According to the Official Dispatch No. 7847/NHNN-TD dated September 23, 2024 of the State Bank of Vietnam on comments on the draft Circular amending and supplementing a number of articles in Circular No. 11/2022/TT-NHNN on bank guarantees.
According to the State Bank, the issuance of the Circular amending and supplementing a number of articles in Circular 11 aims to create a legal basis for bank guarantee activities in accordance with current legal provisions such as the Law on Real Estate Business 2023, Law on Credit Institutions 2024.
In particular, the contents of the draft Circular are clearly and appropriately stipulated. At the same time, they do not contradict the contents stipulated in other legal documents on the same issue.
In addition, the Circular amending and supplementing Circular 11 helps to further improve the legal basis on bank guarantees to fully reflect the reality of guarantee activities, creating favorable conditions for credit institutions, organizations and individuals involved in implementing bank guarantee activities smoothly and effectively. Specifically, the content of the draft Circular includes amendments and supplements such as:
First, amend the concepts in Article 3: (i) Concept of bank guarantee in Clause 1, (ii) Concept of counter-guarantee in Clause 2, (iii) Concept of guarantee confirmation in Clause 3, (iv) Concept of guarantee in sale, lease-purchase of future housing in Clause 4, (v) Concept of guaranteed party in Clause 7, (vi) Concept of customer in Clause 11, (vii) Financial obligations of the investor to the buyer, lease-purchaser in the guarantee of future housing in Clause 15.
Second, add the concept: "Commitment letter to issue a letter of guarantee for future housing" in Clause 13, Article 3.
Third, amend section d, Clause 4, Article 9 on electronic signature.
Fourth, amend Article 13 on future housing guarantees with some contents such as: Removing the conditions for commercial banks to be allowed to guarantee future housing, removing the regulation that the State Bank of Vietnam publicly announces the list of commercial banks that guarantee future housing, adding permission for foreign bank branches to guarantee future housing, specifying the content and duration of the commitment letter to issue a guarantee letter for future housing, etc.
Fifth, amending Section b, Clause 1, Article 14 regulating documents on customers, adding regulations on providing information about related persons of customers when requesting a guarantee.
Sixth, amending Article 17 to add the authority to sign the commitment letter to issue a guarantee letter.
Seventh, amending Clause 1, Article 19, adding an agreement on fees.
Eighth, amend Article 34 regulating the responsibilities of units under the State Bank to comply with the new regulations.
For details of the draft Circular, Explanatory Note and appendices, members can see here. The Vietnam Banks Association requests member organizations to provide comments on this Draft Circular.
Please send your comments (including word files) to the Vietnam Banks Association via email: phamthivananh3110@gmail.com before October 10, 2024 for synthesis (Phone: 0904.431.189 - Ms. Van Anh).
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