According to the survey conducted by the financial holding Robocash Group in Vietnam, buying a house or a vehicle are the most common long-term saving goals among the Millennials using online financing tools. Thus, 41.2% of respondents save funds for a house, and 19.6% do it to be able to buy a car.
At the same time, short-term saving to buy gadgets and appliances takes third place with 11.8% of answers. It is primarily due to the young age of respondents, who are mostly Millennials in their 25-34 years (62.7%). Known as active consumers, they also feel at ease handling cutting-edge technologies in daily life and tend to buy necessary tools using current funds. For 18% of the surveyed customers, gadgets and appliances even make the most of monthly expenses.
Then, the findings on the structure of monthly expenses among the Vietnamese confirm it as the most frequent expenditures coincide with the common purpose of short-term online financing. As a reason to use such tools, most respondents say that personal advances help them to pay for regular monthly bills (19.6%) such as housing and utility services, rent, mobile and internet services, TV etc. Daily needs including food, transport fare and other necessary expenses follow with 19.6%. These payments cause short-term gaps in a personal budget most often.
Although these tendencies might seem mutually exclusive, the analysts of the company find that they complement one another. Small financial advances serve as a tool allowing to cover a short-term gap in a family budget. Most often, it helps to decrease troubles caused by the difference in salary dates and expenses schedule. At the same time, this tool doesn’t hurdle strategic financial planning. Saving money on a bank deposit or using other tools means a long-term allocation of funds. Taking them out of savings may cause much higher expenses than the cost of a small advance.
Remarkably, only 15% of the respondents do not save at all either because of being used to spending everything earned right away or having insufficient income.
Robocash Group is an international financial group operating in the segments of consumer alternative lending and marketplace funding in Europe and Asia. The company develops robotic financial services providing lending to customers in Russia, Kazakhstan, Spain, the Philippines, Indonesia, Vietnam and India and operates the own EU-based p2p investment platform. The group develops products completely in-house using artificial intelligence, machine learning and data-driven technologies to provide precise and comprehensive risk management, comfort and speed for customers and efficiency for business.