Decree 52/2024/ND-CP on non-cash payment

DECREE

On cashless payment^[1]

Pursuant to the June 19, 2015 Law on Organization of the Government; and the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

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

Pursuant to the January 18, 2024 Law on Credit Institutions;

Pursuant to the June 17, 2020 Law on Investment;

Pursuant to the June 25, 2015 Law on the State Budget;

Pursuant to the June 12, 2018 Law on Cyber Security;

Pursuant to the November 15, 2022 Anti-Money Laundering Law;

Pursuant to the June 12, 2013 Counter-Terrorism Law;

Pursuant to the June 17, 2010 Law on Post;

At the proposal of the Governor of the State Bank of Vietnam;

The Government promulgates the Decree on cashless payment.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree provides cashless payment activities, including: opening and use of payment accounts; cashless payment services; payment intermediary services; and organization, management and supervision of payment systems.

Article 2. Subjects of application

1. Cashless payment service providers.

2. Payment intermediary service providers.

3. Organizations and individuals involved in the provision of cashless payment services and payment intermediary services.

4. Organizations and individuals using cashless payment services and payment intermediary services (below collectively referred to as customers).

Article 3. Interpretation of terms

In this Decree, the terms below are construed as follows:

1. Cashless payment services (below referred to as payment services) include payment services via customer payment accounts and payment services not via customer payment accounts.

2. Payment services via customer payment accounts means the supply of payment instruments; provision of payment services such as checks, payment orders, collection orders, bank cards, money transfer, authorized collection, and authorized payment, and other payment services for customers via customer payment accounts.

3. Payment services not via customer payment accounts means the provision of payment services and performance of payment transactions not via customer payment accounts.

4. Cashless payment service providers (below referred to as payment service providers) means organizations licensed to provide one or more than one payment service in accordance with this Decree, including the State Bank of Vietnam (below referred to as the State Bank), banks, foreign bank branches, people’s credit funds, microfinance institutions and public postal service enterprises.

5. Payment intermediary service provider means an organization other than a bank or foreign bank branch that is granted by the State Bank a license for provision of payment intermediary services.

6. Public postal service enterprise means an enterprise designated to provide public postal services in accordance with the Law on Post.

7. Cashless payment transaction (below referred to as payment transaction) means the use of payment services by organizations and individuals to make payment or money transfer.

8. International payment means a payment transaction conducted for a related party being an organization or individual that has payment accounts or payment instruments issued outside the territory of Vietnam.

9. Payment account holder means an individual or organization that uses his/her/its name for account opening.

10. Cashless payment instruments (below referred to as payment instruments) means instruments issued by payment service providers, financial companies licensed to issue credit cards or payment intermediary service providers providing e-wallet services and used by customers to conduct payment transactions, including: checks, payment orders, collection orders, bank cards (including debit cards, credit cards and prepaid cards), and e-wallets, and other payment instruments as specified by the State Bank.

11. Illegal payment instruments means payment instruments other than those specified in Clause 10 of this Article.

12. Electronic money means Vietnam-dong value stored on electronic devices that is equivalent to the amount prepaid by customers to banks, foreign bank branches or payment intermediary service providers that provide e-wallet services.

13. Financial switching services means services of supplying technical infrastructure for connection, transmission and processing of electronic data for domestic payment transactions between payment service providers, financial companies licensed to issue credit cards and payment intermediary service providers.

14. International financial switching service means the connection to the international payment system for transmission and processing of electronic data for international payment transactions.

15. Automated clearing house service means a service of supplying technical and professional infrastructure for the receipt and collation of payment data and computing of receivables and payables after clearing among participating members in order to make final settlement for related parties.

16. E-wallet services means services provided by banks, foreign bank branches or payment intermediary service providers to customers for the latter to top up and withdraw money into/from their e-wallets and make payment transactions.

17. Authorized collection/authorized payment support service means the receipt and processing of electronic data, computing of results of authorized collection/payment, and cancellation of authorized collection/payment for customers having payment accounts or bank cards, and making of payments to related parties.

18. Payment gateway services means services of supplying technical infrastructure for connection, transmission and processing of electronic data for payment transactions made by payment instruments between customers or payment-accepting units and banks, foreign bank branches, financial companies licensed to issue credit cards or payment intermediary service providers.

19. Payment system means a system consisting of regulations, instruments, processes, procedures and technical infrastructure for processing, switching, clearing and final settlement of payment transactions.

20. International payment system means a payment system established in a foreign country and allowing performance of international payment transactions.

21. Important payment system means a payment system that plays the leading role in serving payment needs of subjects in the economy, is likely to generate systematic risks, and serves as:

a/ The sole payment system or a payment system accounting for a large proportion of the total payment value of payment systems of the same type; or,

b/ A system for processing high-value payment transactions; or,

c/ A system for making final settlement for other payment systems or for transactions in the financial market.

22. Systematic risk means a risk that makes a member of a payment system unable to perform its/his/her due financial obligations in such payment system, leading to other members’ failure to perform their due financial obligations, with risks stretching to other payment systems.

23. Joint account means a payment account jointly held by two or more subjects.

Article 4. Responsibilities of the State Bank for state management of cashless payment activities

1. To promulgate according to its competence or submit to competent agencies for promulgation legal documents on cashless payment activities; to provide the management, connection and sharing of data in service of cashless payment activities.

2. To organize, manage, operate and supervise the national payment system; to participate in organizing and supervising the operation of other important payment systems in the economy; to supervise the provision of payment services and payment intermediary services.

3. To approve in writing the participation of commercial banks and foreign bank branches in the international payment system.

4. To grant, modify, supplement and revoke licenses for provision of payment intermediary services of payment intermediary service providers.

5. To approve, and revoke documents on, the provision of payment services not via customer payment accounts by public postal service enterprises.

6. To carry out examination and inspection and handle according to its competence violations of regulations on cashless payment activities.

7. To manage international cooperation activities in the field of payment; to assume the prime responsibility for, and coordinate with competent agencies in, managing international payment activities.

Article 5. Payment in foreign currency and international payment

1. Payment in foreign currency and international payment must comply with this Decree, the regulations on foreign exchange management, user data protection, cyber security, tax administration, and prevention and combat of money laundering, terrorism financing and financing of the proliferation of weapons of mass destruction, and treaties and international agreements on payment to which Vietnam is a contracting party. The application of commercial practices must comply with Article 3 of the Law on Credit Institutions.

2. Commercial banks and foreign bank branches may participate in the international payment system when satisfying the conditions specified in Article 21 of this Decree.

3. Foreign organizations providing payment services or payment intermediary services to customers that are non-residents and foreigners residing in Vietnam for the latter to conduct payment transactions for goods and services in Vietnam shall provide such services via commercial banks or foreign bank branches that have been approved by the State Bank for participating in the international payment system of such foreign organizations.

4. Financial switching service providers may be connected to the international payment system to provide international financial switching services when satisfying the conditions specified in Article 22 of this Decree.

5. Payment intermediary service providers (except financial switching service providers) may provide payment intermediary services to customers for the latter to conduct payment transactions for foreign goods and services; the payment and final settlement for such international payment transactions shall be made via commercial banks or foreign bank branches that have been approved by the State Bank for carrying out foreign exchange activities in the international market.

6. Parties involved in international payment activities shall provide adequate, accurate and timely information and must meet the requirements set by state management agencies in accordance with Vietnam’s law.

