Circular No. 20/2016/TT-NHNN dated June 30, 2016 of the State Bank of Vietnam amending a number of Articles of the Circular 36/2012/TT-NHNN on the installation, management, operation and security of automated teller machines and of the circular no. 39/2014/TT-NHNN dated December 11,2014 on guidelines for intermediary payment services

THE STATE BANK OF VIETNAM

Circular No.20/2016/TT-NHNN dated June 30, 2016 of the State Bank of Vietnam amending a number of Articles of the Circular 36/2012/TT-NHNN on the installation, management, operation and security of automated teller machines and of the circular no. 39/2014/TT-NHNN dated December  11,2014 on guidelines for intermediary payment services

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

Pursuant to the Law of Credit Institutions No. 47/2010/QH12 dated June 16, 2010;

Pursuant to the Electronic Transactions Law No. 51/2005/QH11 dated November 29, 2005;

Pursuant to the Government’s Decree No. 156/2013/ND-CP dated November 11, 2013 on the functions, missions, authority and organizational structure of Vietnam State Bank;

Pursuant to the Government’s Decree No. 101/2012/ND-CP dated November 22, 2012 on cashless payment;

Pursuant to the Government’s Decree No. 35/2007/ND-CP dated March 08, 2007 on electronic banking transactions;

At the request of the Head of the Department of Payment;

Governor of Vietnam State Bank promulgates the Circular ona number of Articles of the Circular 36/2012/TT-NHNNon the installation, management, operation and security of automated teller machines and of the Circular no. 39/2014/TT-NHNN dated December  11,2014 on guidelines for intermediary payment services.

Article 1. To amenda number of Articles of the Circular 36/2012/TT-NHNNon the installation, management, operation and security of automated teller machines and of the circular no. 39/2014/TT-NHNN dated December  11, 2014 on guidelines for intermediary payment services

1.To amend Article 3 as follows:

“Article 3. Initial installation of an ATM system

Providers of payment services, when installing an ATM system (except mobile ATMs) for the first time, shall be responsible for:

1.Formulate the scheme for installation, operation, maintenance and supervision of ATMs in order to sustain the essential infrastructure, reserve system and management software in conformity to technical requirements regulated by the State Bank for securing of banks’ payment card service equipment, with the aim of smooth, stable and safe operation of ATMs.

2.Formulate internal regulations on information security, operational procedure, risk management, maintenance, control and supervision of ATMs.

3.Plan and dispose rational networks of ATMs in order to satisfy customers’ demand for withdrawal of cash.

4.Send the schemes and documents prescribed in Clause 1, Clause 2, and Clause 3 this Article to Vietnam State Bank (i.e. the Department of Payment) at least 15 days prior to the commencement of installation works.”

2.To amend Article 4 as follows:

“Article 4. Installation, relocation, re-scheduling and shutdown of ATMs

1.Providers of payment services, when installing ATMs, shall be responsible for ensuring that the location of ATMs is convenient, adequately lit and secure for customers to carry out transactions. Moreover, electric power supplied to the booth and ATM must be subject to national standards on electrical engineering and safety. Furthermore, an ATM must be equipped with a backup power supply or be capable of returning cards to customers automatically in order to avoid the retention of customers’ cards upon in the ATM upon abrupt termination of the primary power supply.

2.A provider of payment services must send a written notice, as per Form No. 1 (for ATMs) or Form No. 2 (for mobile ATMs) enclosed to this Circular, to the relevant provincial branch of the State Bank (referred to as the branch of the State Bank) 10 work days prior to the installation, relocation, re-scheduling or shutdown of an ATM.

3.When an ATM is relocated to a different province or city, the relevant provider of payment services must notify the shutdown of such ATM in the former site and its installation in the new site.

4.Every provider of payment services must update the installation, relocation, retiming and shutdown of ATMs on its ATM management system and official website.

5.Providers of payment services shall fulfill requirements on installation and physical safety of ATMs as per regulations of Vietnam State Bank on the security of banks’ payment card equipment."

3.Clause 1, Clause 2, Clause 4 of Article 5 are amended and Clause 8 is added thereof as follows:

“1. ATM system shall be available to customers 24 hours a day and 7 days a week. The availability of ATMs installed at sites that are only accessible to customers in certain hours shall be subject to the open time of such sites. Available hours must be displayed publicly at the sites and on the official website of the provider of payment services.

2.Dispose personnel to repair malfunctioned ATMs in the fastest time possible. If an ATM fails to (or expectedly ceases to) operate in over 24 hours, the relevant branch of the State Bank must be informed in the work day succeeding the date of the (expected) interruption to the ATM in over 24 hours. Moreover, customers must be informed publicly via a suitable method.”

“4. Cooperate with switching organizations to maintain the continuity and safety of inter-bank ATM transactions.”

“8. Fulfill technical requirements on ATMs’ software and connection lines as per regulations of Vietnam State Bank on the security of banks payment card equipment."

