businesses are accelerating their use of digital wallets and instant payments,” that report said, noting also that Fed’s Consumer Research Brief found that 57% of consumers say they expect to use faster payment options more extensively in the future.

The Fed brief also linked to the “2024 Global Digital Shopping Index: U.S. Edition,” noting that the joint effort by Visa Acceptance Solutions and PYMNTS had underlined “the growing incidence of digital payments and the breaking down of boundaries between online and in-store shopping experiences.”

But there is a cost for merchants and financial institutions taking part in this rapid expansion, and they need to be ready for it.

Joe Meuse, vice president of product at Spreedly, told PYMNTS that this growth rate is notably higher than previous years — twice the rate seen in the previous three years and triple that of six years earlier. This rapid expansion underscores the rising complexity and cost associated with modern payment systems.

“There’s a lot of complexity behind the scene as merchants solve new problems and make investments to support that modernization,” Meuse said during a recent “What’s Next in Payments” interview, noting also that keeping abreast of consumers’ changing tastes requires both hardware and software investments.

“It’s not cheap to do digital payments,” he said, noting that merchant processing costs are a major part of the expense of payments acceptance.

What is Visa card?

A Visa card is a payment card that connects you to the Visa network for making purchases. While Visa is a financial services company, it doesn’t directly issue the cards itself. Instead, they partner with banks and other financial institutions that issue Visa credit cards, debit cards, prepaid cards, and even gift cards.

Here’s a breakdown of the key points about Visa cards:

• Network: Transactions made with your Visa card are processed through the Visa network. This vast network allows you to use your card at millions of locations worldwide that display the Visa logo.
• Types of Visa cards: There are various types of Visa cards, each serving a different purpose:
  • Credit Cards: Let you borrow money from the issuer to make purchases. You’ll need to pay back the borrowed amount with interest.
  • Debit Cards: Directly linked to your bank account and deduct the purchase amount from your available balance.
  • Prepaid Cards: Loaded with a specific amount of money beforehand, allowing you to spend only up to that amount.
  • Gift Cards: Preloaded with a certain value for gifting purposes, usable at specific stores or a wider range of merchants depending on the card.
• Security: Visa cards typically come with security features like chip technology and fraud protection measures to safeguard your transactions.

Overall, Visa cards offer a convenient and widely accepted way to make cashless payments. Visa

SeA Bank

There seems to be some confusion about “SeA Bank” because “Sea Bank” exists in a couple of Southeast Asian countries but not currently in Bangladesh. Here’s a breakdown:

Sea Bank doesn’t appear to be operational in Bangladesh. Financial institutions typically require specific licenses and regulations to operate in a country.

However, there are “Sea Bank” operations in other regions:

• SeaBank Philippines: This is a digital banking platform offered by Sea Limited, a Singaporean internet company. It’s a rural bank with a mobile app allowing users to manage finances, earn interest, and make transactions. You can find more information on their
• SeaBank Indonesia: This is another digital banking service by Sea Limited, but it operates under a different license and regulation structure specific to Indonesia. You can find their details on the SeaBank Indonesia website (although it might be in Indonesian).

If you’re looking for banking options in Bangladesh, it would be best to search for institutions licensed and regulated by the Bangladesh Bank, the country’s central bank. You can find a list of banks on the Bangladesh Bank website.

There seems to be some confusion about “SeA Bank” because “Sea Bank” exists in a couple of Southeast Asian countries but not currently in Bangladesh. Here’s a breakdown:

Sea Bank doesn’t appear to be operational in Bangladesh. Financial institutions typically require specific licenses and regulations to operate in a country.

However, there are “Sea Bank” operations in other regions:

• SeaBank Philippines: This is a digital banking platform offered by Sea Limited, a Singaporean internet company. It’s a rural bank with a mobile app allowing users to manage finances, earn interest, and make transactions. You can find more information on their website
• SeaBank Indonesia: This is another digital banking service by Sea Limited, but it operates under a different license and regulation structure specific to Indonesia. You can find their details on the SeaBank Indonesia website (although it might be in Indonesian).

There seems to be some confusion about “SeA Bank” because “Sea Bank” exists in a couple of Southeast Asian countries but not currently in Bangladesh. Here’s a breakdown:

Sea Bank doesn’t appear to be operational in Bangladesh. Financial institutions typically require specific licenses and regulations to operate in a country.

However, there are “Sea Bank” operations in other regions:

• SeaBank Philippines: This is a digital banking platform offered by Sea Limited, a Singaporean internet company. It’s a rural bank with a mobile app allowing users to manage finances, earn interest, and make transactions. You can find more information on their website
• SeaBank Indonesia: This is another digital banking service by Sea Limited, but it operates under a different license and regulation structure specific to Indonesia. You can find their details on the SeaBank Indonesia website (although it might be in Indonesian).

If you’re looking for banking options in Bangladesh, it would be best to search for institutions licensed and regulated by the Bangladesh Bank, the country’s central bank. You can find a list of banks on the Bangladesh Bank website.

If you’re looking for banking options in Bangladesh, it would be best to search for institutions licensed and regulated by the Bangladesh Bank, the country’s central bank. You can find a list of banks on the Bangladesh Bank website.

Digital Payments in Vietnam

Vietnam has seen a remarkable shift towards digital payments in recent years. Here’s a breakdown of the key trends:

Rapid Growth:

• Cash was traditionally the dominant payment method, but Vietnam boasts a high smartphone penetration rate and a tech-savvy population. This has fueled the rapid adoption of digital payment options.
• The value of digital payment transactions in Vietnam is expected to reach nearly $24 billion USD in 2023, placing it among the top four in Southeast Asia [statista digital payments vietnam].

Dominant Players:

• Digital wallets are leading the charge. Popular options include MoMo, Moca, and ZaloPay, collectively capturing over 90% of the market share [2c2p digital payments vietnam].
• Mobile banking is also gaining traction, facilitated by the national payment network NAPAS. QR code payments via VietQR have witnessed a significant surge recently [2c2p digital payments vietnam].

Reasons for the Shift:

• Convenience: Digital payments offer a faster and more seamless way to pay compared to cash. Mobile wallets can store funds, eliminating the need to carry cash.
• Security: Many digital payment platforms come with security features like PINs and transaction confirmations, enhancing security compared to cash.
• E-commerce Growth: The booming e-commerce sector in Vietnam has driven the need for digital payment options. Cash on delivery (COD) is still used, but digital wallets are gaining popularity.
• Government Support: The Vietnamese government recognizes the importance of digital payments for financial inclusion and cashless transactions. They actively promote the adoption of digital payment solutions.

Future Outlook:

• The digital payments landscape in Vietnam is expected to continue growing.
• The rise of Buy Now, Pay Later (BNPL) services caters to younger demographics who might not have credit cards.
• Continued government support and innovation in the fintech sector will likely further accelerate the shift towards a cashless society.

Additional Points:

• While digital payments are on the rise, cash remains a significant payment method, particularly among the unbanked population.
• There’s high competition among various digital wallet providers, offering benefits and promotions to attract users.

Disclaimer ||

The Information provided on this website article does not constitute investment advice,financial advice,trading advice,or any other sort of advice and you should not treat any of the website’s content as such.

Always do your own research! DYOR NFA

Coin Data Cap does not recommend that any cryptocurrency should be bought, sold or held by you, Do Conduct your own due diligence and consult your financial adviser before making any investment decisions!