Article 6. E-wallets, prepaid cards

1. E-wallets and prepaid cards are electronic money storage devices.

2. Banks and foreign bank branches may issue and supply e-wallets and prepaid cards. The supply, issuance and use of e-wallets and prepaid cards must comply with the State Bank’s regulations.

3. Payment intermediary service providers that provide e-wallet services shall ensure that the total balance on all payment security accounts for e-wallet services opened at banks and foreign bank branches is not lower than the total balance of all e-wallets issued to customers. It is only allowed to use services for e-wallets linked to the customer payment accounts or debit cards.

Article 7. Organization, management and operation of the national payment system

1. The State Bank shall organize, manage and operate the national payment system to provide payment services to the system’s members being the State Bank, credit institutions, foreign bank branches and the State Treasury; and make final settlement of clearing results for other payment systems.

2. The State Bank shall provide the management, operation and safety assurance of the operation of the national payment system.

Article 8. Prohibited acts

1. Making alterations or erasure on payment instruments or payment documents in contravention of law; forging payment instruments or payment documents; storing, circulating, transferring or using counterfeit payment instruments.

2. Illegally penetrating or attempting to penetrate into, stealing data in, sabotaging, or illegally altering, software programs or electronic data used in payment activities; taking advantage of computer network system errors for personal gain.

3. Providing untruthful information related to the provision or use of payment services or payment intermediary services.

4. Disclosing or providing information on payment account balance, bank card balance, e-wallet balance and payment transactions of customers at payment service providers or payment intermediary service providers in contravention of relevant laws.

5. Opening or maintaining anonymous or impersonated payment accounts or e-wallets; buying, selling, renting, leasing, borrowing or lending payment accounts or e-wallets; renting, leasing, buying, selling or opening bank cards (except unnamed prepaid cards) on behalf of others; stealing, colluding with others to steal, buying or selling payment account information, bank card information or e-wallet information.

6. Issuing, supplying and using illegal payment instruments.

7. Providing payment intermediary services while not having been granted by the State Bank a license for provision of payment intermediary services; providing payment services though not being a payment service provider.

8. Committing, or organizing or facilitating the commission of, the following acts: using or abusing payment accounts, payment instruments, payment services or payment intermediary services for gambling, organizing gambling, committing frauds, swindling, or illegally doing business, and committing other law-breaking acts.

9. Making erasure or alterations on, buying, selling, transferring, leasing, lending or forging, licenses for provision of payment intermediary services.

10. Entrusting or designating other organizations and individuals to act as agents for carrying out licensed activities stated in licenses for provision of payment intermediary services.

11. Committing frauds or forging papers proving eligibility for being granted a license for provision of payment intermediary services in the dossier of application for a license.

12. Operating in contravention of licenses for provision of payment intermediary services.

13. Holding payment accounts at payment service providers while providing information or committing to having no such payment accounts to/with parties with related rights and obligations in accordance with regulations on disbursement of loans of credit institutions and foreign bank branches.

Chapter II

OPENING AND USE OF PAYMENT ACCOUNTS

Section 1

GENERAL PROVISIONS

Article 9. Opening and use of payment accounts

The opening and use of payment accounts by customers at payment service providers must comply with the State Bank’s regulations and relevant regulations.

Article 10. Use and authorization for use of payment accounts

1. Payment account holders may use their payment accounts to deposit and withdraw cash and request payment service providers to conduct valid payment transactions. Payment account holders may request payment service providers at which they open their accounts to provide information on transactions and balance on their accounts as agreed with the latter.

2. Payment account holders may authorize others to use their payment accounts. The authorization shall be made in writing in accordance with regulations on authorization.

3. Payment account holders are obliged to provide adequate and truthful information and comply with regulations of payment service providers on opening, use and authorization for use of payment accounts, and ensure that the credit balance on their payment accounts is sufficient to execute established payment orders, unless they have reached agreement with payment service providers on offering of overdraft facilities.

4. Payment service providers are obliged to fully and promptly implement valid payment orders of payment account holders.

5. Payment service providers have the right to refuse to execute payment orders of payment account holders when such payment orders are invalid or when there are legal grounds to believe that the account holders commit prohibited acts specified in Article 8 of this Decree or when the balance of payment accounts is insufficient, unless otherwise agreed. In case of refusal to execute payment orders of payment account holders, payment service providers shall notify the reason for the refusal to the payment account holders.

Article 11. Freezing of payment accounts

1. A payment account will have its balance partially or wholly frozen in the following cases:

a/ The freezing is agreed upon in advance between the account holder and the payment service provider or is requested by the account holder;

b/ The freezing is decided or requested in writing by a competent agency in accordance with law;

c/ The payment service provider detects a mistake/error in making entries in the “credit” column of the customer’s payment account, or requests refund of the money amount it has mistakenly transferred as compared to the remitter’s payment order after making entries in the “credit” column of the customer’s payment account. The money amount frozen on the payment account must not exceed the mistakenly transferred amount;

d/ The freezing is requested by one of the joint account holders, unless it is agreed upon in advanced in writing between the payment service provider and the joint account holders.

2. The termination of the freezing of a payment account shall apply when:

a/ It is agreed upon in writing between the payment account holder and the payment service provider;

b/ A competent agency issues a decision on termination of the freezing in accordance with law;

c/ The error/mistake in money transfer specified at Point c, Clause 1 of this Article has been completely handled;

d/ All joint account holders request termination of the freezing or it is agreed upon in advance in writing between the payment service provider and the joint account holders.

3. Payment service providers, payment account holders and competent agencies that illegally freeze, or request the illegal freezing of, payment accounts, thus causing damage to payment account holders, shall pay compensation in accordance with law.

Article 12. Closure of payment accounts

1. A payment account shall be closed when:

a/ The payment account holder requests the account closure and has fulfilled all obligations related to the account;

b/ The payment account holder dies or is declared dead, for payment account holders being individuals;

c/ The payment account holder terminates operation in accordance with law, for payment account holders being organizations;

d/ The payment account holder commits one of the prohibited acts concerning payment accounts specified in Clauses 5 and 8, Article 8 of this Decree;

dd/ The closure is agreed upon in advance in writing between the payment account holder and the payment service provider;

e/ Other cases specified by law.

2. Handling of balance upon closure of a payment account:

a/ To make payment at the request of the payment account holder or as agreed upon in advance between the payment account holder and the payment service provider. In case the account holder has lost his/her civil act capacity, has difficulties in cognition and behavior control, or has his/her civil act capacity restricted, the payment shall be made at the request of his/her legal representative or guardian in accordance with the civil law; or payment shall be made to his/her heir or the heir’s lawful representative in case the payment account holder dies or is declared dead, for payment account holders being individuals;

b/ To make payment under a competent agency’s decision in accordance with law;

c/ To handle the balance in accordance with law in case the lawful beneficiary of the balance on the payment account fails to come to receive it though being notified thereof.

Section 2

OPENING AND USE OF PAYMENT ACCOUNTS BY THE STATE BANK

Article 13. Opening and use of payment accounts by the State Bank

1. The State Bank shall open payment accounts for State Treasury offices, credit institutions and foreign bank branches in accordance with the Law on the State Bank and Law on Credit Institutions.

2. The State Bank shall open accounts for central banks of other countries, foreign banks, international monetary institutions and international banks under treaties and international agreements to which Vietnam is a contracting party. In case Vietnam is not a contracting party to treaties and international agreements, the opening of payment accounts must comply with the Prime Minister’s decisions.

