Circular No. 05/2011/TT-NHNN dated March 10, 2011 of the State Bank of Vietnam regulating the charge of credit institutions’ loans to clients

THE STATE BANK OF VIETNAM

Circular No. 05/2011/TT-NHNN of March 10, 2011, providing for credit institutions’ collection of loan charges from clients

Pursuant to June 16, 2010 Law No. 46/2010/QH12 on the State Bank of Vietnam;

Pursuant to June 16, 2010 Law No. 47/2010/QH12 on Credit Institutions;

Pursuant to the Government’s Decree No. 96/2008/ND-CP of August 26, 2008, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

Pursuant to the Government’s Resolution No. 11/NQ-CP of February 24, 2011, on major solutions for curbing inflation, stabilizing  the marco-economy and assuring social welfare;

The State Bank of Vietnam provides for the collection of loan charges by credit institutions and foreign bank branches (below collectively referred to as credit institutions) from clients as follows:

Article 1. Credit institutions may not collect loan charges from clients, except the following charges:

1. Charge for ahead-of-schedule repayment of debts and charge for contingency credit limits according to the State Bank of Vietnam’s regulations on the provision of loans by credit institutions to their clients.

2. Charge for arranging the signing of co-financing contracts under the mode of providing syndicated loans between credit institutions and clients according to the State Bank of Vietnam’s regulations on the provision of co-financing loans by credit institutions.

3. Charges which are specified in legal documents on loan provision.

Article 2. The Banking Inspection and Supervision Agency and provincial-level State Bank branches shall, according to their competence, examine, inspect and supervise the collection of loan charges from clients by credit institutions and take measures to handle credit institutions which violate this Circular.

Article 3. Organization of implementation

1. This Circular takes effect on the date of its signing.

2. The Chief of the Office, the director of the Monetary Policy Department, heads of units under the State Bank, directors of provincial-level State Bank branches, chairpersons of the Boards of Directors and directors general (directors) of credit institutions and clients borrowing loans from credit institutions shall implement this Circular.-

For the Governor of the State Bank
Deputy Governor
NGUYEN DONG TIEN