Formal and informal rural credit in the Mekong River Delta of Vietnam: Interaction and accessibility

► We examine the factors influencing rural households' access to credit in the Vietnamese market. ► We employ conditional mixed process estimation to capture the effect of sample selection. ► Interaction between the two credit sectors can impact the household to participate in a microcredit program. ► Informal loan positively influences the probability of borrowing from the formal sector. ► Ignoring the interaction effect may lead to loan decisions that are less than optimal. ► Land holding status, informal interest, and informal loan duration influence access to informal credit.