Phongsavanh Bank

Overview of Phongsavanh Bank

Phongsavanh Bank Limited, based in Laos, operates without a valid regulatory license and its scope of business raises suspicions. The lack of proper oversight and regulation raises concerns about the safety and reliability of the bank's services. Engaging with an unregulated entity like Phongsavanh Bank exposes customers to potential risks and uncertainties, including fraud and mismanagement. Caution should be exercised when dealing with this bank.

Phongsavanh Bank provides customer support through various channels, including a head office and branches in different provinces. However, the convenience of these access points does not compensate for the lack of regulation and oversight. Additionally, the bank offers a range of personal and business banking services, as well as digital banking solutions. While these offerings may seem attractive, the absence of proper regulation raises doubts about the bank's reliability and trustworthiness.

Phongsavanh Bank also offers a variety of cards and has partnered with JP Morgan Chase Bank for USD remittances. However, these partnerships and services should be approached with caution due to the bank's suspicious regulatory status. It is crucial to carefully consider the potential risks involved before engaging with Phongsavanh Bank and to explore regulated and reliable alternatives for banking needs.

Pros and Cons

Phongsavanh Bank offers several advantages and disadvantages to its customers. On the positive side, the bank provides a range of cards tailored to different customer needs. Additionally, the bank has a location for its head office and branches, making it easily accessible to customers. Phongsavanh Bank has also formed a partnership with JP Morgan Chase, which allows for USD remittances, facilitating international transactions. Furthermore, the bank has a wide availability of ATMs across various provinces, enhancing accessibility for account holders. It also offers digital banking solutions, enabling customers to access their accounts and conduct transactions online. Moreover, Phongsavanh Bank provides a variety of account types and deposit options, catering to diverse customer preferences. Additionally, the bank offers fund transfer services for both domestic and international transactions, facilitating seamless money transfers. However, it's important to consider the potential downsides. Phongsavanh Bank has a suspicious regulatory license, raising concerns about its adherence to industry standards and customer protection. There is also uncertainty regarding the reliability and performance of the bank's trading platforms. Customers may face imposition of various service fees for card-related services and different fund transfer services. Furthermore, as an unregulated entity, Phongsavanh Bank lacks external authority ensuring compliance, potentially posing risks and uncertainties for customers. It is crucial to evaluate these pros and cons carefully before engaging with Phongsavanh Bank.

Is Phongsavanh Bank Legit？

Phongsavanh Bank operates without any valid regulation, which raises serious concerns about the safety and reliability of its services. The absence of proper oversight and regulation leaves customers vulnerable to potential risks and uncertainties. It is essential to exercise extreme caution when dealing with an unregulated entity like Phongsavanh Bank, as there is no external authority ensuring compliance with industry standards or protecting the interests of clients. Engaging with an unregulated broker can expose you to various financial hazards, including fraud, mismanagement, and lack of accountability.

Service

1. PERSONAL BANKING:

Phongsavanh Bank offers various instruments for personal banking needs. Customers can make deposits, avail personal loans, and access insurance services. The bank also provides cards for transactions, facilitates money transfers, and offers SMS banking services.

2. BUSINESS BANKING:

Phongsavanh Bank caters to the business sector with a range of financial instruments. It provides retail, SME, and corporate loans to support different business needs. The bank also offers deposit services, insurance options, co-branding opportunities, and point-of-sale (POS) solutions. Additionally, Phongsavanh Bank facilitates payroll services, money transfers, and foreign exchange services. It also provides bank guarantee services for businesses.

3. DIGITAL BANKING:

Phongsavanh Bank has embraced digital advancements and offers a range of digital banking solutions. These include home digital banking services, enabling customers to manage their accounts and transactions from the comfort of their homes. The bank provides the Hi App, Hi Online, and Hi Business platforms, allowing customers to access their accounts, perform transactions, and engage in business activities digitally.

