This study examined factors associated with child labor situation in Vietnam, using data from the Vietnam Household Living Standards Survey (VHLSS) in 2012. A binary logistic model was applied to examine determinants of working status for children aged 6–17, and then ordinary least square and logit regression models were utilized to identify factors associated with child labor’s indicators, which were presented by the number of working hours and types of economic activities. The findings revealed important roles of children’s age and education level, ethnicity and their households’ credit status on their provision of labor. In addition, the study found that preferential loans aiming at reducing poverty and improving household living standards tended to encourage child labor. From these findings, the paper provided policy implications to mitigate child labor issues in Vietnam.