Circular 15/2023/TT-NHNN credit information operation of the State Bank

CIRCULAR

Providing on credit information operation of the State Bank of Vietnam

Pursuant to the Law on the State Bank of Vietnam dated June 16, 2010;

Pursuant to the Law on Credit Institutions dated June 16, 2010, and the Law Amending and Supplementing a Number of Articles of the Law on Credit Institutions dated November 20, 2017;

Pursuant to the Government’s Decree No. 102/2022/ND-CP dated December 12, 2022, defining the functions, tasks, powers and organizational structure of the State Bank of Vietnam;

At the request of the Chief Inspector of the Banking Supervision Agency;

The Governor of the State Bank of Vietnam promulgates the Circular providing on credit information operation of the State Bank of Vietnam (hereinafter referred to as the State Bank).

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Circular provides on credit information operation of the State Bank of Vietnam (hereinafter referred to as the State Bank) with the Credit information Centre (hereinafter referred to as CIC) as focal agency for organization and implementation.

Article 2. Subjects of application

1. Departments and units of the State Bank, the State Bank branches in provinces and centrally-run cities, Vietnam Asset Management Company (hereinafter referred to as units of the State Bank).

2. Credit institutions, foreign bank branches (hereinafter collectively referred to as credit institutions).

3. Organizations voluntarily joining credit information activities (hereinafter referred to as voluntary organizations).

4. Borrowers.

5. Other organizations and individuals related to credit information activities.

 Article 3. Interpretation of terms

In this Circular, the terms bellow are construed as follows:

1. Credit information operation of the State Bank (hereinafter referred to as credit information operation) means gathering, exchange, processing, storage, security of credit information, creation of credit information products and provision of credit information services of the State Bank.

2. Credit information means collection of data related to the credit extension of borrowers at credit institutions, and the debt of borrowers managed by organizations voluntarily joining credit information activities.

3. Borrowers mean organizations (excluding credit institutions), individuals that are extended credit by credit institutions or have debt repayment obligations at organizations voluntarily joining credit information activities.

4. Affiliated person of the borrower means an organization or individual having direct or indirect relations with the credit institution's borrower in accordance with the Law on Credit Institutions and the regulations of the State Bank on limits and safety ratios in the operations of credit institutions.

5. Credit information products mean credit reports, scoring reports, credit ratings or other products made by CIC on the basis of information gathered according to Article 8 of this Circular.

6. Credit information service means provision of credit information products and other utilities of CIC.

7. National credit information database means a collection of credit information and credit information products collected, processed, stored and used on CIC's information system.

8. Voluntary organization means an organization having information exchange contract with CIC on the principle of voluntarily committing to providing credit information and using credit information services, including:

a) Development investment fund, development support fund, environmental protection fund, credit guarantee fund, organization implementing microfinance programs and projects;

b) Enterprises with function of debt trading, companies of debt management and asset exploitation;

c) Organizations providing loan services, guarantee insurance, asset leasing, deferred payment purchases, installment payments, pawn with conditions on interest rates, term, rent, and measures to secure obligations in accordance with the law.

9. Negative information on borrowers means credit information about non-performing loans, offences of payment obligations and other unfavorable information which impact to result of assessment on borrowers’ solvency (including information on bankruptcy, administrative violations and court judgments and decisions which have taken effect for borrowers).

10. Foreign credit information organization means an organization established and operating under foreign laws on credit information.

Article 4. Purpose of credit information operation

Credit information operation aims to create a database of national credit information in order to support:

1. The State Bank in implementation of state management functions in the monetary and banking sectors.

2. Credit institutions and voluntary organizations in business activities.

3. Borrowers in accessing credit capital source to meet their life, economic and social needs in accordance with the law.

4. Other organizations in accessing credit information in accordance with the law.

Article 5. Principles of credit information operation

1. Comply with the law on personal data protection and other relevant laws.

2. Ensure objectivity and not affect the lawful rights and interests of relevant organizations and individuals.

3. Ensure accuracy, honesty, completeness, and timeliness of credit information provided to CIC specified in Article 8, Article 9, Article 10 of this Circular.