3. The State Bank shall open payment accounts and conduct transactions on such payment accounts at foreign banks, international monetary institutions and international banks. The State Bank shall open payment accounts at central banks of other countries, and open payment accounts and conduct payment transactions abroad in accordance with treaties and international agreements to which Vietnam is a contracting party.

Article 14. Dossiers and procedures for opening and closure of payment accounts at the State Bank by credit institutions, foreign bank branches and State Treasury offices

1. Principles for making and sending dossiers:

a/ A dossier for opening of a payment account shall be made in Vietnamese. If the papers included in the dossier are in a foreign language, they shall be translated into Vietnamese and notarized and certified in accordance with law;

b/ Copies of papers and documents included in a dossier for opening or closure of a payment account must be certified copies or copies issued from the master register or copies accompanied by the originals for collation in accordance with law; dossiers submitted online must comply with the regulations on performance of administrative procedures in the electronic environment;

c/ A dossier shall be sent by post (postal service) or hand-delivered to the State Bank’s Single-Window Division where the applicant requests opening of a payment account or submitted online at the State Bank’s Public Service Portal or the National Public Service Portal;

d/ Applicants for opening or closure of payment accounts shall take full responsibility before law for the accuracy and truthfulness of information they have provided.

2. An institutional applicant’s dossier for opening of a payment account at the State Bank must comprise:

a/ An application for opening of a payment account, made according to Form No. 01 provided in the Appendix to this Decree, enclosed with a registration of seal and signature specimens; the application must bear the signature and seal of the applicant’s legal representative or authorized representative;

b/ Documents proving that the applicant is lawfully established and operates, including: establishment decision, operation license, enterprise registration certificate, cooperative registration certificate or paper of equivalent validity;

c/ Documents proving the representation status of the applicant’s legal representative or authorized representative and the representative’s identity card, citizen identity card, e-identity card, people’s identity card or passport that remains valid;

d/ Document or decision on appointment and valid identity card, citizen identity card, e-identity card, people’s identity card or passport of the applicant’s chief accountant or person in charge of accounting or person in charge of controlling documents on transaction with the State Bank.

3. Order and procedures for opening of a payment account:

a/ When wishing to open a payment account at the State Bank, an institutional applicant shall send 1 dossier for opening of a payment account specified in Clause 2 of this Article to the State Bank (the State Bank’s Operations Center or provincial-level branch);

b/ Upon receiving the dossier, the State Bank shall examine the dossier components and collate them with information declared in the application to check whether they match or not.

In case the dossier is incomplete or invalid or there is a discrepancy between information declared in the application and relevant documents in the dossier, within 1 working day after receiving the dossier, the State Bank shall notify such to the applicant for dossier completion.

Within 5 working days after receiving the State Bank’s request for dossier supplementation and completion, if the applicant fails to send a complete dossier, the State Bank shall issue a written refusal to permit the opening of a payment account and return the dossier to the applicant;

c/ Within 2 working days after receiving the applicant’s complete and valid dossier for opening of a payment account, the State Bank shall permit the opening of the payment account for the applicant. If refusing to permit the opening of a payment account, the State Bank shall issue a notice, clearly stating the reason for the refusal to the applicant.

4. Order and procedures for closure of a payment account:

a/ A credit institution, foreign bank branch or State Treasury office wishing to close its payment account at the State Bank shall make an application for closure of its payment account, made according to Form No. 02 provided in the Appendix to this Decree, and request handling of the account balance (if any); the application must bear the signature and seal of the applicant’s lawful representative and shall be sent to the State Bank’s Operations Center or provincial-level branch in the locality where the payment account is opened;

b/ Upon receiving the application for closure of a payment account, the State Bank shall check and collate information on the application with the account information and handle the account balance at the request of the account holder (if any). After completing the handling of the balance on the payment account, the State Bank shall close the payment account;

c/ Within 2 working days after receiving the payment account holder’s application for closure of the payment account, the State Bank shall close the payment account;

d/ In case of closure of a payment account under Points c, d or dd, Clause 1, Article 12 of this Decree, the account balance (if any) after completion of the obligations toward related parties shall be handled as requested in writing by the account holder before issuance of the decision to revoke the establishment and operation license, or under the competent state agency’s decision or relevant regulations. Within 5 working days after closing the payment account, the State Bank shall notify the closure in writing to the account holder.

Section 3

OPENING AND USE OF PAYMENT ACCOUNTS
AT CREDIT INSTITUTIONS AND FOREIGN BANK BRANCHES

Article 15. Opening and use of payment accounts between credit institutions and foreign bank branches

1. The opening of payment accounts between credit institutions and foreign bank branches must comply with the Law on Credit Institutions. Payment accounts opened between credit institutions and foreign bank branches may only be used for payment purposes, but not for lending, offering of overdraft facilities or other purposes.

2. Credit institutions and foreign bank branches licensed to carry out foreign exchange activities may open foreign-currency payment accounts at other licensed credit institutions. The opening and use of foreign-currency payment accounts must comply with the regulations on foreign exchange.

Article 16. Opening of payment accounts for customers other than credit institutions

1. Banks and foreign bank branches shall guide the opening of payment accounts for customers in accordance with the State Bank’s regulations and other relevant regulations.

2. Joint account holders are organizations and individuals. The purposes of use of joint accounts, rights and obligations of joint account holders, and regulations on the use of joint accounts shall be clearly defined in writing and must comply with the regulations on opening and use of payment accounts.

Chapter III

CASHLESS PAYMENT SERVICES

Section 1

PAYMENT SERVICES VIA CUSTOMER PAYMENT ACCOUNTS

Article 17. Payment services via customer payment accounts

1. Payment services via customer payment accounts include:

a/ Supplying payment instruments;

b/ Providing payment services: checks, payment orders, collection orders, bank cards, money transfer, authorized collection and authorized payment;

c/ Providing other payment services under the State Bank’s regulations.

2. Organizations providing payment services via customer payment accounts:

a/ The State Bank shall provide payment services to customers that open payment accounts at the State Bank;

b/ Commercial banks, foreign bank branches and policy banks shall provide all payment services specified in Clause 1 of this Article;

c/ Cooperative banks shall provide a number of payment services specified in Clause 1 of this Article provided that such services are stated in their establishment and operation licenses granted by the State Bank.

3. The provision of payment services via customer payment accounts must comply with the State Bank’s regulations.

Section 2

PAYMENT SERVICES NOT VIA CUSTOMER PAYMENT ACCOUNTS

Article 18. Payment services not via customer payment accounts

1. Payment services not via customer payment accounts include:

a/ Payment services: remittance, collection and payment;

b/ Other non-account payment services, which must comply with regulations of the State Bank.

2. Organizations licensed to provide payment services not via customer payment accounts:

a/ Commercial banks, foreign bank branches and policy banks;

b/ Cooperative banks may provide a number of payment services not via customer payment accounts after having such services stated in their establishment and operation licenses issued by the State Bank;

c/ People’s credit funds may provide remittance services and perform collection and payment operations for their members and customers after having such services and operations stated in their establishment and operation licenses issued by the State Bank;

d/ Microfinance institutions may provide remittance, collection and payment services for their customers after having such services stated in their establishment and operation licenses issued by the State Bank;

dd/ Public postal service enterprises may provide remittance, collection and payment services after meeting the conditions specified in Article 19 of this Decree and obtaining written approval from the State Bank.

