1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/03/2020

1.1. Circular No. 26/2019/TT-NHNN amending, supplementing some articles of regulation on issuance, use and management of bank identification numbers promulgated together with the Decision No. 38/2007/QĐ-NHNN dated October 30, 2007 of the Governor of the State Bank of Viet Nam

• Name of legal document: Circular No. 26/2019/TT-NHNN issued on 23/12/2019 by the State Bank of Viet Nam amending, supplementing some articles of regulation on issuance, use and management of bank identification numbers promulgated together with the Decision No. 38/2007/QĐ-NHNN dated October 30, 2007 of the Governor of the State Bank of Viet Nam (referred to as the “Circular No. 26/12/2019/TT-NHNN”).

• Effective date: 01/03/2020.

Some contents should be noted:

• Firstly, amending and supplementing the regulation on subjects to be granted BIN[1].

Specifically, Clause 1 Article 1 of Circular No. 26/2019/TT-NHNN stipulates: “Amendments to some Articles of Regulation on issuance, use and management of bank identification numbers promulgated together with the Decision No. 38/2007/QD-NHNN dated October 30, 2007 of the Governor of the State Bank of Viet Nam

1. Article 4 is amended as follows:

“Article 4. Entities to be issued with BINs

Entities to be issued with BIN are organizations allowed to issue cards in accordance with regulations on bank card operations.”” 

• Secondly, amending and supplementing the regulation on procedures for grant of PIN code.

Specifically, Clause 2 Article 1 of Circular No. 26/2019/TT-NHNN stipulates: “Amendments to some Articles of Regulation on issuance, use and management of bank identification numbers promulgated together with the Decision No. 38/2007/QD-NHNN dated October 30, 2007 of the Governor of the State Bank of Viet Nam

…

“2. Article 6 is amended as follows:

“Article 6. Procedures for issuing BINs

1. Any card issuer that wishes to issue a BIN shall submit an application made using the Form No. 01 hereof to the Payment Department affiliated to the State Bank of Vietnam (hereinafter referred to as “SBV”), whether in person or by post or through SBV’s online public service portal.

2. Within 05 working days from the receipt of the satisfactory application form for issuance of BIN, SBV shall decide to issue BIN to the card issuer and notify the card issuer in writing or through SBV’s online public service portal.

3. SBV shall issue only 01 BIN to each card issuer entitled to be issued with BIN.””

1.2. Circular No. 30/2019/TT-NHNN providing on performing the reserve requirement of credit institutions and foreign bank branches

• Name of legal document: Circular No. 30/2019/TT-NHNN issued on 27/12/2019 by the State Bank of Viet Nam providing on performing the reserve requirement of credit institutions and foreign bank branches (referred to as the “Circular No. 30/2019/TT-NHNN”).

• Effective date: 01/03/2020.

Some contents should be noted:

• Firstly, providing on credit institutions which do not perform the reserve requirement.

Specifically, Article 3 of Circular No. 30/2019/TT-NHNN stipulates: “Article 3. Credit institutions do not perform the reserve requirement

1. Credit institutions subject to special control: The time for failing to perform the reserve requirement shall be from the month following the month when credit institutions are decided by the State Bank of Vietnam (hereinafter called the State Bank) under the state of special control, by the end of the month, the credit institution shall be decided by the State Bank to terminate the special control.

2. Credit institutions have not yet opened their operations: The time for not performing the reserve requirement till the end of the month when the credit institutions commence their operation; Credit institutions shall notify in writing to the State Bank (Operation Center) of the operation opening date within 3 working days after the operation opening.

3. The credit institution is approved to dissolve or has a decision to open bankruptcy procedures or has a decision to revoke its license of a competent agency: The time for failing to perform the reserve requirement from the month following the month of the credit institution is approved to dissolve or the decided to open bankruptcy procedures, revoke the valid License; credit institutions that have decision on opening bankruptcy procedures shall send them to the State Bank (Operation Center) for deciding to open bankruptcy procedures within 3 working days after receiving this decision.”

• Secondly, providing on reserve requirement ratios, interest rates on reserve requirement deposits and deposits in excess of reserve requirement

Specifically, Article 6 of Circular No. 30/2019/TT-NHNN stipulates: “Article 6. Reserve requirement ratios, interest rates on reserve requirement and deposits in excess of reserve requirement

1. Reserve requirement ratios for credit institutions

2. a) The Governor of the State Bank shall decide the reserve requirement ratio applicable to each type of credit institution and each type of deposit in accordance with the national monetary policy objectives in each period, except for reserve requirement ratio for Vietnam dong deposit to credit institutions prescribed at Point b of this Clause;

3. b) For credit institutions lending for agricultural and rural development supported by reserve requirement tool, the reserve requirement ratio for Vietnam dong deposits shall comply with the State Bank’s regulations. The State Bank guides the implementation of measures to manage monetary policy instruments to support credit institutions lending for agricultural and rural development.

4. Interest rates of reserve requirement deposits and deposits exceeding the reserve requirement of each type of credit institution and each type of deposit shall be decided by the Governor of the State Bank in accordance with the objectives of national monetary policy in each period.”

1.3. Circular No. 37/2019/TT-NHNN on insurance agents in credit institutions and foreign bank branches

• Name of legal document: Circular No. 37/2019/TT-NHNN issued on 31/12/2019 by the State Bank of Viet Nam on insurance agents in credit institutions and foreign bank branches (referred to as the “Circular No. 37/2019/TT-NHNN”).

• Effective date: 02/03/2020.

Some contents should be noted:

• Firstly, providing on operation of insurance agents in credit institutions.

Specifically, Article 4 of Circular No. 37/2019/TT-NHNN stipulates: “Article 4. Operation of insurance agents in credit institutions

A credit institution with insurance agents may conduct the following activities:

1. Client referral:

The credit institution may refer a client who would like to purchase insurance to the insurance enterprise.

2. Insurance offer:

The credit institution may offer insurance and explain terms and conditions of insurance products to clients who would like to purchase insurance; or offer insurance via electronic or online methods or other methods in compliance with the law.

3. Arranging conclusion of insurance policies:

The credit institution may assist its clients with drawing up insurance policies, receive proposal forms and arrange conclusion of insurance policies as per the insurance agent agreement and regulations of laws on insurance business.