4.To rename Article 6 and amend Clause 1 and Clause 7 thereof as follows:

"Article 6. Specific requirements for ATMs

1.The phone number and contact address of the operator of an ATM must be displayed publicly at the site of such ATM for customers inquiries on transaction errors, formalities and review time or their complaints.

Instruction or symbols of payment cards accepted by an ATM must be shown at its site. Also displayed are the instruction for use of the ATM, its name or code, its services and charges. Such information may be exhibited in print or on the screen of the ATM.

“7. Providers of payment services shall not limit each withdrawal  at an ATM of below 5 million Vietnam dongs for internal transactions and below 3 million Vietnam dongs for inter-bank transactions.”

5.To amend Clause 3 of Article 7 and add  Clause 9 thereof as follows:

"3. Assign guards at ATMs or cooperate with the lessors of the sites of ATMs or local security units to examine, supervise and guard ATMs.”

“9. Fulfill other requirements for security and safety of ATM systems as per regulations of Vietnam State Bank on the security of banks payment card equipment."

6.To amend Clause 2 and Clause 4 of Article 9 and add Clause 7 thereof as follows:

“2. Providers of payment services, when deploying mobile ATMs for the first time, shall be responsible for:

a) Formulate the scheme to furnish, operate, maintain and supervise the mobile ATMs, which specifies activities (expected services, customer type). The scheme must also indicate the total quantity of mobile ATM trailers, number of ATMs in each trailer, coverage area and available time.

b) Formulate internal regulations on information security, operational procedure, risk management, maintenance, control and supervision of mobile ATMs.

c) Send the schemes and internal regulations prescribed in Point a and Point b of this Clause to Vietnam State Bank (i.e. the Department of Payment) at least 15 days prior to the deployment.

d) Providers of payment services shall inform Vietnam State Bank in writing of revisions to the scheme and internal regulations prescribed in Point a and Point b of this Clause prior to the adoption of such revisions."

"4. A provider of payment services shall deploy mobile ATMs in conformity to the scheme it has sent to Vietnam State Bank as per universal regulations on ATM.”

"7. On quarterly basis (by the 05^thof the first month of the following quarter), providers of payment services must report their deployment of mobile ATMs via Form No. 4 enclosed to this Circular.”

7.To amend Point b, Clause 3 of Article 11 and add Point d thereof as follows:

“b) Examine and supervise local mobile ATMs and cope with violations: Examine all or some local ATMs on periodic basis or when necessary and make ATM examination records as per Form No. 3 enclosed to this Circular. Relevant providers of payment services violations of this Circular, when exposed shall be penalized intra vires.

In Hanoi and the city of Ho Chi Minh, the Departments of Bank Inspection and Supervision shall cooperate with branches of the State Bank in examining and supervising local ATMs, tackling with violations, preventing ATM-related crimes and informing the branches of the State Bank of the result of such activities."

“d) On quarterly basis (by the 05^thof the first month of the following quarter), report the operations of the local ATM network via Form No. 05 enclosed to this Circular.”

8.To annul the Clause 3 of Article 3, Clause 2 of Article 6, Clause 3 of Article 9 and Form No.1, Form No. 2 and Form No.3 enclosed to the Circular 36/2012/TT-NHNN.

Article 2. To amend a number of articles of the Circular No. 39/2014/TT-NHNN on guidelines for intermediary payment services

1.To amend Clause 2 of Article 4 as follows:

“2. Non-bank organizations can apply for licensing of their provision of one or some intermediary payment services as prescribed in Article 2 of this Circular upon their fulfillment of requirements in Clause 2, Article 15 of the Decree No. 101/2012/ND-CP and any Government’s regulations that amend or replace such requirements."

2.To amend Clause 2 of Article 5 as follows:

"2. The application for licensing of the provision of intermediary payment services is defined in Clause 2, Article 16 of the Decree No. 101/2012/ND-CP and any Government s regulations that prescribe amendments or replacements."

3.To annul Clause 6 of Article 3.

Article 3. Implementation effect

This Circular takes effect on July 01, 2016.

Article 4. Implementation

Chief of Office and Head of the Department of Payment, Heads of relevant agencies of Vietnam State Bank, Directors of provincial branches of the State Bank, Heads of Departments of Bank Inspection and Supervision in Hanoi and Ho Chi Minh City, and General Director (Director) of payment service providers shall be responsible for implementing this Circular./.

For the Governor

The Deputy Governor

Nguyen Kim Anh

Form No. 1

To: Branch of the State Bank in ..... (2) .....

In accordance with our business activities, … (1) … announces the installation/ relocation/ re-scheduling/ shutdown of the ATM in the province/ city of… (2) … [place], as follows:

1.For the installation/ shutdown of the ATM:

-Name or code of the ATM:

-Serial number of the ATM:

-Type of ATM: .(3)...

- Address:

-Under the management of:...(4)...