Article 6. Safety and security of credit information

CIC, credit institutions, voluntary organizations, and other organizations that are provided with credit information must:

1. Take measures to protect credit information against loss, unauthorized access, use or disclosure.

2. Have data recovery solution in case the data is corrupted, lost, or damaged, and have operation recovery plan after the data is corrupted, lost, or damaged.

3. Ensure safety and security of credit information in accordance with this Circular and other provisions of law on information safety and security.

Article 7. Prohibited acts in credit information operation

1. Illegally collect, supply, exchange, and use information in the State's secret scope or list.

2. Intentionally falsify the content of credit information, impacting the lawful rights and interests of relevant organizations and individuals.

3. Exchange or supply credit information to the wrong person or to a third party in contrast to the law.

4. Misuse credit information operation to violate the interests of the State, the lawful rights and interests of organizations and individuals.

5. Obstruct organizations and individuals’ lawful activity of credit information collection and use.

Chapter II

CREDIT INFORMATION OPERATION

Article 8. Gathering of information

CIC shall gather:

1. Credit information provided by credit institutions and voluntary organizations in accordance with this Circular.

2. Information from units of the State Bank according to the regulations of the State Bank and other relevant provisions of law.

3. Information from state management agencies and other legal information sources in accordance with law.

Article 9. Credit information provided to CIC

1. Credit institutions supply for CIC all the credit information norm system according to the Decision of the Governor of the State Bank in each period, including the following norm groups:

a) Identification information on the borrower;

b) Information on affiliated person of the borrower (with credit extension at the credit institution extending credit to the borrower);

c) Information on lending and other credit extension activities (excluding norm groups at Points d and dd);

d) Information on credit card;

dd) Information on corporate bond purchase entrustment and purchase (excluding credit institutions);

e) Information on credit extension security measures;

g) Information on handling of on-balance non-performing loan;

h) Off-balance sheet information;

i) Annual financial statements (according to the financial statements submitted to the tax authority or audited financial statements) of corporate borrowers.

2. Voluntary organizations supply for CIC all or part of the credit information norm system specified in Clause 1 of this Article on the basis of information exchange contract with CIC.

3. The supply of credit information specified in Clauses 1 and 2 of this Article is carried out under electronic data file form according to the credit information norm system. In case, some groups or all groups of credit information norm cannot be provided under electronic data file form, credit institutions and voluntary organizations can provide in writing on the basis of agreement with CIC

Article 10. Time limit for providing credit information

The time limit for providing norm groups in Clause 1, Article 9 of this Circular is as follows:

1. Credit institutions provide norm groups at the frequency specified in the credit information norm system issued together with the Decision of the Governor of the State Bank, except for the provisions in Clauses 2 and 3 of this Article.

2. The Bank for Social Policies provides norm groups twice a month.

3. People's credit funds and microfinance institutions provide norm groups once a month.

Article 11. Processing and storage of credit information

1. CIC uses technological and technical solutions for receiving, standardizing, cleaning, pairing and updating to process credit information of the database of national credit information.

2. Credit information is kept at CIC within 5 years from the date of arising information.

3. The processing and storage of credit information must ensure intactness, sufficiency, without erroneousness of information and can be exploited and extracted according to CIC's demand.

Article 12. Subjects and scope of provision of credit information

1. Units of the State Bank are provided with credit information products to serve the state management requirements of the State Bank.

2. Other state management agencies are provided with credit information in accordance with law.

3. Credit institutions and voluntary organizations are provided with credit information services on the basis of contracts signed with CIC.

4. Borrowers are provided with their own credit information according to CIC's instructions.

5. Foreign credit information organizations are provided, used and exchanged credit information products on borrowers on the basis of the memorandum of understanding, cooperation agreement, and contract signed with CIC in accordance with relevant provisions of Vietnamese law and the law of the country in which the foreign credit information organization is established and operates.