4. Premium collection:

The credit institution may collect premiums from clients on behalf of the insurance enterprise as agreed upon in the insurance agent agreement.

5. Claim settlement upon occurrence:

The credit institution may assist its clients with claim procedures, receive claim forms, transfer premiums received from clients to the insurance enterprise for appraisal, issuance of the compensation decision and claim payment. If authorized by the insurance enterprise, the credit institution may pay out claims directly.

6. Other activities to execute the insurance agent agreement in compliance with regulations of laws on insurance business and as authorized by the insurance enterprise.”

• Secondly, providing on rights and obligations concerning operation of insurance agents in credit institutions.

Specifically, Article 6 of Circular No. 37/2019/TT-NHNN stipulates: “Article 6. Rights and obligations concerning operation of insurance agents in credit institutions

1. Credit institutions hold the rights granted to insurance agents per regulations of laws on insurance business.

2. Credit institutions shall fulfill the obligations imposed on insurance agents per regulations of laws on insurance business and the following obligations:

a) Explain to clients that insurance products distributed via credit institutions are not products of credit institutions;

b) Manage and retain list of their insurance agents as agreed upon in the insurance agent agreement;

c) Provide adequate and accurate information on premiums received, claim payouts and other payments for insurance enterprises as agreed upon in the insurance agent agreement;

d) Return all premiums received to insurance enterprises exclusive of agent’s commissions, claim payments and other payments as per the insurance agent agreement;

dd) Accurately and adequately provide and crosscheck information received from clients with insurance enterprises as prescribed by Article 7 of this Circular (Circular No. 37/2019/TT-NHNN).”

2. LEGAL DOCUMENTS ARE ISSUED IN 02/2020

Decision No. 206/QĐ-NHNN regarding the announcement of new administrative procedures for issuing, amending and supplementing fields of payment activities and other fields of activities permitted in the one-door department of the management function of the State Bank of Viet Nam

• Name of legal document: Decision No. 206/QĐ -NHNN issued on 10/02/2020 by the State Bank of Viet Nam regarding the announcement of new administrative procedures for issuing, amending and supplementing fields of payment activities and other fields of activities permitted in the one-door department of the management function of the State Bank of Viet Nam (referred to as the “Circular No. 206/QĐ-NHNN”).

• Effective date: 10/02/2020.

The contents should be noted: providing on procedures of requesting to be granted identification numbers.

Specifically, sub-section 1 Section 1 Part II promulgated together with Decision No. 206/QĐ-NHNN stipulates:

“PART II. DETAILED CONTENTS OF NEWLY ISSUED AND AMENDED AND SUPPLEMENTED ADMINISTRATIVE PROCEDURES UNDER THE SCOPE OF MANAGEMENT FUNCTIONS OF THE STATE BANK

Section 1. Administrative procedures are implemented at the State Bank of Vietnam

1. Procedures for issuing identification numbers:

– The order of execution:

– Step 1: When wishing to be granted a BIN, the card issuer shall send to the State Bank of Viet Nam (Payment Department) an application for a BIN according to Form No. 01;

– Step 2: Within 05 working days from the date of receiving a completed and valid BIN application, the State Bank of Vietnam shall issue a decision to issue BIN to the card issuer and notify in writing or via the Online Public Service Portal of the State Bank of Viet Nam for the card issuer.

– How to perform:

+ Headquarters of administrative agencies (directly at the One-door Department)

+ By mail (postal service)

+ Through the online public service portal of the State Bank of Viet Nam.

– Components of dossiers: An application for being granted an identification number.

– Number of dossier: 01 set.

– Processing time: 05 working days from the date of receipt of complete and valid dossier.

– Subjects implementing administrative procedures: Card issuer

– Implementing agency: State Bank of Viet Nam (Payment Department)

– Results of the implementation of administrative procedures: Written consent.

– Fee: VND 0

– Name of the application form, declaration form: Form No. 01.

– Requirements, conditions: No.

– Legal grounds of administrative procedures:

– Decision No. 38/2007/QĐ-NHNN dated 30/10/2007 of the Governor of the State Bank of Viet nam promulgating the regulation on issuance, use and management of the bank identification numbers.

– Circular No. 26/2019 / TT-NHNN dated 23 December 2019, amending and supplementing a number of articles of the Regulation on issuance, use and management of bank identification numbers issued together with Decision No. 38/2007/QD-NHNN dated 30/10/2007 of the Governor of the State Bank of Viet Nam.

 Form No. 01

“CỘNG HÒA XÃ HỘI CHỦ NGHĨA VIỆT NAM
Độc lập – Tự do – Hạnh phúc
—————

……, ngày …. tháng …. năm …..

ĐƠN ĐỀ NGHỊ CẤP MÃ TỔ CHỨC PHÁT HÀNH THẺ

Kính gửi: Ngân hàng Nhà nước Việt Nam (Vụ Thanh toán)

– Căn cứ Giấy phép thành lập và hoạt động tổ chức tín dụng/ Giấy phép hoạt động ngân hàng số ……… ngày …… tháng …… năm ……;

– Căn cứ Quyết định số 38/2007/QĐ-NHNN ngày 30 tháng 10 năm 2007 của Thống đốc Ngân hàng Nhà nước Việt Nam ban hành Quy chế cấp, sử dụng và quản lý mã tổ chức thẻ ngân hàng (được sửa đổi, bổ sung bởi Thông tư ……… ngày … tháng … năm … của Ngân hàng Nhà nước Việt Nam).

Đề nghị Ngân hàng Nhà nước Việt Nam xét cấp mã tổ chức phát hành thẻ (mã BIN) cho tổ chức phát hành thẻ:

1. Tên tổ chức phát hành thẻ:

2. Địa điểm đặt Trụ sở chính:

3. Thời gian dự kiến đưa mã BIN vào sử dụng:

4. Tóm tắt mục đích sử dụng mã BIN gắn với sản phẩm thẻ cụ thể:

Sau khi được cấp mã BIN, chúng tôi cam kết đưa mã BIN vào sử dụng trong thời hạn quy định, đúng mục đích sử dụng và chấp hành nghiêm chỉnh Quy chế về cấp, sử dụng và quản lý mã tổ chức phát hành thẻ ngân hàng và xin chịu trách nhiệm về tính chính xác của hồ sơ gửi kèm đơn này.

