Decision No. 22/2023/QD-TTg On Credit for Individuals Who Have Completed Their Criminal Sentences

Pursuant to …;

Regarding credit for individuals who have completed their criminal sentences

 

Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing Certain Provisions of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;

Pursuant to the Law on Public Investment dated June 13, 2019;

Pursuant to the Criminal Enforcement Law dated June 14, 2019;

Pursuant to Decree No. 78/2002/NĐ-CP dated October 4, 2002 of the Government on credit for the poor and other policy beneficiaries;

On the basis of Decree No. 49/2020/NĐ-CP dated April 17, 2020 of the Government detailing the implementation of the Criminal Execution Law on reintegration into society;

The Government promulgates this Decree on regulations regarding entry, exit, and residence policies for foreigners at the International Financial Center in Vietnam.

The Prime Minister issues this Decision on credit for individuals who have completed their criminal sentences.

Article 1. Scope of Regulation

This Decision stipulates the credit policy for individuals who have completed their criminal sentences, production and business establishments employing laborers who have completed their criminal sentences to borrow funds from the Vietnam Bank for Social Policies for vocational training and production and business activities, creating job opportunities.

Article 2. Applicability

Article 3. Creditors

2. Borrowers are organizations and individuals falling within the borrowing categories specified in Clause 1, Article 3 of this Decision.

3. Other organizations and individuals related thereto.

Article 3. Borrowing Subjects and Conditions

The borrowing subjects and conditions include:

a) Individuals who have completed their criminal sentences include those who have completed the term of imprisonment and received a certificate of completion of sentence under the Criminal Execution Law and those who have been granted amnesty and received an amnesty certificate under the Amnesty Law;

b) Production and business establishments include small and medium enterprises, cooperatives, business groups, and individual businesses that employ laborers who have completed their criminal sentences.

2. Borrowing Conditions

a) Individuals who have completed their criminal sentences: Have a need for borrowing; listed in the list of individuals who have completed their criminal sentences residing in the locality, complying with all legal regulations, not participating in social evils, as recorded by the Police Station and confirmed by the People's Committee at the commune level according to Model No. 01 attached to this Decision. The period from the completion of the criminal sentence to the time of borrowing shall not exceed five years;

b) Production and business establishments: Legally established and operating in accordance with the law; employing at least 10% of the total workforce as laborers who have completed their criminal sentences meeting the conditions set out in point a of this clause and signing labor contracts in accordance with the law on labor; having a borrowing plan and confirmed by the People's Committee at the commune level where the plan is implemented according to Model No. 02 attached to this Decision.

3. Individuals who have completed their criminal sentences and production and business establishments as specified in Clauses 1 and 2 of this Article must be cases where there is no outstanding debt at the Vietnam Bank for Social Policies for other credit programs with the same purpose of using borrowed capital for vocational training and production and business activities, creating job opportunities, as provided by law.

Article 4. Loan Methods

1. For individuals who have completed their criminal sentences

a) Implementing loan methods through households. The representative of the household of the individual who has completed their criminal sentence is the person named as the borrower and transacts with the Vietnam Bank for Social Policies. In cases where there are no members aged 18 or older remaining in the household or the remaining member does not have sufficient working capacity and full civil capacity as prescribed by law, the individual who has completed their criminal sentence directly names themselves as the borrower at the Vietnam Bank for Social Policies;

b) The Vietnam Bank for Social Policies at the lending location implements loans through entrusted methods to political and social organizations.

2. For production and business establishments

The Vietnam Bank for Social Policies at the lending location implements direct loans.

Article 5. Purpose of Loan Usage

1. For borrowing to fund vocational training

Costs for education and living expenses of individuals who have completed their criminal sentences during their study period at universities (or equivalent to university level), colleges, vocational secondary schools, and vocational education institutions established and operating in accordance with Vietnamese law. These costs include: tuition fees; costs for purchasing textbooks and learning materials; costs for food, accommodation, and travel.

2. For borrowing to fund production, business operations, and job creation

Costs for production, business operations, and job creation include costs for implementing production, business operations, and job creation activities.

1. The maximum loan amount is 25 million VND per type of work per customer.

1. For borrowing to fund vocational training

The maximum loan amount is four million VND per month per individual who has completed their criminal sentence.

2. For borrowing to fund production, business operations, and job creation

a) Individuals who have completed their criminal sentences: The maximum loan amount is one hundred million VND per individual who has completed their criminal sentence;

b) Production and business establishments: The maximum loan amount is two billion VND per project and not more than one hundred million VND per worker at the production and business establishment.

Article 8. Loan term

The currency for loan and repayment is the Vietnamese Dong.

The loan term shall be agreed upon between the Social Policy Bank and the customer but shall not exceed five years (60 months).

1. For borrowing to fund vocational training

a) The loan term is the period calculated from the date the individual who has completed their criminal sentence begins receiving the loan until the date they repay the entire principal and interest. The loan term includes the disbursement period and the repayment period;

b) The disbursement period is the period calculated from the date the individual who has completed their criminal sentence receives the first loan installment until the end of the course, including the time when the individual who has completed their criminal sentence is allowed to take a leave of absence from the vocational training institution and retain their academic standing (if applicable);

c) The repayment period is divided into installments as prescribed by the Vietnam Bank for Social Policies, as follows:

For training programs with a duration of up to one year, the maximum repayment period is twice the disbursement period.