6. In addition to the subjects specified in the above clauses, when organizations exploit credit information services on borrowers, they must have the consent of such borrowers in accordance with relevant laws and ensure compliance with contracts agreed with CIC. The borrower's consent must be expressed in a format that can be printed, reproduced in writing, including in electronic or verifiable format.

Article 13. Limitation of provision of credit information

1. Negative information on borrowers is only provided within 05 years from the date of termination of such negative information, except for cases required by state management agencies in accordance with law.

2. Voluntary organizations are only provided with credit information services corresponding to the scope of providing information to CIC under the information exchange contract.

3. Organizations and individuals that violate Article 5, Article 6, Article 7 of this Circular and other provisions of law shall be suspended their right to exploit credit information services according to the contract agreed with CIC.

Chapter III

RIGHTS AND OBLIGATIONS OF ORGANIZATIONS AND INDIVIDUALS IN CREDIT INFORMATION OPERATION

Article 14. Rights and obligations of CIC

1. Act as the focal point in developing and submitting to the Governor of the State Bank to issue a Decision on the credit information norm system.

2. Urge, inspect and supervise the provision of credit information by credit institutions and the implementation of credit information operation by voluntary organizations according to the contract signed with CIC.

3. Publicize the principles and scope of using credit information services, the process of use of credit information services, and prices of credit information services.

4. Create credit information products to provide at the request of units of the State Bank in accordance with Clause 1, Article 12 of this Circular.

5. Support training officers in credit information operations at requests of credit institutions and voluntary organizations.

6. Organize the provision of credit information services according to the public non-business unit model and implement the financial autonomy mechanism according to Government regulations.

7. Issue norms and organize implementation of assessment of credit information supply quality; apply measures to encourage organizations, individuals in good implementation of credit information operation; propose functional units to handle violations in credit information operation.

8. Exercise other rights and obligations in accordance with this Circular and relevant laws.

Article 15. Rights and obligations of units of the State Bank

1. The units of the State Bank shall be entitled to request CIC to support the provision of information and credit information products to carry out the state management functions and tasks of units of the State Bank.

2. The Banking Supervisory Agency shall assume the prime responsibility for and coordinate with CIC and relevant units to inspect credit information operation at credit institutions.

3. The State Bank branches in provinces and centrally-run cities shall assume the prime responsibility for and coordinate with CIC and relevant units in carrying out inspection of credit information operation at credit institutions based in their localities.

4. Vietnam Asset Management Company shall provide information on purchased debts to CIC once a month according to the norm specified in the credit information norm system according to the Decision of the Governor of the State Bank.

Article 16. Rights and obligations of credit institutions

1. Establish information infrastructure to meet the requirements of data creation and control of data provided to CIC; promulgate internal regulations and manage the credit information norm system throughout the system.

2. Pay fully and timely charges of credit information service use according to the contract signed with CIC.

3. Appoint officers and employees to participate in credit information training courses organized or coordinated by CIC.

4. Implement other rights and obligations as agreed with CIC and relevant provisions of law.

Article 17. Rights and obligations of voluntary organizations

1. Ensure the borrower's consent to provide credit information to CIC.

2. Pay fully and timely charges for exploitation and use of credit information services as agreed in the contract signed with CIC.

3. Appoint officers and employees to participate in credit information training courses organized or coordinated by CIC.

4. Implement other rights and obligations as agreed with CIC and relevant provisions of law.

Article 18. Rights and obligations of borrowers

1. Be entitled to exploit their credit information specified at Points a, c, d, dd, e, h, Clause 1, Article 9 and Clause 4, Article 12 of this Circular free of charge once a year.