[1] Bank identification number

1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/02/2020

1.1. Circular No. 32/2019/TT-NHNN amending and supplementing a number of articles of Circular No. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company

• Name of legal document: Circular No. 30/2019/TT-NHNN issued on 31/12/2019 by the State Bank of Viet Nam amending and supplementing a number of articles of Circular No. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company (referred to as the “Circular No. 32/2019/TT-NHNN”).

• Effective date: 14/02/2020.

The content should be noted: amending and stipualting on restructure bad debts, adjustment of repayment term and debt rescheduling.

Specifically, Clause 1 Article 1 of Circular No. 30/2019/TT-NHNN stipualtes: “Article 1. amending and supplementing a number of articles of Circular No. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company (referred to as the “Circular No. 19/2013/TT-NHNN”)

1. Clauses 2, 3 and 4 of Article 3 are amended and supplemented as follows:

“2. Restructure bad debts is the adjustment of repayment term, debt rescheduling; reduction of a part or total of interest amounts which are overdue for payment, violation fees and fines; adjustment of interest rate of bad debt.

3. Adjustment of repayment term means the approval to extend a period of repayment of part or all of the principal and/or interest of an agreed repayment term (including the case of no change in number of debt repayment term agreed upon) within the previous debt repayment term agreed in the credit agreement or loan agreement, agreement of offer of the trusteeship of credit extension, agreement of purchase, offer of the trusteeship purchasing corporate bonds with the repayment deadline remains unchanged.

4. Debt rescheduling means the approval to extend an additional period of repayment of principal and/or interest in excess of the previous debt payment term agreed in the credit agreement or loan agreement, agreement of offer of the trusteeship of credit extension, agreement of purchase, offer of the trusteeship purchasing corporate bonds.””

1.2. Circular No. 33/2019/TT-NHNN amendments to the Circular No. 34/2013/TT-NHNN dated December 31, 2013 by the Governor of the State bank of Vietnam on domestic issuance of promissory notes, treasury bills, deposit certificates and bonds by credit institutions and foreign bank branches

• Name of legal document: Circular No. 33/2019/TT-NHNN issued on 31/12/2019 by the State Bank of Viet Nam amendments to the Circular No. 34/2013/TT-NHNNdated December 31, 2013 by the Governor of the State bank of Vietnam on domestic issuance of promissory notes, treasury bills, deposit certificates and bonds by credit institutions and foreign bank branches (referred to as the “Circular No. 33/2019/TT-NHNN”).

• Effective date: 14/02/2020.

Some contents should be noted:

• Firstly, amending and stipualting on interest rates of valuable papers.

Specifically, Clause 1 Article 1 of Circular No. 33/2019/TT-NHNN stipulates: “Article 1. Amendments to the Circular No. 34/2013/TT-NHNN:

1. Article 11 is amended as follows:

“Article 11. Interest rates

1. The interest rates of valuable papers issued by credit institutions or foreign bank branches shall be conformable with regulations on interest rates adopted by the State Bank of Viet Nam in each period. The interest rates of bonds must be also comply with regulations of the Law on Securities, Decree No. 163/2018/ND-CP, and legal documents elaborating the Law on Securities.

2. Methods of calculation of interests on valuable papers shall comply with the State Bank of Viet Nam’s regulations.”.”

• Secondly, amending and stipualting on application for the State Bank of Viet Nam’s approval of plan for public offering of bonds.

Specifically, Clause 7 Article 1 of Circular No. 33/2019/TT-NHNN stipulates: “Article 1. Amendments to the Circular No. 34/2013/TT-NHNN:

…

7. Article 22 is amended as follows:

“Article 22. Application for the State Bank of Viet Nam’s approval of plan for public offering of bonds

1. The application for approval of the plan for public offering of bonds by a credit institution which must bear the signature of the legal representative of that credit institution and specify the assessment of its fulfillment of conditions for public offering of bonds, including financial performance (after-tax profit) in the year preceding the year of issuance, paid-in charter capital at the date of issuance, profits or losses accumulated until the year of issuance, accounts payable more than one year overdue, the funding plan and use of funds in the year of issuance.

2. The plan for public offering of bonds approved by a competent authority of the credit institution shall include, inter alia, the following contents:

a) Total face value of bonds issued;

b) Name, term and interest rate of the bond and eligible buyers;

c) Location, form and method of bond issuance;

d) The plan for public offering of convertible bonds or warrant-linked bonds must also include the contents specified in Clause 1 Article 24 of this Circular (Circular No. 34/2013/TT-NHNN).

3. The plan for use of funds obtained from the public offering of bonds and debt repayment approved by a competent authority of the credit institution. The competent authority of the credit institution that gives approval of the plan for use of funds obtained from the public offering of bonds and debt repayment is also the one giving approval of the plan for public offering of bonds.

4. The written undertaking by the credit institution to perform duties towards bond buyers regarding issuance conditions, payment and assurance of rights and legitimate interests of bond buyers as well as other conditions.

5. Decisions made by the competent authority of the credit institution giving approval of the plan for public offering of bonds and the plan for use of funds obtained from the public offering of bonds and debt repayment”.””

• Thirdly, amending and stipualting on organization of issuance of valuable papers.

Specifically, Clause 7 Article 1 of Circular No. 33/2019/TT-NHNN stipulates: “Article 1. Amendments to the Circular No. 34/2013/TT-NHNN:

…

10. Article 25 is amended as follows:

“Article 25. Organization of issuance of financial instruments

1. Credit institutions and foreign bank branches shall take initiative in organizing their issuance of promissory notes, treasury bills and deposit certificates in accordance with Article 19 hereof (Circular No. 34/2013/TT-NHNN).

2. Credit institutions shall make private placement of bonds according to their plans for private placement of bonds approved by competent authorities and in conformity with Decree No. 163/2018/ND-CP.

3. Credit institutions shall make public offering of bonds according to their approved plans for public offering of bonds and in conformity with the Law on Securities”.””

1. LEGAL DOCUMENTS ARE EFFECTIVE FROM 01/01/2020

1.1.  Decree No. 86/2019/NĐ-CP dated on 14/11/2019 prescribing legal capital of credit institutions and foreign bank branches

• Name of legal document: Decree No. 86/2019/NĐ-CP issued on 14/11/2019 by the Gorverment prescribing legal capital of credit institutions and foreign bank branches (referred to as the “Decree No. 86/2019/NĐ-CP”).
• Effective date: 15/01/2020.