3. The provision of payment services not via customer payment accounts must comply with regulations of the State Bank.

Article 19. Conditions for provision of payment services not via customer payment accounts applicable to public postal service enterprises

A public postal service enterprise may provide payment services not via customer payment accounts when fully meeting the following conditions and having to maintain such conditions during the process of service provision:

1. Having an information system to serve the provision of payment services not via customer payment accounts that meets the requirements for assurance of information system security at level 3 as specified by law.

2. Personnel conditions: The enterprise’s legal representative, Chief Executive Officer and person in charge of provision of payment services not via customer payment accounts must have a university or higher degree in economics, business administration, law, or information technology.

Key personnel engaged in the provision of payment services not via customer payment accounts (including division heads or equivalent title holders and technical staff) must have a college or higher degree in economics, business administration, law, information technology or another specialized field relevant to their positions.

3. Having an operational process for each type of service; having measures for assuring solvency and maintaining the enterprise’s payment account balance and a cash amount greater than the amount payable to customers at the time of payment; having internal inspection and control procedures, risk management mechanism, general principles and internal regulations on prevention and control of money laundering, terrorism financing, and financing of the proliferation of weapons of mass destruction; having processes and procedures for settling tracing requests, complaints and disputes; and having regulations on rights and responsibilities of related parties.

4. Having a plan on cash collection and transportation for remittance to its payment account by day’s end, ensuring security and safety in cash circulation; having equipment for cash delivery and preservation; having regulations on money remittance and receipt limits, and levels of fund balance at service delivery points; and ensuring fire prevention and fighting in accordance with law.

Article 20. Dossiers, processes and procedures for issuance of written approvals for provision of payment services not via customer payment accounts by public postal service enterprises and revocation of written approvals

1. A dossier of application for approval for provision of payment services not via customer payment accounts must comprise:

a/ An application for approval for provision of payment services not via customer payment accounts, made according to Form No. 03 provided in the Appendix
to this Decree;

b/ The Resolution of the Members’ Council, document of the owner’s authorized representative in conformity with the authority specified in the Company Charter approving the Descriptions of the conditions for provision of payment services not via customer payment accounts;

c/ Descriptions of the conditions for provision of payment services not via customer payment accounts as specified in Article 19 of this Decree;

d/ Personnel records: Curriculum vitae, certified copies or copies containing information from master registers or copies accompanied by the originals for collation of documents proving capacity and professional qualifications of the legal representative, Chief Executive Officer, person in charge and key staff engaged in the provision of these services;

d/ The establishment license or enterprise registration certificate or equivalent documents issued by a competent state agency, Company Charter (certified copy or copy containing information from the master register or a copy accompanied by the original for collation).

2. Process and procedures for approval:

a/ Public postal service enterprises shall send 3 sets of the dossier of application for approval for provision of payment services not via customer payment accounts as specified in Clause 1 of this Article by post (postal service) or hand-deliver them to the Single-Window Division of the State Bank or submit them online to the State Bank’s Public Service Portal or the National Public Service Portal (dossiers submitted online must comply with regulations on administrative procedures in the electronic environment). Public postal service enterprises shall be held fully responsible before law for the accuracy and truthfulness of information they provide.

The State Bank shall appraise dossiers on the basis of the conditions specified in Article 19 of this Decree;

b/ Within 5 working days after receiving a dossier of application for approval for provision of payment services not via customer payment accounts from a public postal service enterprise, the State Bank shall send to the enterprise a written confirmation of receipt of a complete and valid dossier or a notice of incompleteness or invalidity of the dossier under regulations.

In case the dossier is incomplete or invalid, the State Bank shall send a written request to the enterprise for the latter to supplement or complete the dossier. The time for the enterprise to supplement or complete the dossier shall not be included in the time limit for dossier appraisal.

c/ Within 60 working days after receiving a complete and valid dossier, the State Bank shall appraise the dossier. Past 60 days from the date the State Bank issues a written request for supplementation or completion of the dossier, if the enterprise still fails to supplement or complete the dossier or if the enterprise has twice supplemented the dossier but the dossier still fails to meet the required conditions, the State Bank shall issue a written refusal to grant approval and return the dossier to the enterprise.

Within 60 working days after receiving the supplemented and completed dossier from the enterprise, the State Bank shall carry out appraisal and issue a written approval under regulations. In case of disapproval, the State Bank shall send a written reply to the enterprise, clearly stating the reason.

3. The validity period of the written approval is 10 years from the date of its signing. If wishing to have its written approval for provision of payment services not via customer payment account extended, at least 60 days before the approval expires, the enterprise shall submit to the State Bank 3 sets of dossier of application for extension of the written approval, each comprising: an application for approval for provision of payment services not via customer payment accounts, made according to Form No. 03 provided in the Appendix to this Decree; a report on performance of operations under the written approval from the date of obtaining the approval to the date of submitting the application and a copy of the valid written approval.

Within 30 working days after receiving the enterprise’s dossier of application for extension of the written approval, the State Bank shall consider and extend the approval or issue a notice of refusal of the extension, clearly stating the reason.

The validity period of the extended approval is 10 years, counted from the date the State Bank approves the extension.

4. A written approval for provision of payment services not via customer payment accounts shall be revoked in the following cases:

a/ The enterprise that is granted by the State Bank the written approval for provision of payment services not via customer payment accounts is dissolved or goes bankrupt in accordance with law;

b/ The enterprise that is granted by the State Bank the written approval for provision of payment services not via customer payment accounts files a request for revocation of the written approval due to termination of the provision of payment services not via customer payment accounts, made according to Form No. 05 provided in the Appendix to this Decree;

c/ A competent state agency or criminal judgment enforcement agency issues a  judgment, judgement execution decision, or administrative sanctioning decision that requires revocation of the written approval for provision of payment services not via customer payment accounts granted to the public postal service enterprise, or a competent state agency or criminal judgment enforcement agency requests the revocation of the written approval for provision of payment services not via customer payment accounts granted to the public postal service enterprise;

d/ The enterprise that is granted by the State Bank the written approval for provision of payment services not via customer payment accounts commits the prohibited acts specified in Clause 8, Article 8 of this Decree;

dd/ Three months after the State Bank notifies in writing the enterprise providing payment services not via customer payment accounts of the latter’s failure to meet one of the conditions specified in Article 19 in the course of service provision and requests the enterprise to take remedial measures, the enterprise still fails to take remedial measures;

e/ The enterprise that is granted by the State Bank the written approval for provision of payment services not via customer payment accounts operates in contravention of the written approval;

g/ It is detected through inspection, examination and supervision of provision of payment services not via customer payment accounts that the enterprise has not provided payment services not via customer payment accounts for 6 consecutive months.

5. Procedures for considering the revocation of or for revoking a written approval for provision of payment services not via customer payment accounts granted to a public postal service enterprise:

a/ In case the enterprise is dissolved or goes bankrupt under Point a, Clause 4 of this Article, it shall send a written notice thereof to the State Bank within 7 working days from the date the decision on dissolution is approved in accordance with the Law on Enterprises or the date it receives the decision declaring bankruptcy from a People’s Court in accordance with the bankruptcy law. After 10 working days from the date of receiving the enterprise’s notice, the State Bank shall issue a decision on revocation of the written approval.

After 10 working days from the date of receiving a request for revocation of the written approval for provision of payment services not via customer payment accounts as specified at Point b, Clause 4 of this Article, the State Bank shall issue a decision on revocation of the written approval.

