Decision No. 448/2000/QD-NHNN2 Issuing regulations on charging fees for bank payment services

DECISION OF THE GOVERNOR OF THE STATE BANK OF VIETNAM
ISSUING REGULATIONS ON THE COLLECTION OF FEES FOR BANK PAYMENT SERVICES

GOVERNOR OF THE STATE BANK OF VIETNAM

BASED ON THE Law on the State Bank of Vietnam No. 01/1997/QH10;

The Law on Credit Organizations No. 02/1997/HQ10 dated December 12, 1997;

Pursuant to Decree No. 15/CP dated March 2, 1993 of the Government on the tasks, authorities, and responsibilities for state management of ministries and ministerial-level agencies;

To ensure that banks have resources to cover costs related to payment services provided to customers and contribute to the development and diversification of bank payment service types;

At the proposal of the Director of the Accounting and Finance Department,

DECISION:

Article 1. ATTACHED TO THIS DECISION ARE THE REGULATIONS ON THE COLLECTION OF FEES FOR BANK PAYMENT SERVICES.

Article 2. This Decision shall take effect from December 1, 2000, replacing Decision No. 162/QĐ-NH2 dated August 19, 1993 of the Governor of the State Bank of Vietnam on the collection of fees for bank payment services and Decision No. 297/QĐ-NH2 dated September 9, 1997 of the Governor of the State Bank of Vietnam on the collection of fees for cash withdrawals using credit cards. All previous regulations of the State Bank of Vietnam on the collection of fees for bank payment services that conflict with this Decision are hereby abolished.

Article 3. The Head of the Office, Heads of the Accounting and Finance Department, the Chief Inspector of the State Bank of Vietnam, Heads of relevant units under the State Bank of Vietnam, Governors of provincial branches of the State Bank of Vietnam directly under the Central Government, and General Directors (Directors) of credit organizations are responsible for implementing this Decision./.

REGULATIONS ON THE COLLECTION OF FEES FOR BANK PAYMENT SERVICES

(ISSUED ALONG WITH DECISION NO. 448/2000/QĐ-NHNN2)

I. GENERAL PROVISIONS 1. These regulations apply to the collection of fees for bank payment services by the State Bank of Vietnam and credit organizations operating within the territory of Vietnam that are permitted by the State Bank to provide payment services.

Article 1. Objectives and scope of application.

2. The collection of fees for bank payment services in payment transactions between the State Bank, credit organizations authorized to provide international payment services, and organizations and individuals operating outside the territory of Vietnam shall be carried out according to international rules and practices if such rules and practices do not contravene Vietnamese law.

1. Bank: Refers to the State Bank of Vietnam and credit organizations operating within the territory of Vietnam that are permitted by the State Bank to provide payment services.

Article 2.Definitions.

In these regulations, the following terms are understood as follows:

2. Customer: Refers to organizations and individuals who conduct direct transactions with banks regarding payments and money transfers through banks in accordance with current laws.

3. Bank Payment Service (referred to as Payment Service): Is a service performed by the bank at the request of the customer to directly facilitate the customer's payment and money transfer activities through the bank in accordance with current regulations of the State Bank of Vietnam.

4. Payment Service Fee: Is the amount collected by the bank from customers who use payment services, representing the price or fee for providing the payment service excluding value-added tax.

SCOPE AND AUTHORITY TO DETERMINE THE LEVEL OF FEES FOR PAYMENT SERVICES

Article 3.1. The Governor of the State Bank of Vietnam shall stipulate:

a) The level of fees for payment services provided by the State Bank in transactions with credit organizations and the National Treasury. This fee level only applies to credit organizations and the National Treasury (branches) that have accounts with the State Bank and engage in direct transactions with it.

b) The level of fees for certain payment services provided by credit organizations to customers when necessary, based on specific objectives to implement state policies and manage banking operations.

2. The General Director (Director) of credit organizations may set the fee levels for each specific payment service provided to customers (excluding payment services for which the Governor of the State Bank has already determined the fee level) in accordance with the content, conditions, and methods of service provision of their organization.

Credit organizations must submit their Fee Schedule for Payment Services along with standards regarding the content, conditions, and methods of service provision to the State Bank (Accounting and Finance Department and Inspectorate of the State Bank) for monitoring, while simultaneously publicly posting the schedule at transaction locations for customer awareness.

Article 4. 1. Banks may only collect fees according to the levels posted in their Fee Schedule for Payment Services and may not charge additional amounts for providing payment services, except as provided in Clause 2 of this Article.

Article 5.

2. In cases where customers transfer funds via telegrams, TELEX, or through the SWIFT system for international payments or request the dispatch of documents abroad secured by guarantees or through express delivery companies at the rates specified by the service providers.

3. Banks are not required to refund payment service fees already collected when customers request cancellation of payment services or when payment services cannot be executed due to errors or incidents not caused by the bank, provided the bank has handled the matter in accordance with its prescribed responsibilities.

TYPES OF BANK PAYMENT SERVICES THAT CAN BE CHARGED FEES

II. SPECIFIC PROVISIONS

Article 61. Provision of payment instruments, including checks, bank cards, collection orders, payment orders, and other means used to execute payment transactions through banks in accordance with current payment regulations.

2. Domestic payment services for customers include:

Payment services for customers with accounts at different bank units (branches);

Transfer of funds for budget allocations and capital reallocations;

Transfer of funds to another bank unit for use;

Salary payments into accounts;

Requests to cancel or modify fund transfers;

Domestic collection and payment on behalf of others;

Other domestic payment services for customers in compliance with current laws.