-Time of installation/ shutdown of the ATM:

-Time of operation: …(5)…

2.For the relocation of the ATM:

-Name or code of the (old and new) ATM:

-Serial number of the ATM:

-Type of ATM:

-Address (old and new):

-Under the management of: …(4)… (old and new)

-Starting time of use of the new site:

-Time of operation: …(5)…

3.For the installation/ relocation of the ATM:

…(1) … has fulfilled regulations of the Circular on installation, management, operation and security of automated teller machines:

+ Equipment of the ATM:(specify details; for instance, surveillance camera; anti-skimming and anti-theft devices, etc.)

+ Electrical safety, backup power supply, essential lighting:(specify)

+ Fulfillment of other regulations on installation, management, operation and security of ATMs:(specify)

4.…(1)… undertakes to:

-Be held liable for the accuracy of this announcement.

-Abide by the Circular on installation, management, operation and security of automated teller machines and relevant legal regulations in strict manner. Organize and manage ATMs safely and smoothly and be held liable for all risks of the ATMs.

-Instruction for filling:

(1): Name of the relevant provider of payment services, which installs, relocates or shuts down the ATM.

(2): Name of the province/ centrally affiliated city.

(3): Type of the ATM, e.g. Diebold, Wincor, etc.

(4): Name of the relevant provider of payment services, which manages the ATM directly.

(5): Applicable to ATMs that are accessible in certain hours, such as ATMs installed in a supermarket, building or mall, etc.

Form No. 2

To: Branch of the State Bank in ..... (2) .....

In accordance with our business activities, … (1) … announces the deployment/ relocation/ re-scheduling/ shutdown of the mobile ATM in … (2) … [province/ city], as follows:

1.For the deployment/ shutdown of the mobile ATM:

-Quantity of mobile ATMs deployed/ shut down (number of trailers and of ATMs):

-Name or code of the mobile ATM:

-Serial number of the mobile ATM:

-Type of the mobile ATM:.(3)...

-Mobile ATM trailer s plate n^o:

-Under the management of:...(4)...

-Services provided:

-Time of deployment/ shutdown of the mobile ATM:

-Reason for deployment of the mobile ATM (specify):....(5)....

-Location of operation/ shutdown:...(6)...

-Time of operation:...(7)...

2.For the relocation/ re-scheduling of the mobile ATM:

-Name or code of the mobile ATM:

-Serial number of the mobile ATM:

-Type of the mobile ATM:

-Mobile ATM trailer s plate n^o:

-Under the management of:...(4)...

-Time of re-scheduling/ relocation of the mobile ATM:

-Location of operation (former and new):...(6)...

-Time of operation (former and new):...(7)...

...…(1)… undertakes to:

-Be held liable for the accuracy of this document.

-Deploy the mobile ATM at the location and time as stated above.

-Abide by the Circular on installation, management, operation and security of automated teller machines and relevant legal regulations in strict manner. Organize and manage mobile ATMs safely and smoothly and be held liable for all risks of the mobile ATMs./.

-Instruction for filling:

(1): Name of the relevant provider of payment services, which deploys, relocates, reschedules or shuts down the mobile ATM.

(2): Name of the province/ centrally affiliated city.

(3): Type of the ATM, e.g. Diebold, Wincor, etc.

(4): Name of the relevant provider of payment services, which uses the mobile ATM directly.

(5): Specify reason(s) for deployment of the mobile ATM.

(6), (7): If the mobile ATM operates at various sites, summarize the locations and operational time of the mobile ATM (i.e. hour and date) at each site where the relevant provider of payment services deploys the mobile ATM (presentable in table format).

Form No. 3

ATM EXAMINATION RECORD

Name of the provider of payment services:

Full name of the representative of the provider of payment services ......................................  Position ..................................

Name or code of the ATM: ………………..

Manufacturer: ………..

Location of the ATM: ………

Full name of the examiner: …………………. Position: ..................................

Content of the examination: assess the ATM’s fulfillment of requirements.

Result of the examination:

Conclusion:

.........................................................................................................................................

.........................................................................................................................................

.........................................................................................................................................

.........................................................................................................................................

Form No. 4

REPORT ON THE DEPLOYMENT OF MOBILE ATM

QUARTER OF … YEAR OF …

To: Department of Payment - Vietnam State Bank

I. General data

II. Data on transactions via mobile ATMs

Unit: Item/ million Vietnam dongs

(*):Summarize transactions that have been stated in the scheme for installation, operation, maintenance and supervision of the mobile ATM (summarize financial transactions and exclude transactions that do not change money such as inquiries, bank statement, etc.).

III. Deployment of mobile ATM

IV. Recommendation (if any).

Form No. 5

REPORT ON ATM OPERATIONS WITHIN AUTHORITY

QUARTER OF … YEAR OF …

To: Department of Payment

1.Operations of ATM

ATM operations; management, examination, supervision of local ATMs; handling of violations:

a. Ensuring of the quality of ATM service

b. Securing of ATMs (specify any relevant matters).

2.Public opinion: complaints via mass media in relation to local ATM service and remedial measures.

3.Difficulties and recommendations.