After 10 working days from the date of occurrence of one of the events specified at Points c, d and dd, Clause 4 of this Article, the State Bank shall issue a decision on revocation of the written approval;

b/ When the enterprise shows signs of falling into one of the cases specified at Points e and g, Clause 4 of this Article, the State Bank shall issue a notice and request the enterprise to give explanation.

After 15 working days from the date the State Bank issues the notice, if the enterprise fails to give explanation or its explanation is not justified, the State Bank shall consider issuing a decision on revocation of the written approval.

6. Upon receiving the State Bank’s decision on revocation of the written approval, the enterprise shall immediately cease the provision of payment services not via customer payment accounts.

Within 30 days from the date of issuance of the State Bank’s decision on revocation of the written approval, the enterprise shall send a written notice thereof to related organizations and individuals to liquidate contracts and fulfill all obligations and responsibilities between the parties in accordance with law.

Once the enterprise fulfills obligations and responsibilities between the parties in accordance with law, after 3 years from the date the enterprise has its written approval revoked in one of the cases specified in Clause 4 (except Point a) of this Article, it may apply for approval for provision of payment services not via customer payment accounts under Article 19 of this Decree. The procedures and dossier must comply with Clauses 1 and 2 of this Article. 

Section 3

PARTICIPATION IN INTERNATIONAL PAYMENT SYSTEMS

Article 21. Conditions for commercial banks and foreign bank branches to participate in international payment systems 

1. Having been licensed to perform basic foreign exchange operations in the domestic and international markets.

2. Having policies and procedures for managing risks regarding money laundering, terrorism financing, and financing of the proliferation of weapons of mass destruction in compliance with the law on prevention and control of money laundering, terrorism financing, and financing of the proliferation of weapons of mass destruction while participating in international payment systems.

3. Having an information system that meets requirements for administration, safety and security in accordance with Vietnam’s law; having internal regulations on standards on selection for connection to international payment systems.

4. Ensuring that organizations operating international payment systems are legally established and operate in foreign countries.

Chapter IV

PAYMENT INTERMEDIARY SERVICES

Article 22. Payment intermediary services and conditions for provision of payment intermediary services

1. Payment intermediary services include: financial switching services, international financial switching services, automated clearing house services, e-wallet services, collection and payment support services and electronic payment gateway services. The provision of payment intermediary services must comply with regulations of the State Bank.

2. Conditions for provision of payment intermediary services:

An organization that is not a bank or foreign bank branch shall be granted by the State Bank a license for provision of payment intermediary services when fully meeting the following conditions and having to maintain such conditions during the process of provision of payment intermediary services:

a/ Having an establishment license or enterprise registration certificate issued by a competent state agency and not undergoing division, splitting, consolidation, merger, transformation, dissolution or bankruptcy under an issued decision during the process of applying for a license for provision of payment intermediary services; if wishing to provide financial switching services or automated clearing house services, the organization must ensure that it does not deal in business lines other than provision of payment intermediary services;

b/ Having an actually contributed or allocated charter capital of at least VND 50 billion, for e-wallet services, collection and payment support services and electronic payment gateway services; or VND 300 billion for financial switching services, international financial switching services, and electronic clearing services; taking full responsibility for the legality of contributed or allocated capital;

c/ Having a scheme on provision of payment intermediary services approved by a competent authority as stated in the organization’s charter, made according to Form No. 08 provided in the Appendix to this Decree;

d/ Personnel conditions: The organization’s legal representative(s) and Chief Executive Officer must possess a university or higher degree in economics, business administration, law or information technology; and have at least 5 years’ experience of acting as a managerial or executive officer of a finance or banking institution and not falling into cases of prohibition specified by law; the organization must ensure that it always has at least one legal representative residing in Vietnam (if there remains only one legal representative residing in Vietnam, such representative shall, when leaving Vietnam, authorize in writing another individual residing in Vietnam to exercise the rights and perform the obligations of the legal representative. In this case, the legal representative shall still be held responsible for the exercise of rights and performance of obligations authorized).

The Chief Operations Officer(s) and key staff engaged in the implementation of the scheme on provision of payment intermediary services (including division heads or equivalent title holders and technical staff) must possess a college or higher degree in economics, business administration, law, information technology or another field relevant to their positions;

dd/ Having a description of the technical solution serving the provision of the payment intermediary service(s) for which the organization applies for a license, that is approved by a competent authority as specified in the charter of the organization and meets the requirements for assurance of information system security at level 3 in accordance with law;

e/ For e-wallet services and collection and payment support services for customers with accounts opened at multiple banks and foreign bank branches, the service provider must have financial transaction switching and clearing of obligations arising in the process of provision of payment intermediary services performed by another financial switching service or automated clearing house service provider licensed by the State Bank;

g/ In addition to the conditions specified at Points a, b, c, d and dd, Clause 2 of this Article, financial switching service or automated clearing house service providers must have clearing results between related parties finally settled by another organization; reach connection agreements with at least 50 banks and foreign bank branches with an aggregate charter capital in the year preceding the year of submitting the dossier of application for the license accounting for over 65% of the total charter capital of banks and foreign bank branches in the system of credit institutions and at least 20 payment intermediary service providers; have an information infrastructure meeting the minimum requirements for ensuring information system security at level 4 as required by law, ensuring compatibility and connectivity with technical systems of organizations participating in connection agreements; and have a server system that complies with regulations and can process at least 10 million payment transactions per day;

Each participating organization may not connect to more than 2 financial switching service or automated clearing house service providers;

h/ International financial switching service providers must have a valid license for provision of financial switching payment intermediary services; have clearing results between related parties finally settled by another organization; have internal regulations on standards for selection of connection of international payment systems to perform financial switching of international payment transactions; and have internal regulations on technical processes for international financial switching services for which the organizations apply for a license. The organizations operating international payment systems connected to international financial switching service providers must be those established and operating legally in a foreign country.

3. Within 6 months after being granted a license by the State Bank for provision of payment intermediary services, the licensed organization must provide payment intermediary services to the market and may only provide these services to the market after deploying a technical system meeting the requirements specified at Point dd, Clause 2 of this Article and complying with Points g and h, Clause 2 of this Article, for financial switching services, automated clearing house services, and international financial switching services.

Article 23. Principles of making and submission of dossiers of application for grant, re-grant, modification, supplementation or revocation of licenses for provision of payment intermediary services

1. Dossiers must be made in Vietnamese. Documents issued, notarized or certified by foreign authorities must be consularly legalized in accordance with Vietnam’s law (except cases exempted from consular legalization in accordance with Vietnam’s law on consular legalization) and translated into Vietnamese.

2. Copies of dossiers and documents must be certified copies or copies containing information from the master registers or copies accompanied with originals for collation in accordance with law. Dossiers submitted online must comply with regulations on administrative procedures in the electronic environment.

3. Signatures in self-made curriculum vitae must be authenticated in accordance with law.

4. Dossiers shall be sent by post (postal service) or hand-delivered to the State Bank’s Single-Window Division or online at the State Bank’s Public Service Portal or the National Public Service Portal.

5. Organizations applying for grant, re-grant, modification, supplementation or revocation of licenses for provision of payment intermediary services shall be held fully responsible before law for the accuracy and truthfulness of the information they provide.

Article 24. Grant of licenses for provision of payment intermediary services

1. The State Bank shall grant licenses for provision of payment intermediary services under Clause 1, Article 22 of this Decree to applying organizations.