3. International payment services for customers include:

a) Transfer of funds abroad (including transfers abroad for immediate and deferred payment letters of credit);

b) Receipt of funds transferred from abroad;

c) Collection and payment on behalf of others internationally;

Requesting foreign entities to collect on behalf, including receiving, processing, and sending documents abroad for collection and settling the results of collections;

Canceling foreign collections at the request of domestic entities;

Foreign collections;

Exchange travel checks for foreign currency.

d) Other international payment services that the bank is permitted to perform in accordance with the regulations of the State Bank of Vietnam.

SITUATIONS WHERE BANKS ARE NOT PERMITTED TO COLLECT PAYMENT SERVICE FEES

, Clause 1, Clause 2 Article 7a of this Regulation..Cases where the Bank is not allowed to charge service fees for payment transactions.

1.Direct payments between customers and banks where their accounts are opened for debt repayment, interest payment, service fee payment, or purchase of printed documents or means of payment.

2.Loans and repayments among credit institutions when participating in the inter-bank market.

Article 8.Value-added tax calculation and collection when charging service fees for payment transactions.

1.The State Bank does not calculate value-added tax when collecting service fees for payment transactions.

2.Credit institutions may calculate and add value-added tax when collecting service fees for payment transactions according to current regulations of the Ministry of Finance.

Article 9Payment service fee collection and payment units.

1.For services providing payment means: Banks providing (selling) payment means charge service fees from customers who have a need to use them.

2.For customer payment services:

a)In cases of payment and money transfer using payment orders, transfer orders with or without cash deposits, or payment checks to be sent out: The bank serving the payer charges a service fee from the payer customer;

b)In cases of payment using cheques, collection orders: The bank serving the payer charges a service fee from the payer customer; for debit orders, the bank serving the issuer charges a service fee from the customer who is the issuer;

c)Settlement within the same province or centrally administered city and electronic settlement area: The State Bank leads the settlement process and charges fees from member banks that make payments;

d)Domestic collection agency services for cheques, collection orders, and domestic bills issued and paid: The bank serving the beneficiary (collection agency) or the bank serving the claimant charges a service fee from the person or entity depositing the cheque, collection order, or bill for agency collection;

3.For international payment services for customers:

a)The bank serving the remitter charges a service fee for international transfers from the remitter customer;

b)The bank serving the beneficiary charges a service fee for payment services from the beneficiary customer;

c)Agency collection services abroad for cheques, foreign currency not meeting circulation standards, and documentary collections for domestic customers: The bank serving the depositor or claimant charges a service fee from the customer who is the depositor or claimant for receiving, processing, and sending documents abroad for collection and payment of the collection result;

d)Foreign agency collection services: The bank serving the payer charges a service fee from the domestic payer customer for receiving, processing foreign collections and making payments (transfers) to foreign parties;

4.For other payment services: Banks may directly negotiate with customers needing such services to determine the fee collection and payment units on a voluntary basis without affecting the interests of related parties.

Article 10Collection and payment of payment service fees between banks and customers.

1.Between credit institutions and customers: Credit institutions can collect payment service fees in two ways:

a)Collecting once when the credit institution performs payment services: applicable to customers who do not frequently transact with the credit institution. In this case, the credit institution must immediately provide the fee receipt to the customer according to current regulations;

b)Collecting periodically through a contract agreed upon between the credit institution and the customer: At the end of the agreed period, the credit institution prepares an account statement of the customer's completed payment transactions as the basis for calculating the payable service fees, and can proactively prepare deduction vouchers from the customer's account to collect the service fees and must send a debt notice to the customer. If the customer delays payment of the service fee beyond the agreed deadline, they may be subject to late payment penalties under the current payment regulations.

2.Between the State Bank and credit institutions and Treasury: Monthly reconciliation, the State Bank prepares an account statement of the customer's payment transactions processed through the State Bank to calculate the payable service fees, and can proactively prepare deduction vouchers from the customer's deposit account to collect the service fees and must send a debt notice to the customer according to regulations.

Article 11.Collection and payment of payment service fees between credit institutions.

1.Between units of credit institutions within the same system (branch offices and branches): The collection and payment (regulation) of payment service fees between units of credit institutions within the same system are regulated by the General Director (Director) of the credit institution for its own system.

2.Credit institutions may directly negotiate with each other regarding the collection and payment of service fees for direct transactions or transactions received through settlement organized (led) by the State Bank.

Article 12.Currency and documents used in the collection of payment service fees.

1.Currency used in the collection of payment service fees:

a)For domestic payment services conducted in Vietnamese Dong: The currency used to pay payment service fees is Vietnamese Dong;

b)For payment services with foreign countries or domestic payments permitted in foreign currencies: Customers may pay in US Dollars (USD) or Vietnamese Dong (VND) or other foreign currencies according to agreements with their servicing banks and in compliance with foreign exchange management laws.

2.Documents used in the collection of payment service fees: Banks must comply with the current accounting document regulations for banks and credit institutions issued by the Governor of the State Bank.

a)State Bank payment service fee receipts do not include tax elements;

b)Credit institution payment service fee receipts must comply with current regulations of the Ministry of Finance regarding invoices and value-added tax documents.

Article 13.Handling violations.

Organizations and individuals violating the provisions of this Regulation shall be disciplined or administratively sanctioned depending on the nature and extent of the violation; if damage is caused, compensation must be provided according to the law.

III. IMPLEMENTATION PROVISIONS

Article 14.Amendments and supplements to this Regulation shall be decided by the Governor of the State Bank.