Pros and Cons

Products

The bank offers currency exchange for various currencies including USD, THB, EUR, GBP, AUD, CAD, CHF, CNY, HKD, JPY, KRW, MYR, SGD, and VND. Customers can benefit from their attractive FX buying rates and inquire about special offers for specific currency pairs like THB/LAK and USD/LAK.

For corporate clients dealing with currency uncertainty, Phongsavanh Bank provides a product called Foreign Exchange (FX) Forward. This innovative solution allows businesses to lock in their FX rates for a period of up to 3 months, minimizing their FX risk. The FX Forward service is available for buying and selling USD/LAK and THB/LAK, with minimum amounts and margin requirements depending on the currency pair. The required documentation includes purchase orders, sales agreements, and invoices.

Customers can access the bank's services at various service points. For bank notes transactions, they can visit any branches, service centers, or service units

located nearby. For Foreign Exchange Forward, customers can contact Phongsavanh Bank through phone or email to inquire and avail the service.

Account Types & Deposit

Phongsavanh Bank offers a range of account types to cater to different needs. Here is a brief summary of each account type:

1. Saving Account:

The Saving Account allows customers to save money for the future while providing a way to manage their funds. Customers can open an account and enjoy the benefits of interest accrual, daily deposit and withdrawal options, and the ability to transfer funds within the bank. The account supports multiple currencies such as Lao Kip, Thai Baht, and US Dollar.

2. Personal Account:

Designed to meet the needs of individuals, the Personal Account offers options in managing personal finances. With a low initial balance requirement, customers can withdraw funds at any time. The account provides transaction monitoring through a deposit book and receipts from ATMs. Like the Saving Account, it supports multiple currencies.

3. Current Account:

Phongsavanh Bank's Current Account is suitable for individuals and businesses requiring regular transactional activities. It offers features such as check payments without additional fees, unlimited withdrawals, and the ability to transfer funds within the bank.

4. Cash Management Account:

The Cash Management Account targets customers seeking higher returns on their deposits. It offers interest rates based on the deposit balance, allowing individuals and business owners to maximize their returns. This account provides with withdrawing funds with a one-day notice.

5. Premier Account:

The Premier Account is a current account designed for premier customers, providing additional benefits and services. Customers enjoy a premier office for personalized transaction processing. The account offers special interest rates for fixed deposits, the ability to withdraw funds at any time, and payment options using cheques.

6. Fixed Deposit Account:

The Fixed Deposit Account allows customers to invest for a fixed period, earning higher interest rates based on the chosen tenor. The account provides a reliable way to grow savings for the future, with automatic renewal options and the option to withdraw the full or partial balance.

Each account type supports various currencies, including Lao Kip, Thai Baht, and US Dollar, and has its own set of fees and minimum initial deposit requirements.

Pros and Cons

Cards

Phongsavanh Bank offers a range of cards to meet the diverse needs of its customers. They provide credit cards, ATM cards, and debit cards.

The credit cards issued by Phongsavanh Bank, including Visa, Mastercard, JCB, and UnionPay, are compliant with international standards. These cards can be used globally for various purposes such as overdrafts, purchasing goods, and cash advances. Supplementary cards can also be obtained with assigned credit limits for additional cardholders.

For payment, Phongsavanh Bank offers multiple channels including cash payments at bank counters, direct debit from Bank of Phongsavanh accounts, and payments through Phongsavanh's ATMs.

In terms of ATM cards, Phongsavanh Bank provides two types: green card and gold card. The green card allows cash withdrawals of up to 10,000,000 kip per day at Phongsavanh Bank's ATMs, while the gold card allows withdrawals of up to 20,000,000 kip per day. These ATM cards can be used for cash withdrawals, payments at member stores, and provide discounts at participating merchants.