2. A dossier of application for a license for provision of payment intermediary services must comprise:

a/ An application for license, made according to Form No. 07 provided in the Appendix to this Decree;

b/ The Resolution of the Members’ Council, Board of Directors or General Meeting of Shareholders or document of the owner’s authorized representative in conformity with the authority specified in the Company Charter approving the Scheme on provision of payment intermediary services and  descriptions of technical solutions;

c/ A scheme on provision of payment intermediary services, made according to Form No. 08 provided in the Appendix to this Decree;

d/ Descriptions of technical solutions;

dd/ Personnel records: curriculum vitae, made according to Form No. 09 provided in the Appendix to this Decree, copies of diplomas proving the capacity and professional qualifications of the legal representative, Chief Executive Officer, Chief Operations Officer(s) and key staff engaged in the implementation of the Scheme on provision of payment intermediary services; criminal records certificates or equivalent documents of the legal representative and Chief Executive Officer as prescribed by law (issued within 6 months prior to the time of submission of the dossier of application for a license); document made by the authorized representative of the unit where the legal representative or Chief Executive Officer has been or is working, confirming the position and position-holding period or copy of the document proving the position and –position-holding period at the unit of the legal representative and Chief Executive Officer;

e/ Copies of documents proving that the applying organization is legally established and operates, including: establishment license or enterprise registration certificate or equivalent document; organization and operation charter of the applying organization; investment certificate, for foreign investor (if any);

g/ Written commitment and supporting documents of the owner, founding member or founding shareholder of the organization on assurance of maintenance of the actual value of the charter capital;

h/ For financial switching services and automated clearing house services: the plan on final settlement of clearing results between related parties by an organization, made according to Form No. 08 provided in the Appendix to this Decree; connection agreements with participating organizations, with a commitment that each participating organization does not connect to more than 2 financial switching service or automated clearing house service providers; and documents proving that the information infrastructure and server system meet the requirements specified at Point g, Clause 2, Article 22 of this Decree;

i/ For international financial switching services: internal regulations on standards for selection of international payment systems for performance of financial switching of international payment transactions; internal regulations on operational processes with risk management measures for the international financial switching services for which the organization applies for a license; copies of documents proving that the organization operating the international payment system is legally established and operates in a foreign country, issued by a competent authority of the country or territory where such organization is established or headquartered; and the plan on final settlement of clearing results between related parties by another organization, made according to Form No. 08 provided in the Appendix to this Decree.

3. Process and procedures for grant of a license

In case of sending dossiers by post (postal service) or hand-delivering them to the State Bank’s Single-Window Division, the applying organization shall send 2 dossier sets and 6 CDs (or 6 USBs) containing scanned copies of all documents included in the dossier as specified in Clause 2 of this Article. Based on the dossier, the State Bank shall coordinate with related ministries and agencies to appraise the dossier based on the conditions specified in Clause 2, Article 22 of this Decree.

a/ Within 5 working days after receiving a dossier of application for a license, the State Bank shall send a document to the applying organization confirming receipt of a complete and valid dossier. In case the dossier is incomplete and invalid, the State Bank shall send a written request to the applying organization for the latter to supplement and complete the dossier. The time for supplementation or completion of the dossier shall not be included in the dossier appraisal time limit.

Within 60 days from the date the State Bank send a written request for supplementation of the dossier, if the applying organization fails to re-send the dossier or if the organization re-sends the dossier but the dossier is still incomplete, the State Bank shall issue a written reply and return the dossier to the applying organization;

b/ Within 90 working days after receiving a complete and valid dossier, the State Bank shall appraise the dossier. Within 60 days after the State Bank issues a written request for explanation on and completion of the dossier, if the applying organization fails to re-send the dossier, the State Bank shall issue a written reply returning the dossier to the applying organization.

Within 90 working days after receiving the supplemented or completed dossier from the applying organization, the State Bank shall appraise the dossier and grant a license according to regulations. In case of refusal to grant a license, the State Bank shall issue a written reply to the applying organization, clearly stating the reason;

c/ From the date the State Bank receives a complete and valid dossier, the applying organization may send supplementary or complementary documents for at most 2 times; the time limit for submission of supplementary and complementary documents by the applying organization is 60 days from the date the State Bank sends a document to the applying organization confirming the receipt of a complete and valid dossier.

4. Process and procedures for commencement of operation after obtaining a license

At least 30 working days before the expected date of commencement of the provision of payment intermediary services to the market and within 6 months after being granted by the State Bank a license for provision of payment intermediary services, the licensed organization shall notify and provide documents to prove to the State Bank that its technical system meets the conditions specified at Point dd, Clause 2, Article 22 of this Decree; a copy of the acceptance testing minute of technical solutions for licensed payment intermediary services, signed with a cooperating bank, for e-wallet services, collection and payment support services and electronic payment gateway services, made according to Form No. 10 provided in the Appendix to this Decree; documents proving the arrangement with another organization performing final settlement of clearing results between related parties, for financial switching services, automated clearing house services and international financial switching services, meeting the conditions specified in Points g and h, Clause 2, Article 22 of this Decree.

Within 15 working days after receiving all documents, the State Bank shall conduct a physical inspection at the payment intermediary service provider and issue a written notice of satisfaction or non-satisfaction of the conditions specified at Points dd, g and h, Clause 2, Article 22 of this Decree. In case of non-satisfaction, the State Bank shall consider revoking the license for provision of payment intermediary services under Point e, Clause 1, Article 27 of this Decree.

5. Validity period of a license

The operation duration stated in a license is 10 years counted from the date the concerned organization is granted the license by the State Bank. For international financial switching services, the operation duration must not exceed the operation duration stated in the license for provision of financial switching services.

Article 25. Re-grant of licenses for provision of payment intermediary services

The State Bank shall re-grant a license for provision of payment intermediary services in the following cases:

1. The license expires

At least 60 days before the expiration of the operation duration stated in the license, the payment intermediary service provider shall submit a dossier of request for re-grant of a license to the State Bank. For a dossier submitted by post (postal service) or hand-delivered to the State Bank’s Single-Window Division, the payment intermediary service provider shall submit 3 sets of dossier of request for re-grant of a license, each comprising: a written request for re-grant of a license, made according to Form No. 11 provided in the Appendix to this Decree; a report on the performance of its operations under the license from the date of grant of the license to the date of dossier submission; and a copy of the valid license.

Within 30 working days after receiving the payment intermediary service provider’s dossier of request for re-grant of a license, the State Bank shall consider re-granting the license or notify in writing its refusal to re-grant the license, clearly stating the reason;

The operation duration stated in the license is 10 years from the date such license is re-granted by the State Bank.

2. The license is lost, torn, burned, or otherwise destroyed

A payment intermediary service provider shall submit a dossier of request for re-grant of a license, make according to Form No. 11 provided in the Appendix to this Decree, clearly stating the reason. Within 10 working days after receiving the dossier of request for re-grant of a license, the State Bank shall consider re-granting the license or notify in writing its refusal to re-grant the license, clearly stating the reason;

The operation duration stated in the re-granted license is the same as that stated in the lost, torn, burned or otherwise destroyed license.