Some content should be noted:

• Firstly, regulating levels of legal capital.

Specifically, Clause 1, Clause 2, Clause 3, Clause 4 Article 2 stipulates: “Article 2. Levels of legal capital

1. Commercial banks: 3,000 billion dong.
2. Policy banks: 5,000 billion dong.
3. Cooperative banks: 3,000 billion dong.
4. Foreign bank branches: 15 million U.S. dollars (USD).”

• Secondly, regulating on transitional provisions for credit institutions (except people’s credit funds) or foreign bank branches licensed regarding to legal capital before the entry into force of this Decree.

Specifically, Clause 1 Article 3 stipulates: “Article 3. Transitional provisions

1. Credit institutions (except people’s credit funds) or foreign bank branches licensed before the entry into force of this Decree must ensure that the minimum amount of their actually contributed or allocated charter capital is at least equal to legal capital levels stated in Article 2 herein from the effective date of this Decree.”  

1.2. Circular No. 22/2019/TT-NHNN regulations on limitations and ratio of security assurance in operations of banks and branches of foreign banks

• Name of legal document: Circular No. 22/2019/TT-NHNN issued on 15/11/2019 by the State Bank of Viet Nam regulations on limitations and ratio of security assurance in operations of banks and branches of foreign banks (referred to as the “Circular No. 22/2019/TT-NHNN”).
• Effective date: 01/01/2020.

Some content should be noted:

• Firstly, regulating restrictions and limits on credit extension.

Specifically, Article 10 of Circular No. 22/2019/TT-NHNN stipulates: “Article 10. Restrictions and limits on credit extension

1. Banks, branches of foreign banks comply with the regulations on cases which are not granted credit extension, which are credit restriction and credit limit according to Article 126, Article 127 and Article 128 of the Law on Credit Institutions (amended and supplemented).

2. Banks, branches of foreign banks shall base themselves on the own capital to be determined according to the provisions of Clause 3 of this Article at the end of the latest working day to determine credit extension restrictions and limits according to the provisions of Clause 1 this.

3. The own capital is determined as follows:

a) For banks and/or branches of foreign banks that implement the minimum capital adequacy ratio in accordance with this Circular, banks using separate equity capital, branches of foreign banks shall use their own capital in accordance with regulations at Article 9 of this Circular.

b) For banks, branches of foreign banks implement capital adequacy ratio according to Circular 41/2016/TT-NHNN, banks, branches of foreign banks use own capital as prescribed in Circular No. 41/2016/TT-NHNN.”

• Secondly, providing on management of credit extension.

Specifically, Article 13 of Circular No. 22/2019/TT-NHNN stipulates: “Article 13. Management of credit extension

1. Banks and branches of foreign banks shall manage credit extension activities according to the provisions of law and the internal regulations on credit extension and loan management to ensure the use of loan capital for the right purposes provided at Clause 1, Article 4 of this Circular.
2. Banks and branches of foreign banks must prepare and update immediately upon any change of the list of founding shareholders, major shareholders, capital contributing members, members of the Board of Directors and members of the Board of members, members of the Supervisory Board, executives and other management titles in accordance with the laws, the organization and operation charter of the bank and related persons of these people. This list must be made public throughout the system of banks, branches of foreign banks and sent directly or via postal service to the State Bank as prescribed at Points a and b, Clause 6, Article 4 of this Circular.
3. Banks and branches of foreign banks must report to:
4. a) The General Meeting of Shareholders, the Members’ General Meeting of credit extensions to the subjects specified in Clause 1, Article 127 of the Law on Credit Institutions (amended and supplemented) arising until the time of taking the number whether to convene a General Meeting of Shareholders, a General Meeting of Members;
5. b) Owners, capital contributors, managers, executives when giving credit to subjects defined in Clause 1, Article 127 of the Law on Credit Institutions (amended and supplemented) );
6. c) The State Bank shall comply with the State Bank’s regulations on the regime of statistical reporting of credit extension to subjects defined in Clause 1, Article 127 of the Law on Credit Institutions (amended and supplemented).
7. Credit extension to subsidiaries, associated companies and entities listed in Clause 2 of this Article (except for cases where credit is not provided for in Article 126 of the Law on Credit Institutions (already amended, supplemented)) must be approved by the Board of Directors, Board of Members (for banks), General Director/Director (for branches of foreign banks), except for credit extension under the authority of the General Meeting of Shareholders. The Supervisory Board must supervise credit approval for these subjects.”

1.3. Circular No. 24/2019/TT-NHNN provisions on refinanced loanS in the form of re-lending according to credit dossier for credit institutions

• Name of legal document: Circular No. 24/2019/TT-NHNN issued on 18/11/2019 by the State Bank of Viet Nam provisions on refinanced loans in the form of -re-lending according to credit dossier for credit institutions (referred to as the “Circular No. 24/2019/TT-NHNN”).
• Effective date: 18/01/2020.

Some content should be noted:

• Firstly, proving interest rate.

Specifically, Article 6 of Circular No. 24/2019/TT-NHNN stipulates: “Article 6. Interest rate

1. The interest rate of refinanced loan, extension of refinanced loan in the form of re-lending according to credit dossier is the interest rate of refinanced loan announced by the State Bank in each period at the time when the refinanced loan amount is disbursed, extended.
2. Overdue interest on the refinanced loan principal equals 150% of the interest rate applicable to refinanced loan.”

• Secondly, providing terms of refinanced loan and extension of refinanced loan.

Specifically, Article 7 of Circular No. 24/2019/TT-NHNN stipulates: “Article 7. Term of refinanced loan, extension of refinanced loan

1. The term of refinanced loan in the form of re-lending according to the credit dossier shall be considered and decided by the State Bank and must be less than 12 months.
2. Each extension period must not exceed the term of refinanced loan; total refinanced loan time and refinanced loan extension must not exceed 12 months.”