Phongsavanh Bank also offers debit cards, including Visa and UnionPay. These cards allow cash withdrawals, payments at member shops, and online payments worldwide. The classic debit card allows cash withdrawals of up to 15,000,000 kip per day at Phongsavanh Bank's ATMs, while the gold debit card allows withdrawals of up to 20,000,000 kip per day. Similar to credit cards, debit cardholders can enjoy discounts and special privileges at participating stores.

To be eligible for these cards, customers are required to meet certain criteria such as having a savings account or personal account. Documentation such as a valid ID or passport is also required for card application.

Pros and Cons

Card Service Fees

Phongsavanh Bank imposes various service fees for its card-related services, covering ATM cards, international debit cards (Visa & UPI), and VISA, MASTER, JCB & UPI credit cards.

1. ATM card fees: Customers are subject to different fees for ATM card services. The registration fee varies depending on the card type, with LAK 30,000 for a green card and LAK 50,000 for a gold card. Additional fees apply for services like photo prints on the card, urgent card issuance, card replacement, new PIN issuance, and monthly fees.

2. International Debit Card Fees (Visa & UPI): There are no registration fees for international debit cards. Monthly fees differ based on the card type, ranging from LAK 8,000 for UPI Debit cards to LAK 13,000 for Visa Debit cards. Card replacement costs vary depending on the type of card issued, and there are fees for services like new PIN issuance, sale draft retrieval, foreign exchange markup, and more.

3. VISA, MASTER, JCB & UPI Credit Card Fees: Registering for credit cards incurs fees based on the type of card, such as LAK 200,000 for Classic Silver Card and LAK 300,000 for Gold Card. There are also annual fees, card replacement charges, new PIN issuance fees, and minimum monthly repayment percentages. Interest rates are set at 18% per annum, and there is a 20-day interest-free period for buying-selling transactions.

4. Card Acquiring: Phongsavanh Bank charges cash withdrawal fees for international and other domestic bank cards, both at ATMs and service counters. The merchant discount fee varies depending on the type of cards used by customers, with different rates for cards issued by others, cards issued by Phongsavanh Bank (On-us credit card), and PSVB ATM cards.

Interest

Phongsavanh Bank offers interest rates on its various loan and deposit products. For fixed loans, the interest rates are determined based on the loan grade and term. The base rate for Lao Kip loans is 9.50%, while for USD and THB loans, it is 9.00%. The interest rates for loans range from the base rate plus 1% up to the base rate plus 5% depending on the loan grade and term.

In terms of deposit interest savings, Phongsavanh Bank provides attractive rates. The interest rates for savings accounts are 1.95% for Lao Kip, 1.50% for Thai Baht, and 1.50% for USD. For fixed-term deposits, the bank offers rates depending on the duration. For example, for a 12-month fixed term deposit, the interest rates are 5.80% for Lao Kip, 4.50% for Thai Baht, and 5.00% for USD.

Fund Transfer

Phongsavanh Bank offers a fund transfer service that includes both domestic and international transfers. For domestic transfers, customers can transfer funds through ATMs or branches. The transfer limit is up to 90,000,000 LAK per day for credit card holders and unlimited for gold card holders. A pay slip is provided as evidence of the transaction, and the service is available 24/7. Fees apply based on the transfer amount and currency, with no fees charged for transfers within the same province.

For interbank transfers, Phongsavanh Bank utilizes the national settlement system, enabling customers to transfer funds to accounts at other banks. This process typically takes less than a day and can be conducted through the bank's branches nationwide.

In terms of international transfers, Phongsavanh Bank offers two options: SWIFT system and Western Union. The SWIFT system allows customers to send or receive money globally. It offers unlimited transfers and rates. With Western Union, customers can receive quick transfers through Phongsavanh Bank's service points nationwide. Both inward and outward remittances are supported, and specific details such as account information and identification are required for the transactions.

Phongsavanh Bank also highlights its partnership with JP Morgan Chase U.S., which enhances the remittance service by providing faster transfers, real-time tracking, and the ability to remit in more than 200 currencies.