Article 26. Modification/supplementation of licenses for provision of payment intermediary services

1. In case of any change in the following information in a license for provision of payment intermediary payment services: the license holder’s name; head office address; stoppage of provision of one or more of the licensed payment intermediary services; and connection to an additional international payment system of an international financial switching service provider:

a/ The payment intermediary service provider shall submit 1 set of dossier of request for modification/supplementation of the license, comprising: a written request for modification/supplementation of the license for provision of payment intermediary services, made according to Form No. 12 provided in the Appendix to this Decree; a copy of the valid license for provision of payment intermediary services; a copy of the enterprise registration certificate indicating its changed name or a copy of the investment registration certificate, for a foreign investor (if any); a report on provision of payment intermediary services from the date of being granted the license to the date of submitting the dossier of request for modification/supplementation of the license.

In case of requesting connection to an additional international payment system, the international financial switching service provider shall additionally provide the documents specified at Point i, Clause 2, Article 24 of this Decree;

b/ The State Bank shall check the validity of the dossier of request for modification/supplementation of the license within 5 working days after receiving such dossier, and decide on the modification/supplementation of the license for provision of payment intermediary services within 30 working days after receiving a complete and valid dossier. In case of refusal of modification/supplementation of the license, the State Bank shall send a written reply to the requesting payment intermediary service provider, clearly stating the reason;

c/ The validity duration stated in the modified/supplemented license must not exceed that written in the license for provision of payment intermediary services;

d/ For payment intermediary services requested for provision stoppage, the payment intermediary service provider shall stop providing these services after the State Bank modifies/supplements the license and, within 30 days after having its license modified/supplemented by the State Bank, send a written notice thereof to related organizations and individuals for liquidation of contracts and fulfillment of the obligations and responsibilities between related parties in accordance with law.

2. In case of any change in one of the following information: legal representative, charter capital or the owner’s charter capital ownership ratio; or division, splitting, consolidation, merger or transformation during the validity duration of its license, the payment intermediary service provider is not required to carry out procedures for requesting modification/supplementation of the license but shall send to the State Bank a written notice thereof and supporting documents (if any) within 30 days from the date of occurrence of the above change.

Article 27. Revocation of licenses for provision of payment intermediary services

1. The State Bank shall consider revoking a license in one of the following cases:

a/ The payment intermediary service provider is dissolved or goes bankrupt in accordance with law;

b/ The payment intermediary service provider submits a written request for revocation of its license for the reason that it terminates the provision of the licensed payment intermediary services, made according to Form No. 15 provided in the Appendix to this Decree;

c/ A competent state agency or criminal judgment enforcement agency issues a legally effective judgment, judgment enforcement decision or administrative sanctioning decision, requiring revocation of the license of the payment intermediary service provider, or issues a written request for revocation of the license of the payment intermediary service provider;

d/ The payment intermediary service provider uses or abuses payment accounts, payment instruments, payment services or payment intermediary services to gamble, organize gambling, swindle, illegally carry out business activities, or carry out money laundering, terrorism financing or financing of the proliferation of weapons of mass destruction;

dd/ The payment intermediary service provider fails to take remedial measures after 3 months from the date the State Bank issues a written notice stating the former’s non-satisfaction of one of the conditions during the service provision process specified at Points a, b, c, d, e and g, Clause 2, Article 22 of this Decree, or its technical system fails to satisfy the conditions specified at Point dd, Clause 2, Article 22 of this Decree;

e/ The payment intermediary service provider fails to comply with Clause 3, Article 22 of this Decree; fails to provide supporting documents or has provided supporting documents but such documents do not comply with Clause 4, Article 24 of this Decree, and fails to take remedial measures after 3 months from the date the State Bank issues a written notice requesting the payment intermediary service provider to take remedial measures;

g/ It is detected through inspection, examination and supervision of payment intermediary service provision activities that the payment intermediary service provider fails to provide the licensed payment intermediary services to customers for 6 consecutive months;

h/ The payment intermediary service provider repeats the violation of dishonestly reporting on the balance and number of e-wallets under regulations.

2. Process and procedures for revoking licenses

a/ In case a payment intermediary service provider is dissolved or goes bankrupt under Point a, Clause 1 of this Article, it shall submit a written request for revocation of its license, made according to Form No. 15 provided in the Appendix to this Decree, to the State Bank within 7 working days from the date the dissolution decision is approved in accordance with the Law on Enterprises or the date of receiving the bankruptcy declaration from a People’s Court in accordance with the law on bankruptcy. The State Bank shall issue a decision on revocation of the license after 10 working days from the date of receiving the notice.

The State Bank shall issue a decision on revocation of the license after 10 working days from the date of receiving the payment intermediary service provider’s written request for revocation of the license due to termination of provision of payment intermediary services specified at Point b, Clause 1 of this Article.

The State Bank shall issue a decision on revocation of the license after 20 working days from the date of occurrence of one of the events specified at Points c, d, dd and e, Clause 1 of this Article.

b/ When a payment intermediary service provider shows signs of violations specified at Points g and h, Clause 1 of this Article, the State Bank shall consider revoking the former’s license and send a written notice requesting the payment intermediary service provider to give explanations.

After 20 working days from the date the State Bank issues the notice, if the licensed payment intermediary service provider fails to give written explanations or the given explanations are unjustified, the State Bank shall issue a decision on revocation of the license.

3. Immediately upon receiving the State Bank’s decision on revocation of its license, the payment intermediary service provider having its license revoked shall immediately stop providing payment intermediary services.

Within 30 days after receiving the State Bank’s decision on the revocation of its license, the payment intermediary service provider having its license revoked shall send a written notice to related organizations and individuals for liquidation of their contracts and fulfillment of the obligations and responsibilities between related parties in accordance with law.

After 3 years from the date of having its license revoked in a case specified in Clause 1 of this Article, if the payment intermediary service provider has fulfilled the obligations and responsibilities between related parties in accordance with law, it may apply for a license for provision of payment intermediary services under Article 22 of this Decree. The process and procedures for and dossier of application for a license must comply with Articles 23 and 24 of this Decree.

Article 28. Responsibilities for coordination in grant, re-grant, modification/supplementation and revocation of licenses for provision of payment intermediary services

1. Responsibilities for coordination in appraisal

a/ The Bank shall send a written request to the Ministry of Public Security and other related agencies for collecting their opinions on a payment intermediary service provider’s and its legal representative’s compliance with relevant regulations before considering granting, re-granting, modifying/supplementing or revoking a license under Article 24; Clause 1, Article 25; Clause 1, Article 26; or Points d and g, Clause 1, Article 27 of this Decree;

b/ Within 15 working days after receiving the State Bank’s request, the ministries and agencies mentioned at Point a of this Clause shall send their written opinions to the State Bank;

c/ The State Bank shall consider granting, re-granting, modifying/supplementing or revoking a license based on the application dossier and the opinions of related ministries and agencies.

2. The State Bank shall publicly announce on its Portal the grant, re-grant, modification/supplementation and revocation of licenses for provision of payment intermediary services of payment intermediary service providers. Payment intermediary service providers shall publicly announce their licenses, decisions on modification/supplementation of their licenses and decisions on revocation of their licenses on their websites.

Chapter V

RESPONSIBILITIES OF RELATED PARTIES

Article 29. Assurance of safety and confidentiality in payment activities

1. Payment service providers and payment intermediary service providers shall take measures to assure the safety and confidentiality in payment activities in accordance with law, and may establish measures for assurance of safety in payment activities in accordance with relevant regulations. Service users are obliged to comply with measures to assure the safety and confidentiality in payment activities as prescribed and guided by service providers.

2. Payment service providers and payment intermediary service providers shall take measures to inspect and supervise merchants in order to detect and resolve, or propose competent state agencies to handle, payment-related violations in accordance with law.