For other training programs, the maximum repayment period is equal to the disbursement period.

2. For borrowing to fund production, business operations, and job creation

The maximum loan term is 120 months. The specific loan term is determined by the Vietnam Bank for Social Policies based on the capital source, production and business cycle, and the borrower's ability to repay, upon agreement with the borrower.

1. The interest rate on loans is 9.0% per annum.

1. The loan interest rate is the same as the interest rate for poor households as prescribed for each period.

Article 10. Guarantee for loans

Customers borrowing funds pursuant to this Decision are not required to provide loan guarantees.

1. Individuals who have completed their criminal sentences do not need to provide collateral when borrowing for vocational training and production, business operations, and job creation.

2. Production and business establishments employing laborers who have completed their criminal sentences and borrowing over one hundred million VND must provide collateral in accordance with the law and the Vietnam Bank for Social Policies' regulations on guaranteeing the fulfillment of loan obligations.

1. Funds raised by the Social Policy Bank, supplemented by the State budget for interest rate and management fee subsidies as prescribed.

1. Local government budget funds entrusted annually through the Vietnam Bank for Social Policies for lending purposes.

2. The Vietnam Bank for Social Policies raises funds and is subsidized by the state budget for interest rate and management fee differences as prescribed.

Article 12. Classification of debts and handling of risky debts

Implementation shall follow the regulations on debt classification and handling of risky debts at the Social Policy Bank.

Article 13. Loan application documents, procedures, and terms for repayment, repayment amounts, extension of debt, and conversion of overdue debt

1. The Social Policy Bank shall guide on loan application documents, procedures, and terms for repayment, ensuring simplicity, clarity, and ease of implementation.

2. Extension of debt and conversion of overdue debt shall be carried out according to the regulations of the Social Policy Bank.

2. Extensions and conversion of overdue debts are carried out in accordance with the provisions of the law.

Article 14. Implementation Organization

2. The Ministry of Agriculture and Rural Development shall take the lead and coordinate with the Social Policy Bank and relevant agencies in organizing, implementing, and reporting.

2. Ministry of Public Security

a) Direct the detention facilities to organize the dissemination and promotion of the policies set forth in this Decision;

b) Direct the Public Security agencies at all levels to coordinate with relevant departments and agencies at their respective locations to advise the People's Councils and People's Committees of provinces and districts on allocating local budget funds entrusted through the Social Policy Bank for loans to individuals who have completed their prison sentences. Closely cooperate with the Social Policy Bank during the process of monitoring loan funds and recovering debts;

c) Direct the Public Security agencies at the commune level to regularly prepare and provide a list of individuals who have completed their prison sentences and are eligible for loans (in accordance with Form No. 01 attached to this Decision) to be transferred to the Social Policy Bank as the basis for granting loans;

d) Take the lead and coordinate with relevant ministries, sectors, agencies, and the Social Policy Bank in organizing and implementing this Decision; propose measures to address issues and difficulties arising during its implementation and suggest amendments and supplements to this Decision if necessary;

3. The Ministry of National Defense

Direct the detention facilities under the Ministry of National Defense to organize the dissemination of the policies set forth in this Decision;

a) Guide on the contents stipulated in Article 13 of this Decision;

a) Guide the contents stipulated in Article 13 of this Decision;

b) Manage, mobilize, and utilize financial resources, and implement loans to the correct recipients and in accordance with the conditions specified in this Decision;

c) Coordinate with relevant ministries and sectors to report to competent authorities to promptly address difficulties and obstacles during the implementation of loans as prescribed in this Decision;

5. Ministries, agencies equivalent to ministries, and government agencies shall, within their functions, duties, and powers, be responsible for coordinating with the Ministry of Public Security, the Ministry of National Defense, and the Social Policy Bank in the organization and implementation of this Decision;

6. Provincial and District People's Committees

b) Direct departments, sectors, and related units to submit to competent authorities for approval of annual local government budget allocation entrusted through the Social Policy Bank for lending;

b) Direct relevant departments and units to submit to competent authorities for approval of annual local budgets entrusted through the Social Policy Bank for loans;

c) Direct the People's Committees at the commune level to carry out verification regarding eligibility and conditions for benefiting from the policies stipulated in Article 3 of this Decision;

d) Coordinate with the Vietnam Fatherland Front, political and social organizations, and the Social Policy Bank to promote policies; organize and supervise the implementation of this Decision;

Article 15. Handling Violations

Any agency, organization, or individual that takes advantage of the policies stipulated in this Decision for personal gain or violates the law shall be liable to compensate, be subject to disciplinary action, administrative penalties, or criminal prosecution according to the provisions of the law depending on the nature and severity of the violation;

Article 16. Implementation Provisions

1. This Decision shall take effect from October 10, 2023;

2. Ministers, Heads of agencies equivalent to ministries, Heads of government agencies, Chairmen of provincial and centrally-administered city People's Committees, Chairman of the Board of Directors, and General Director of the Social Policy Bank are responsible for enforcing this Decision./.