Pros and Cons

Fund Transfer Service Fees

For domestic remittance, fees are charged for inward remittance via the RTGS/ACH system, with amounts set at 15,000 LAK, 2 USD, or 80 THB per transaction. The bank also levies fees for cheque collection and clearing services from other banks, amounting to 20,000 LAK per transaction.

For outward remittance, fees vary based on the method and currency. Transactions via the RTGS/ACH system incur fees ranging from 9,000 LAK to 30,000 LAK for Lao Kip, and 2 USD to 5 USD for US Dollar, depending on the amount. Domestic remittances to other banks in USD and THB are subject to a fee of 5 USD and 150 THB per transaction.

In terms of international remittances, fees differ based on the remittance method and currency. Inward remittances via the Swift system entail charges such as 0.1% of the remittance amount, with minimum and maximum limits depending on the currency and account. SWIFT remittances are also subject to fees based on the currency and transaction value, with additional charges for SWIFT fees.

Phongsavanh Bank imposes fees for various other services, including Western Union remittances, cross-border payments at the Laos-Vietnam border, cheque collection from foreign banks, and import/export letter of credit services. These fees are specific to each service and are designed to cover the costs associated with the transaction.

Trading Platforms

Phongsavanh Bank offers three distinct trading platforms: Hi Online, Hi App, and Hi Business. These platforms provide various features and services to cater to different customer needs.

Hi Online is a web-based platform that allows users to access Phongsavanh Bank's services and make financial transactions. It can be accessed through popular browsers such as Internet Explorer, Microsoft Edge, Firefox, Chrome, and more. Hi Online offers services such as account management, loan applications, balance statements, fixed-term account opening, and staff salary payments. Customers can register for Hi Online based on specific conditions and required documents, depending on whether they are Lao or foreign customers.

Hi App is a mobile banking application available for Android, iOS, and Harmony OS devices. It offers a comprehensive range of features, including account information, QR payments through the Lao QR payment network (LAPNet), bill payments, mobile top-ups, domestic and international transfers, foreign exchange, digital wallet, statements, and loan requests. Hi App is available in multiple languages, including Lao, English, and Chinese, and supports cashback rewards and merchant promotions. The app can be used by individuals and merchants and requires either a Phongsavanh Bank account (Hi App Mobile Banking) or a local phone number (Hi App Wallet Account Only) for registration.

Hi Business is a service product designed for merchants and businesses. It allows them to access financial services through the Phongsavanh Bank website using any browser. Hi Business offers features such as deposit and withdrawal services, loan applications, balance invoicing, staff salary payments, and utility bill payments. Similar to the other platforms, customers must meet certain conditions and provide specific documents to register for Hi Business, depending on whether they are Lao or foreign legal entities.

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Pros and Cons

Educational Resources

Phongsavanh Bank provides educational resources in the form of news and activities. The bank regularly publishes news articles related to various topics, including updates on its operations and contributions to the local community. For example, on June 7, 2023, Phongsavanh Bank organized an event in collaboration with the government to promote financial literacy in Laos. The event was attended by 1,500 people and included a total investment of 7,500,000,000 Kip, along with various educational initiatives.

Customer Support

Phongsavanh Bank provides customer support through various channels, ensuring easy access for inquiries and assistance. Customers can visit the bank's head office located on Kaysone Phomvihan Road, Phakao Village, Xaythany District, Vientiane Capital. The head office can be reached through telephone numbers (+856-21) 218 912 and 219 221, and fax at +856-21 711 558. The bank's Treasury department has a separate contact number, +856-21 716 024, while the ATM & Card Center can be reached at +856-21 711 666 or 711 668. For internet banking inquiries, customers can call +856-21 711 689 or send an email to info@phongsavanhbank.com.

Additionally, Phongsavanh Bank has branches in various provinces, such as Samsenthai Branch in Anou Village, Chanthabouly District, Vientiane Capital, with phone numbers (+856-21) 212666 and 212777. In Savanhnakhet Province, the bank has a branch located in Thameuang Village, Kaisonphomvihan District, with contact numbers (+856-41) 300111, 300777, and 300999.

