Vietnamese
This is a notable new provision under the 2025 Law Amending the Law on Credit Institutions (No. 96/2025/QH15), which takes effect from October 15, 2025.
Article 1 of the 2025 Law Amending the Law on Credit Institutions amends and supplements Clause 1, Article 93 of the 2024 Law as follows:
“1. The State Bank of Vietnam shall decide on the provision of special loans with or without collateral to credit institutions in the case specified in Clause 1 Article 192 of this Law. Collateral for special loans from the State Bank of Vietnam shall be subject to regulations of the Governor of the State Bank of Vietnam. The interest rate for such special loans shall be 0% per annum.”
Accordingly, from October 15, 2025, the State Bank of Vietnam (SBV) may grant special loans without collateral at an interest rate of 0% per annum, in accordance with the Governor's regulations.
Previously, under Clause 4 Article 193 of the 2024 Law (No. 32/2024/QH15), special loans without collateral were subject to the Prime Minister’s decision, with no specific provision regarding a 0% interest rate.
One of the significant new provisions of Law No. 96/2025/QH15 is the addition of Article 198a, which provides detailed regulations on the right to seize collateral.
Specifically, credit institutions, foreign bank branches, and debt trading and settlement organizations shall have the right to seize collateral if the following conditions are met:
There is an agreement on the right of seizure in the security contract.
The collateral is not subject to dispute, attachment, or emergency measures;
The information has been publicly disclosed in accordance with regulations.
In addition, the amended Law clearly stipulates the procedures for seizure, notice period, forms of public disclosure, involvement of local authorities as witnesses, and provisions on authorization for seizure.