1.4. Circular No. 25/2019/TT-NHNN amendments to the Circular No. 40/2011/TT-NHNN dated December 15, 2011 of the Governor of the State bank of Vietnam providing for licensing and organization and operation of commercial banks, foreign bank branches, representative offices of foreign credit institutions and other foreign organizations performing banking activities in Vietnam

• Name of legal document: Circular No. 25/2019/TT-NHNN issued on 02/12/2019 by the State Bank of Viet Nam amendments to the Circular No. 40/2011/TT-NHNNdated December 15, 2011 of the Governor of the State bank of Vietnam providing for licensing and organization and operation of commercial banks, foreign bank branches, representative offices of foreign credit institutions and other foreign organizations performing banking activities in Vietnam (referred to as the “Circular No. 25/2019/TT-NHNN”)

Circular No. 40/2011/TT-NHNN dated December 15, 2011 of the Governor of the State bank of Vietnam providing for licensing and organization and operation of commercial banks, foreign bank branches, representative offices of foreign credit institutions and other foreign organizations performing banking activities in Vietnam (referred to as the “Circular No. 40/2019/TT-NHNN”)

• Effective date: 17/01/2019.

The content should be noted: Adding the provision on modification of license of representative offices[1].

Specifically, Clause 4 Article 1 of Circular No. 25/2019/TT-NHNN stipulates: “Article 1. Amendments to Circular No. 40/2011/TT-NHNN dated December 15, 2011 of the Governor of the State Bank of Vietnam providing for the licensing and organization and operation of commercial banks, foreign bank branches, representative offices of foreign credit institutions and other foreign organizations performing banking activities in Vietnam (hereinafter referred to as “Circular No. 40/2011/TT-NHNN”)

…

4. Section 5 is added to Chapter II as follows:

“Section 5

MODIFICATION OF LICENSE OF REPRESENTATIVE OFFICES

Article 18d. General provisions on changes in a representative office

1. A representative office shall prepare an application for modification of its license and then submit it directly or by post to the SBV’s provincial branch as prescribed in Point a Clause 2 Article 18dd of this Circular (Circular No. 40/2011/TT-NHNN) if it has the following changes;

a) Change of its name;

b) Relocation to another province or city;

c) Extension of operation duration.

2. A representative office shall send a written notification directly or by post to the SBV’s branch in province or city where it is located within 07 business days from the occurrence of one of the following changes:

a) Change of its chief representative;

b) Relocation within the same province or city;

c) Change of address without change of its location.

3. Representative offices shall prepare application for modification of license in the case prescribed in Clause 1 of this Article according to provisions in Article 13 of this Circular (Circular No. 40/2011/TT-NHNN).

4. After obtaining an approval from the SBV’s provincial branch for its modification of license with respect to the changes specified in Clause 1 of this Article (Circular No. 40/2011/TT-NHNN), the representative office shall:

a) carry out procedures for registration of changes with a relevant competent authority;

b) start operation at the new location and terminate operation at the previous location within 06 months after obtaining an approval from the SBV’s provincial branch for its modification of license with respect to the change specified in Point b Clause 1 of this Article (Circular No. 40/2011/TT-NHNN);

c) publish the changes on SBV’s mass media and 03 consecutive issues of a daily printed newspaper or an online newspaper of Vietnam within 07 working days after obtaining an approval from the SBV’s provincial branch for its modification of license.

Article 18dd. Application and procedures for modification of license of representative offices

1. An application for modification of license with respect to the changes specified in Clause 1 Article 18d of this Circular (Circular No. 40/2011/TT-NHNN)include:

a) An application form for modification of license which bears the signature of the legal representative of the foreign credit institution, or other foreign organization performing banking activities, and includes the following contents:

(i) Current contents;

(ii) Contents to be changed.  In case of change of name, the new name must comply with provisions in Clause 1 Article 23 of this Circular (Circular No. 40/2011/TT-NHNN);

(iii) Reasons for such changes;

b) Documents explaining the change (in case of change of name); or documents proving that the representative office has or will have the right to use the new location (in case of relocation of a representative office);

c) Financial statements of the foreign credit institution or other foreign organization performing banking activities of the year preceding the year of application, which have been audited by an independent audit firm, and general report on operations of the representative office in case of extension of operation duration (which must specify the operations of the representative office within 03 years preceding the year of application and operation plan for the following year).

2. Procedures for modification of license:

a) The representative office shall submit an application to the SBV’s branch in the province or city where it is located in case of change of name or extension of operation duration, or where it is relocated to in case of relocation of the representative office.  In case of extension of operation duration, the application must be submitted at least 60 days before the expiry date of the license;

b) If an application is insufficient or invalid, within 05 business days from the receipt of the application, the SBV’s provincial branch shall request the representative office in writing to complete it;

c) Within 30 days from the receipt of sufficient and valid application, the SBV’s provincial branch shall issue a decision on modification of the license of the representative office.  If an application is refused, the SBV’s provincial branch shall give a written response indicating reasons for such refusal to the applicant.””

1.5. Circular No. 07/2019/TT-BTP guiding a number of contents of the registration of the mortgage of land use right and land-attached assets

• Name of legal document: Circular No. 07/2019/TT-BTPN issued on 25/11/2019 by the judicial providing guiding a number of contents of the registration of the mortgage of land use right and land-attached assets (referred to as the “Circular No. 07/2019/TT-BTP”).
• Effective date: 10/01/2020.

Some contents should be noted:

• Firstly, regulating on registration of mortgage of land use rights and land-attached assets.

Specifically, Article 4 of Circular No. 07/2019/TT-BTP stipulates: “Cases of registration of the mortgaging of land use rights and properties on land

Article 4. Cases of registration of the mortgaging of land use rights and properties on land

1. Cases of registration of the mortgaging of land use rights and properties on land:

a) Registration of mortgaging of land use rights;

b) Registration of mortgaging of properties on land;

c) Registration of mortgaging of land use right and properties on land;

d) Registration of mortgaging of future acquired properties on land;

dd) Registration of mortgaging of land use rights and future acquired properties on land;

e) Registration of mortgage of construction investment projects of construction works being housing, investment projects of construction works not being housing, other construction investment projects according to the provisions of law;

g) Registration of changes to registered mortgaging;

h) Registration of written notification of settlement of collaterals in case mortgaging has been registered;

i) Removal of mortgage registration.

2. In case of registration of mortgages as prescribed at Point e, Clause 1 of this Article is perform like the registration of mortgage of land use rights, future acquired properties on land being housing, construction works.

3. The mortgage registration prescribed in Clause 1 of this Article is carried out in cases of mortgages to guarantee the performance of civil obligations of the mortgagor, to guarantee the performance of civil obligations of others or guarantee the performance of civil obligations for both the mortgagor and the others.”