For added convenience, the bank has ATMs located in different provinces, like SAMSANTHAI 01 and SAMSANTHAI 02 in Anou Village, Chanthabouly District, Vientiane Capital, as well as other locations like THARGNON in Thangone Village, Xaythany District, Vientiane Capital.

Furthermore, Phongsavanh Bank has partnered with JP Morgan Chase Bank in the United States as an additional correspondent bank for USD remittances. This collaboration allows for faster and real-time tracking of remittances, improving customer service for international transactions.

To provide immediate assistance and feedback, customers can contact the bank's call center at 1188. Additionally, they can engage with the bank on various social media platforms such as Facebook, Instagram, YouTube, Line, TikTok, and LinkedIn.

Conclusion

In conclusion, Phongsavanh Bank provides customers with multiple channels for inquiries and assistance, including a head office, branches, ATMs, and digital platforms. They have partnered with JP Morgan Chase Bank to improve international transactions. However, it is important to note that the bank operates without valid regulation, which raises concerns about the safety and reliability of its services. The lack of external oversight and regulation poses potential risks and uncertainties for customers, including fraud and mismanagement. Customers should exercise caution when dealing with an unregulated entity like Phongsavanh Bank.

FAQs

Q: How can I contact Phongsavanh Bank for customer support？

A: You can contact Phongsavanh Bank's head office through telephone numbers (+856-21) 218 912 and 219 221, and fax at +856-21 711 558. The Treasury department can be reached at +856-21 716 024, and the ATM & Card Center at +856-21 711 666 or 711 668. For internet banking inquiries, call +856-21 711 689 or email info@phongsavanhbank.com.

Q: Does Phongsavanh Bank have branches in different provinces？

A: Yes, Phongsavanh Bank has branches in various provinces, such as Samsenthai Branch in Anou Village, Chanthabouly District, Vientiane Capital, and Thameuang Village, Kaisonphomvihan District, Savanhnakhet Province.

Q: Is Phongsavanh Bank regulated and trustworthy？

A: No, Phongsavanh Bank operates without any valid regulation, which raises concerns about its safety and reliability. Dealing with an unregulated entity like Phongsavanh Bank can expose you to potential risks and uncertainties.

Q: What types of banking services does Phongsavanh Bank offer？

A: Phongsavanh Bank offers personal banking, business banking, and digital banking services to cater to different needs.

Q: What types of accounts does Phongsavanh Bank provide？

A: Phongsavanh Bank offers saving accounts, personal accounts, current accounts, cash management accounts, premier accounts, and fixed deposit accounts.

Q: What types of cards does Phongsavanh Bank offer？

A: Phongsavanh Bank offers credit cards (Visa, Mastercard, JCB, UnionPay), ATM cards, and debit cards (Visa, UnionPay).

Q: What are the fees associated with Phongsavanh Bank's card services？

A: Phongsavanh Bank charges various fees for card-related services, including registration fees, monthly fees, replacement fees, new PIN issuance fees, and more.

Q: What are the interest rates offered by Phongsavanh Bank？

A: Phongsavanh Bank offers low interest rates on loans and deposits. The rates vary depending on the type of loan or deposit and the chosen currency.

Q: Does Phongsavanh Bank provide fund transfer services？

A: Yes, Phongsavanh Bank offers both domestic and international fund transfer services through various channels, including ATMs, branches, and partnerships with SWIFT and Western Union.

Q: What are the fees for Phongsavanh Bank's fund transfer services？

A: Phongsavanh Bank charges fees for domestic and international fund transfers, which vary depending on the transfer method, currency, and transaction amount.

Q: What are the trading platforms offered by Phongsavanh Bank？

A: Phongsavanh Bank provides three trading platforms: Hi Online, Hi App, and Hi Business, each offering different features and services for financial transactions.