2. Use their own credit information products according to CIC's instructions.

3. Pay fully and timely charges for exploitation and use of credit information services according to CIC's regulations.

4. Implement other rights and obligations according to CIC's regulations and relevant provisions of law.

Chapter IV

ADJUSTMENT OF MISTAKES IN DATA AND HANDLING OF VIOLATIONS

Article 19. Adjustment of mistakes in data

1. In case CIC detects or doubts that data has mistakes, CIC shall coordinate with credit institutions, voluntary organizations in data consideration and adjustment according to the following order:

a) If data is not conformed to the standard such as wrong file form, lack of compulsory information norm, coincident information or other technical defects, CIC shall return all data or part of mistaken data. Within 03 working days, credit institutions and voluntary organizations must edit and resend the report data;

b) If data is doubted to be error, the CIC shall return all data or part of data which is doubted. Within 03 working days, credit institutions and voluntary organizations must check data and notify result to the CIC, if there are mistakes, they must adjust data as prescribed in Clause 3 of this Article.

2. In case the credit institution or voluntary organization detects that data at CIC has mistaken, the credit institution or voluntary organization shall notify it via the electronic system or send in writing a request to CIC for adjustment. If CIC verifies mistakes due to CIC, within 03 working days from the date of verification of mistakes, CIC shall make data adjustments as required.

3. In case of detecting data mistakes, the credit institution or voluntary organization must resend the credit information data with confirmation (in writing or by electronic confirmation of digital signature) of the General Director (Director) or authorized person, clearly stating the reason for the mistakes and request CIC to correct such data mistakes.

4. In case the borrower detects that there are mistakes in credit information on the borrower, the borrower shall request CIC, credit institutions, or voluntary organizations (hereinafter referred to as the receiving organization) to adjust the information. The request for adjustment is made via the electronic system or sent in writing, clearly stating the reason for the request and providing documents and grounds to prove the data mistakes.

a) Within 05 working days from the date of receiving the request, the receiving organization notifies the borrower of the validity of such request. In case additional information is needed for resolution, the receiving organization shall notify the borrower to provide additional information and relevant documents;

b) Within 10 working days from the date of receipt of a valid request, the receiving organization shall resolve it according to regulations. In case it is necessary to check and verify the request content at relevant agencies and organizations, the receiving organization may extend the time to resolve the request according to the actual situation but the borrower must be informed of the reason for the extension of time;

c) Within 02 working days from the date of completion of data adjustment, the receiving organization notifies the borrower of the results of such adjustment.

Article 20. Handling of violations

Organizations, individuals violating provisions in this Circular, depend on nature and seriousness of violation, shall be considered for restriction of credit information use in accordance with Article 13 of this Circular and be handled for violation in accordance with the law.

Chapter V

IMPLEMENTATION PROVISIONS

Article 21. Transitional provisions

1. CIC shall proactively convert credit information within 5 years from the effective date of this Circular according to the credit information norm system in the Decision of the Governor of the State Bank. Credit institutions and voluntary organizations shall be responsible for coordinating with and providing conversion information to CIC if necessary.

2. Within 60 days from the effective date of this Circular, CIC shall agree with the voluntary organization to re-sign or amend or supplement the contract signed with CIC to ensure compliance with the regulations on time limit, scope of providing credit information, commitment to comply with the regulations on safety and information security of this Circular and responsibility for coordinating in provision of converted information to CIC in accordance with Clause 1 of this Article.

Article 22. Effect

1. This Circular takes effect from January 1, 2025.

2. The following documents cease to be effective from the date this Circular takes effect:

a) Circular No. 03/2013/TT-NHNN dated January 28, 2013 of the Governor of the State Bank, providing on credit information activity of the State Bank of Vietnam;

b) Circular No. 27/2017/TT-NHNN dated December 31, 2017 of the Governor of the State Bank, amending and supplementing a number of articles of Circular No. 03/2013/TT-NHNN dated January 28, 2013, providing on credit information activity of the State Bank of Vietnam.

Article 23. Implementation organization

The Chief of Office, Chief Inspector of the Banking Supervision Agency, General Director of CIC, Heads of units of the State Bank, credit institutions, relevant organizations and individuals shall implement this Circular.