• Secondly, regulating forms of registration of mortgage of land use rights and land-attached assets.

Specifically, Article 21 of Circular No. 07/2019/TT-BTP stipulates: “Article 21. Registration form of registration of mortgage of land use rights and land-attached assets

Composition of a dossier of registration of registration of mortgage of land use rights and land-attached assets made according to forms promulgated together with this Circular, comprises:

1. Form No. 01/DKK: Mortgage registration request form;
2. Form No. 02/ĐKTĐ-SCSS: The written request of registration of changes, corrections of errors;
3. Form No. 03/DKKB: The written request of registration of a written notice of mortgage asset handling;
4. Form No. 04/XĐK: The written request of deletion of registration;
5. Form No. 05/CTĐK: The written request of forwarding mortgage registration;
6. Form No. 06/BSCB: Additional pages on mortgage contracting parties;
7. Form No. 07/BSTS: Additional page on mortgage assets;
8. Form No. 08/DMHĐTC: List of registered mortgage contracts;
9. Form No. 09/SĐKTL: The book of registration of mortgage of future acquired properties on land;
10. Form No. 10/VBTB: The written notice of temporary suspension or stop of mortgage registration; notify the distraint and clearance of land use right and land-attached assets.”

• Thirdly, regulating the implementation effect of Circular No. 07/2019/TT-BTP.

Specifically, Article 22 of Circular No. 07/2019/TT-BTP stipulates: “Article 22. Effect

1. This Circular takes effect from January 10, 2020.
2. This Circular replaces Joint Circular No. 09/2016/TTLT-BTP-BTNMT of June 23, 2016 of the Minister of Justice and the Minister of Natural Resources and Environment instructions on registration of mortgaging of land use rights, properties on land.”

• Fourthly, detail of Mortgage registration request form.

“Mẫu số 01/ĐKTC

BÊN NHẬN THẾ CHẤP (HOẶC NGƯỜI ĐẠI DIỆN CỦA BÊN NHẬN THẾ CHẤP/QUẢN TÀI VIÊN)
(Ký, ghi rõ họ tên và đóng dấu, nếu là tổ chức)

PHẦN CHỨNG NHẬN CỦA CƠ QUAN ĐĂNG KÝ

Văn phòng đăng ký đất đai: …………………

………………………………………………………………………………………………………………

Chứng nhận việc thế chấp ……………………………………………………………………………… đã được đăng ký theo những nội dung kê khai tại Phiếu yêu cầu này tại thời điểm …. giờ…. phút, ngày…. tháng…. năm…….

…………, ngày …. tháng …… năm ……
THỦ TRƯỞNG CƠ QUAN ĐĂNG KÝ
(Ghi rõ chức danh, họ tên, ký và đóng dấu)

HƯỚNG DẪN KÊ KHAI

1. Hướng dẫn chung

1.1. Nội dung kê khai rõ ràng, không tẩy xóa.

1.2. Đối với phần kê khai mà có nhiều lựa chọn khác nhau thì đánh dấu (X) vào ô vuông tương ứng với nội dung lựa chọn

2. Kê khai về bên thế chấp, bên nhận thế chấp:

2.1. Tại điểm 1.4 và điểm 2.4: Nếu bên thế chấp, bên nhận thế chấp là cá nhân trong nước thì kê khai về chứng minh nhân dân, căn cước công dân, chứng minh được cấp theo Luật sỹ quan Quân đội nhân dân Việt Nam, Luật quân nhân chuyên nghiệp, công nhân và viên chức quốc phòng hoặc giấy tờ xác định tư cách pháp lý khác theo quy định của pháp luật; người Việt Nam định cư ở nước ngoài, cá nhân nước ngoài thì kê khai về hộ chiếu; nếu là tổ chức thì kê khai về Giấy chứng nhận (GCN) đăng ký thành lập (nếu có), GCN đăng ký doanh nghiệp, GCN đăng ký hoạt động chi nhánh, văn phòng đại diện/Giấy phép(GP) thành lập và hoạt động hoặc Quyết định thành lập hoặc GP đầu tư, GCN đầu tư, GCN đăng ký đầu tư.

2.2. Khi cần kê khai thêm về bên thế chấp, bên nhận thế chấp mà không còn chỗ ghi tại Mẫu số 01/ĐKTC thì ghi tiếp vào Mẫu số 06/BSCB.

3. Mô tả về tài sản thế chấp:

3.1. Trường hợp tài sản thế chấp không bao gồm quyền sử dụng đất thì không kê khai nội dung về quyền sử dụng đất tại điểm 3.1.

3.2. Tại điểm 3.2.3: Kê khai như sau:

a) Nếu tài sản thế chấp là nhà thì phải kê khai loại nhà (nhà ở, nhà xưởng, nhà kho, …), số tầng, diện tích xây dựng (diện tích chiếm đất), diện tích sử dụng, địa chỉ nhà đó.

b) Trường hợp tài sản thế chấp là nhà chung cư thì ghi tên của nhà chung cư, số tầng, diện tích xây dựng (diện tích chiếm đất), tổng số căn hộ, địa chỉ nhà chung cư đó.

c) Trường hợp tài sản thế chấp là căn hộ trong nhà chung cư thì ghi “căn hộ chung cư” và ghi số của căn hộ, tầng số, diện tích sử dụng của căn hộ, địa chỉ nhà chung cư đó.

d) Trường hợp tài sản thế chấp là công trình hạ tầng kỹ thuật thì ghi loại công trình hạ tầng, tên từng hạng mục công trình và diện tích chiếm đất của hạng mục công trình đó. Đối với công trình kiến trúc khác thì ghi tên công trình và diện tích chiếm đất của công trình, địa chỉ nơi có công trình.

đ) Trường hợp tài sản thế chấp là cây rừng, cây lâu năm thì ghi loại cây rừng, loại cây lâu năm, diện tích, địa chỉ nơi có cây rừng, cây lâu năm.

3.2. Tại điểm 3.4.1: Kê khai thông tin về số Giấy chứng nhận quyền sử dụng đất, quyền sở hữu nhà ở và tài sản khác gắn liền với đất của nơi có dự án xây dựng nhà ở; trường hợp không có Giấy chứng nhận về quyền sử dụng đất, quyền sở hữu nhà ở và tài sản khác gắn liền với đất thì kê khai thông tin về Quyết định giao đất, cho thuê đất tại điểm 3.4.2.

