On Mar. 15, VIE CB proposed regulations re opening, use of accounts.
VIE CB drafted Regulations on opening and using payment accounts at payment service providers, which specifies regulations for individuals and organizations.
Follows VIE CB Apr. 2023 issued decree on detailed regulations re AML, see #180127.
Follows VIE CB dec. 2022 issued rules on new functions, tasks, powers, see #156590.
Overview of Proposal
Applies to payment service providers, including the VIE CB, commercial banks, policy banks, cooperative banks, foreign bank branches, as well as their customers.
Details various forms of payment accounts, including individual, organizational, joint accounts, and specifies conditions under which these accounts can be opened and used.
Discusses how interest is calculated on account balances, setting of interest rates.
Addresses conditions under which account owners can authorize others to use their accounts, including authorization documentation, restrictions on certain authorizations.
Outlines conditions under which accounts can be frozen and unfrozen, including in cases related to terrorism financing, proliferation of weapons of mass destruction.
Details procedures for handling complaints and disputes related to payment accounts.
Consultation End
Consultation is open and but no deadline set, targeted effectiveness date Jul. 1, 2024.
Jun. 2024 Regulations Published
On Jun. 28, 2024, VIE CB, VIE GVT issued circular 17/2024/TT-NHNN Regulations on opening and using payment accounts at payment service providers, and press release.
The regulations implement the proposals detailed above and take effect in accordance with article 23, largely on Jul. 1, 2024, subject to exceptions for specified provisions.
Documents dated Jun. 28, 2024, received from VIE CB Jul. 3, summarized on Jul. 7.
Aug. 2024 Implementation
On Aug. 18, 2024, VIE CB issued document no. 6768/NHNN-TT (dated Aug. 15), instructing banks and foreign bank branches to implement rules on opening payment accounts for customers, in accordance with circular 17/2024/TT-NHNN detailed above.
Credit institutions should review, check and update information on the account opening records of corporate customers, in particularly those accounts opened from Jun. 2024.
Firms should check and match identification documents and biometric information, implement all measures necessary to comply with circular 17/2024/TT-NHNN.
Dec. 2024 Biometric Information
On Dec. 13, 2024, VIE CB said customers must update biometric data to use digital payment services; transactions will only be allowed after biometric data is verified.
Biometric data includes unique identifiers like facial recognition, stored in chip-based citizen ID cards; citizens can update biometric data via bank mobile apps or branches.
Foreigners must visit bank branches with a valid passport; transactions of VND 10mn or more and daily transfers exceeding VND 20mn already require biometric verification.
The measures are effective from Jan. 1, 2025.
In Dec. 2024, VIE CB issued notice re payment operations at year-end, see #237115.