3. Payment service providers and payment intermediary service providers shall take risk management measures to prevent the use or abuse of the provision of payment instruments, payment services and payment intermediary services for gambling, organizing gambling, conducting fake payment transactions (payment transactions for goods or services though no goods purchase/sale or service provision arises), or for committing other illegal acts.

4. Payment intermediary service providers and related organizations and individuals are obliged to provide adequate information and documents as required by payment service providers when carrying out foreign-currency and international payment specified in Clauses 3 and 5, Article 5 of this Decree, and shall be held responsible before law for the authenticity of the provided information and documents. Payment service providers shall take measures to review, inspect and retain documents related to actual transactions to ensure that foreign-currency and international payment is made for proper purposes and in accordance with law.

Article 30. Rights concerning information and reporting

1. The State Bank has the right to request payment service providers and payment intermediary service providers to provide service provision-related information on a periodical or unscheduled manner. The provision of information must comply with regulations of the State Bank.

2. Payment service providers and payment intermediary service providers has the right to request service users to provide relevant information when using the former’s services.

Article 31. Obligations concerning information and reporting

1. Payment service providers and payment intermediary service providers are obliged to report and provide information to competent state agencies in accordance with law.

2. Payment service providers and payment intermediary service providers are obliged to provide information on transactions and balance on payment accounts of account holders, and transactions and balance on e-wallets of e-wallet holders as agreed with payment account holders and e-wallet holders.

Article 32. Information confidentiality

1. The right to refuse to provide information

Payment service providers and payment intermediary service providers may reject requests of other organizations and individuals for provision of information relating to accounts, transactions and balance on accounts, and e-wallets, and transactions and balance on e-wallets, unless such requests are made by competent state agencies as provided by law or are consented to by customers.

2. The obligation to ensure information confidentiality

Payment service providers and payment intermediary service providers shall ensure confidentiality of information relating to accounts, transactions and balance on accounts, e-wallets, and transactions and balance on e- wallets, unless the disclosure of such information is consented to by customers or unless otherwise provided by law.

Chapter VI

SUPERVISION ACTIVITIES

Article 33. Supervision of important payment systems in the economy

1. The State Bank shall issue regulations on supervision of, and supervise, important payment systems in the economy, thereby contributing to assuring the stable and safe operation of these important payment systems.

2. The State Bank shall identify important payment systems subject to its supervision. The State Bank shall supervise important payment systems by taking off­site supervision and on-site inspection measures and other measures when necessary, ensuring adherence to the principle of not hindering the normal operation of important payment systems and organizations operating important payment systems.

3. The State Bank may request organizations operating important payment systems, settlement banks, and participants in important payment systems to provide information related to the systems.

4. Organizations operating important payment systems, settlement banks, and participants in important payment systems shall provide information related to the systems at the request of the State Bank.

5. Organizations operating important payment systems and settlement banks for important payment systems shall comply with the State Bank’s regulations on supervision and fulfil its requests for supervision; and issue internal regulations on risk control and assurance of uninterrupted operation of these systems.

Article 34. Supervision of provision of payment services

1. The State Bank shall identify the scope of, provide regulations on, supervision, and supervise, the provision of payment services.

2. The State Bank shall supervise the provision of payment services by taking off­site supervision and on-site inspection measures and other measures when necessary, ensuring adherence to the principle of not hindering the normal operation of payment service providers.

3. The State Bank may request payment service providers to provide information related to the provision of payment services.

4. Payment service providers shall provide information related to the provision of payment services at the request of the State Bank, and comply with the State Bank’s regulations on supervision and fulfil its requests for supervision.

Article 35. Supervision of provision of payment intermediary services

1. The State Bank shall issue regulations on supervision of, and supervise, the provision of payment intermediary services by organizations licensed by the State Bank.

2. The State Bank shall supervise the provision of payment intermediary services by taking off-site supervision and on-site inspection measures and other measures when necessary, ensuring adherence to the principle of not hindering the normal operation of payment intermediary service providers.

3. The State Bank may request payment intermediary service providers to provide information related to the provision of payment intermediary services.

4. Payment intermediary service providers shall provide information related to the provision of payment intermediary services at the request of the State Bank, and comply with the State Bank’s regulations on supervision and fulfil its requests for supervision.

5. Payment intermediary service providers shall develop and provide online supervision tools for the State Bank to supervise the provision of payment intermediary services before officially providing such services to customers.

6. Banks cooperating with payment intermediary service providers shall report and provide information on cooperation in provision of payment intermediary services; data and information on the opening and management of payment guarantee accounts for payment intermediary service providers, for e-wallet services and collection or payment support services at the request of the State Bank.

Chapter VII

IMPLEMENTATION PROVISIONS

Article 36. Transitional provisions

1. Commercial banks and foreign bank branches that have participated in international payment systems before the effective date of this Decree may continue participating in such international payment systems. Within 24 months from the effective date of this Decree, commercial banks and foreign bank branches shall meet the conditions specified in Article 21 of this Decree and complete the procedures for requesting approval for participation in international payment systems under regulations of the Governor of the State Bank. Past this time limit, commercial banks and foreign bank branches shall terminate their participation in international payment systems not included in their licenses.

2. Payment intermediary service providers licensed before the effective date of this Decree to provide electronic money transfer support services (under Clause 5, Article 3 of the State Bank’s Circular No. 39/2014/TT-NHNN of December 11, 2014, providing guidance on payment intermediary services) that are included in their licenses for provision of payment intermediary services may continue to provide such services as agreed by the parties.

3. Financial switching service providers licensed before the effective date of this Decree that have connected to international payment systems may continue to connect to such international payment systems. Within 24 months from the effective date of this Decree, licensed financial switching service providers shall meet the conditions and complete the procedures for applying for licenses for provision of international financial switching services specified in this Decree. Past this time limit, financial switching service providers shall terminate their connection to international payment systems not included in their licenses for provision of international financial switching services.

4. Public postal service enterprises may continue to provide payment services not via customer payment accounts in accordance with law. Within 24 months from the effective date of this Decree, public postal service enterprises shall meet the conditions and complete the procedures for applying for approval for provision of payment services not via customer payment accounts specified in this Decree. Past this time limit, public postal service enterprises shall terminate their provision of payment services.

5. Payment intermediary service providers licensed to provide payment intermediary services before the effective date of this Decree may continue to provide such services under the licenses granted by the State Bank until such licenses expire, unless they apply for licenses under this Decree.

Article 37. Effect

1. This Decree takes effect on July 1, 2024.

2. This Decree replaces the Government’s Decree No. 101/2012/ND-CP of November 22, 2012, on cashless payment; and the Government’s Decree No. 80/2016/ND-CP of July 1, 2016, amending and supplementing a number of articles of the Government’s Decree No. 101/2012/ND-CP of November 22, 2012, on cashless payment, and annuls Article 3 of the Government’s Decree No. 16/2019/ND-CP of February 1, 2019, amending and supplementing a number of articles of the Decrees providing business conditions under the state management by the State Bank.

Article 38. Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees; chairpersons of Boards of Directors, chairpersons of Members’ Councils and Chief Executive Officers of credit institutions and foreign bank branches; chairpersons of Boards of Directors, chairpersons of Members’ Councils, Company Presidents and Chief Executive Officers of public postal service enterprises, and related organizations and individuals shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
LE MINH KHAI

* The Appendix to this Decree is not translated.