3.3. Khi cần kê khai thêm về tài sản thế chấp mà không còn chỗ ghi tại Mẫu số 01/ĐKTC thì ghi tiếp vào Mẫu số 07/BSTS.

Mục bên thế chấp, bên nhận thế chấp ký tên:

4.1. Trường hợp người đại diện của bên thế chấp, bên nhận thế chấp là cá nhân thì ký, ghi rõ họ tên của người đại diện:

Trường hợp người đại diện của bên thế chấp, bên nhận thế chấp là pháp nhân thì ký, ghi rõ họ tên, chức vụ của người đại diện hợp pháp của pháp nhân và đóng dấu của pháp nhân là đại diện.

4.2. Trường hợp người yêu cầu đăng ký thế chấp là Quản tài viên thì Quản tài viên phải ký, ghi rõ họ tên, chức danh và đóng dấu vào Phiếu yêu cầu tại phần chữ ký, con dấu bên nhận thế chấp, đồng thời bên thế chấp và bên nhận thế chấp không phải ký và đóng dấu vào Phiếu yêu cầu.

2. LEGAL DOCUMENTS ISSUED IN 12/2019

2.1. Circular No. 32/2019/TT-NHNN amending and supplementing a number of articles of Circular no. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company

• Name of legal document: Circular No. 30/2019/TT-NHNN issued on 31/12/2019 by the State Bank of Viet Nam amending and supplementing a number of articles of Circular No. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company (referred to as the “Circular No. 32/2019/TT-NHNN”).
• Effective date: 14/02/2020.

Some contents should be noted: amending and stipualting on restructure bad debts, Adjustment of repayment term and debt rescheduling.

Specifically, Clause 1 Article 1 of Circular No. 30/2019/TT-NHNN stipualtes: “Article 1. amending and supplementing a number of articles of Circular No. 19/2013/TT-NHNN dated September 6th, 2013 of the Governor of the State Bank of Vietnam state on the purchase, sale and settlement of bad debts of Vietnam Asset Management Company (referred to as the “Circular No. 19/2013/TT-NHNN”)

1. Clauses 2, 3 and 4 of Article 3 are amended and supplemented as follows:

“2. Restructure bad debts is the adjustment of repayment term, debt rescheduling; reduction of a part or total of interest amounts which are overdue for payment, violation fees and fines; adjustment of interest rate of bad debt.

3. Adjustment of repayment term means the approval to extend a period of repayment of part or all of the principal and/or interest of an agreed repayment term (including the case of no change in number of debt repayment term agreed upon) within the previous debt repayment term agreed in the credit agreement or loan agreement, agreement of offer of the trusteeship of credit extension, agreement of purchase, offer of the trusteeship purchasing corporate bonds with the repayment deadline remains unchanged.

4. Debt rescheduling means the approval to extend an additional period of repayment of principal and/or interest in excess of the previous debt payment term agreed in the credit agreement or loan agreement, agreement of offer of the trusteeship of credit extension, agreement of purchase, offer of the trusteeship purchasing corporate bonds.””

2.2. Circular No. 26/2019/TT-NHNN amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Vietnam

• Name of legal document: Circular No. 26/2019/TT-NHNN issued on 23/12/2019 by the State Bank of Viet Nam amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Viet Nam (referred to as the “Circular No. 26/12/2019/TT-NHNN”).
• Effective date: 01/03/2020.

Some contents should be noted:

• Firstly, amending and supplementing the regulation on subjects to be granted PIN code[2].

Specifically, Clause 1 Article 15 of Circular No. 26/2019/TT-NHNN stipulates: “Article 1. Amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Vietnam

1. Article 4 is amended and supplemented as follows:

“Article 4. Subjects to be granted PIN code

Subjects to be granted with PIN code are organizations that issue card in accordance with provisions of laws on banking card activities.””

• Secondly, amending and supplementing the regulation on procedures for grant of PIN code.

Specifically, Clause 2 Article 15 of Circular No. 26/2019/TT-NHNN stipulates: “Article 1. Amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Vietnam

…

“2. Article 6 is amended and supplemented as follows:

Article 6. Procedures to grant PIN code

1. In case of having demand for grant of PIN code, the card issuer has to send directly or via postal service to the State Bank of Vietnam (Payment Department) or via the State Bank of Vietnam Portal requests for a BIN according to Form No. 01 issued together with this Regulation.
2. Within 5 working days after receiving a valid PIN application, the State Bank of Vietnam shall issue a decision to perform the grant of PIN code to the card issuer and notify in writing or via the State Bank of Vietnam Portal for card issuers.
3. The State Bank of Vietnam shall grant 01 unique PIN code to each card issuer that is subject to be granted PIN code.””

2.3. Circular No. 30/2019/TT-NHNN providing on performing the reserve requirement of credit institutions and foreign bank branches

• Name of legal document: Circular No. 30/2019/TT-NHNN issued on 27/12/2019 by the State Bank of Viet Nam providing on performing the reserve requirement of credit institutions and foreign bank branches (referred to as the “Circular No. 30/2019/TT-NHNN”).
• Effective date: 01/03/2020.

Some contents should be noted:

• Firstly, providing on credit institutions which do not perform the reserve requirement.

Specifically, Article 3 of Circular No. 30/2019/TT-NHNN stipulates:“Article 3. Credit institutions do not perform the reserve requirement

1. Credit institutions subject to special control: The time for failing to perform the reserve requirement shall be from the month following the month when credit institutions are decided by the State Bank of Vietnam (hereinafter called the State Bank) under the state of special control, by the end of the month, the credit institution shall be decided by the State Bank to terminate the special control.
2. Credit institutions have not yet opened their operations: The time for not performing the reserve requirement till the end of the month when the credit institutions commence their operation; Credit institutions shall notify in writing to the State Bank (Operation Center) of the operation opening date within 3 working days after the operation opening.
3. The credit institution is approved to dissolve or has a decision to open bankruptcy procedures or has a decision to revoke its license of a competent agency: The time for failing to perform the reserve requirement from the month following the month of the credit institution is approved to dissolve or the decided to open bankruptcy procedures, revoke the valid License; credit institutions that have decision on opening bankruptcy procedures shall send them to the State Bank (Operation Center) for deciding to open bankruptcy procedures within 3 working days after receiving this decision.”

