Press release on issuance of Circular No. 26/2024/TT-NHNN
Hanoi, June 28, 2024 – The Governor of the State Bank of Vietnam (SBV) has issued Circular No. 26/2024/TT-NHNN regulating the finance leasing operations of finance companies, finance leasing companies.
This Circular is composed of 04 Chapters with 33 Articles, specifically as follows:
Chapter I (from Article 1 to Article 4), stipulating the general provisions: The scope of regulation; The subjects of application; The interpretation of some terms; The principles of finance leasing.
Chapter II (from Article 5 to Article 25), regulating the operations of finance leasing, including: The requirements for finance lessees; The regulations for information providing; The interest rates and other fees related to finance leasing activities; The regulations on the appraisal and the approval of finance leasing; The regulations on paying the principal and the interest; The regulations on rescheduling the payment due date, overdue debts; The regulations on the rights and the obligations of the finance lessors and the finance lessees, etc.
Chapter III (from Article 26 to Article 29), regulating the on-purchasing and on-lending activities, including: The regulations on the principles of on-purchasing and on-lending; The regulations on the assets involved in the on-purchasing or on-lending; The regulations on the asset purchase contract, etc.
Chapter IV (from Article 30 to Article 32): Implementation Arrangements
The Circular provides guidance for a number of new regulations in the 2024 Law on Credit Institutions, including the value of a leased finance approved by electronic means, enabling both customers and the credit institutions in small-valued finance leasing transactions and promoting the digital transformation in the banking operations.
In addition, the Circular also requires the provision of information of the related persons of the finance lessee in order to facilitate the supervision and to ensure the safety of the system, etc.
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