• Secondly, providing on reserve requirement ratios, interest rates on reserve requirement deposits and deposits in excess of reserve requirement

Specifically, Article 6 of Circular No. 30/2019/TT-NHNN stipulates: “Article 6. reserve requirement ratios, interest rates on reserve requirement and deposits in excess of reserve requirement

1. Reserve requirement ratios for credit institutions

a) The Governor of the State Bank shall decide the reserve requirement ratio applicable to each type of credit institution and each type of deposit in accordance with the national monetary policy objectives in each period, except for reserve requirement ratio for Vietnam dong deposit to credit institutions prescribed at Point b of this Clause;

b) For credit institutions lending for agricultural and rural development supported by reserve requirement tool, the reserve requirement ratio for Vietnam dong deposits shall comply with the State Bank’s regulations. The State Bank guides the implementation of measures to manage monetary policy instruments to support credit institutions lending for agricultural and rural development.

2. Interest rates of reserve requirement deposits and deposits exceeding the reserve requirement of each type of credit institution and each type of deposit shall be decided by the Governor of the State Bank in accordance with the objectives of national monetary policy in each period.”

2.4. Circular No. 28/2019/TT-NHNN amending and supplementing a number of articles of Circular No. 19/2016/tt-nhnn dated on June 30, 2016 of the Governor of the State Bank of Vietnam on bank card operations

• Name of legal document: Circular No. 28/2019/TT-NHNN issued on 25/12/2019 by the State Bank of Viet Nam amending and supplementing a number of articles of Circular No. 19/2016/tt-nhnn dated on June 30, 2016 of the Governor of the State Bank of Vietnam on bank card operations (referred to as the “Circular No. 28/2019/TT-NHNN”).
• Effective date: 01/04/2020.

Some contents should be noted:

·        Firstly, amending the provison on non-physical card and supplement the provisions on domestic transactions which present the card and make non-payment transactions at merchants.

Specifically, Clause 1 Article 1 of Circular No. 28/2019/TT-NHNN stipulates: “Article 1. amending and supplementing a number of articles of Circular No. 19/2016/tt-nhnn dated on June 30, 2016 of the Governor of the State Bank of Vietnam on bank card operations

1. Amending Clauses 7, 19, 23 and 25 and adding Clauses 8a and 8b to Article 3 as follows:

“7. Non-physical card is a card that does not exist in physical form, exists in electronic form and contains information on the card as prescribed in Article 12 of this Circular (Circular No. 19/2016/TT-NHNN) and is issued by the card issuer to the cardholder for transaction on internet environment, application program on mobile devices; excluding cases that physical card registered functions for transactions on the internet environment, application programs on mobile devices. Non-physical cards may be printed by physical card issuers upon the request of cardholders.”.

“8a. Domestic transaction which presents the card is a card transaction in which the card is issued by a card issuer in Vietnam and is used to make card transactions at Automated Teller Machine and point of sale terminals in Vietnam.”

“8b. A non-payment transaction at a merchant is the use of card and card information to pay for goods or services but in fact does not generate or sell goods and services.”

…. ”

• Sencondly, Amending and supplementing the regulation on subjects entitled to use cards.

Specifically, Clause 5 Article 1 of Circular No. 28/2019/TT-NHNN stipulates: “Article 1. Article 1. amending and supplementing a number of articles of Circular No. 19/2016/tt-nhnn dated on June 30, 2016 of the Governor of the State Bank of Vietnam on bank card operations

5. Amend Point b, Clause 3, Article 16 as follows:

“b) Persons aged between full 15 and under 18 who do not lose or have limited civil act capacity may use debit cards, credit cards and prepaid cards;”.”

2.5. Circular No. 27/2019/TT-NHNN amending and supplementing a number of articles of Circular No. 35/2014/TT-NHNN dated on November 20, 2014 of the Governor of the State Bank of Vietnam prescribing the fee for cash withdrawal via payment accounts at the State Bank Vietnam

• Name of legal document: Circular No. 27/2019/TT-NHNN issued on 25/12/2019 by the State Bank of Viet Nam amending and supplementing a number of articles of Circular No. 35/2014/TT-NHNN dated on November 20, 2014 of the Governor of the State Bank of Vietnam prescribing the fee for cash withdrawal via payment accounts at the State Bank Vietnam (referred to as the “Circular No. 27/2019/TT-NHNN”).
• Effective date: 01/05/2020.

Some contents should be noted:

• Firstly, amending and supplementing the regulation on cash withdrawal fee at the State Bank.

Specifically, Clause 1 Article 1 stipulates: “Article 1. Amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Vietnam

1. Article 3 is amended and supplemented as follows:

“Article 3. Cash withdrawal fee at the State Bank

1. Credit institutions, branches of foreign banks are exempted from cash withdrawal in the month when the value of cash withdrawn via payment accounts is less than or equal to cash value which is not eligible for circulation are submitted to the State Bank where the account is opened.
2. Credit institutions, branches of foreign bank shall pay a fee of 0.005% of the positive difference in the month between the value of cash withdrawn via payment accounts minus the value of cash value which is not eligible for circulation are submitted to the State Bank where the account is opened.””

• Secondly, amending and supplementing the regulation on cash withdrawal fee at the State Bank.

Specifically, Clause 2 Article 1 stipulates: “Article 1. Amending and supplementing a number of articles of the Regulation on the grant, use and management of the code bank card issuers code issued together with Decision No. 38/2007/QD-NHNN dated October 30th, 2007 of the Governor of the State Bank of Vietnam

…

“2. To add Article 3a as follows:

Article 3a. Methods of collecting cash withdrawal fee

Every month, after calculating and collecting the cash withdrawal fee of credit institutions, foreign bank branches, Operation Centers, State Bank branches in centrally-affiliated cities and provinces, based on based on the receipts under the charge list is in the Appendix to this Circular, the accounting of cash withdrawal fee is in accordance with the provisions of the accounting account system issued in Circular No. 19/2015/TT-NHNN of October, 22nd, 2015 regulating the accounting system of the State Bank of Vietnam and the Operating Manual of the core banking system, budget accounting and system integration”.”

[1] “Representative office shall be an underlying unit of a foreign credit institution, other foreign organization having banking activities. A representative office shall not be permitted to conduct business activities in Vietnam.” (Clause 7 Article Circular No. 40/2011/TT-NHNN)

[2] Bank card issuers code