From July 01, 2024, what are the transaction limits of payment agency activities in Vietnamese dong according to Circular 07/2024/TT-NHNN?
From July 01, 2024, what are the transaction limits of operation of payment agents in Vietnamese dong according to Circular 07/2024/TT-NHNN?
Based on Article 5 of Circular 07/2024/TT-NHNN regulating transaction limits for operation of payment agents in Vietnamese dong
- The principal agent must have measures to manage balances and transaction limits of the agent, which is another organization, including:
+ Transaction limits (including cash deposit and withdrawal transactions) for individual customers, up to 20 million VND/customer/day;
+ The agent is only allowed to perform transactions for customers within the balance of the payment account to perform the assigned agency tasks of the agent opened at the principal agent as regulated in clause 4, Article 7 of Circular 07/2024/TT-NHNN and each payment agency point can transact up to 200 million VND/day and a maximum of 5 billion VND/month.
- The transaction limit of the agent being a commercial bank, cooperative bank, foreign bank branch, people's credit fund, microfinance institution is according to the agreement between the principal agent and the agent.
From July 01, 2024, what are the transaction limits of operation of payment agents in Vietnamese dong according to Circular 07/2024/TT-NHNN? (Internet image)
How are the operation of principals and agents in operation of payment agents?
Based on Article 6 of Circular 07/2024/TT-NHNN regulating the operation of principals and agents in Vietnam
- The implementation of agency activities, being an agent of a commercial bank, cooperative bank, foreign bank branch, people's credit fund, microfinance institution must be consistent with the contents recorded in the Establishment and Operation License or the Establishment License or the Decision regulating the organization and operation of the competent authority and the documents amending and supplementing the License, Decision (if any).
- The people's credit fund is allowed to act as an agent for the cooperative bank regarding the members and customers of that people's credit fund.
- The microfinance institution is allowed to act as an agent for the bank regarding the customers of that microfinance institution.
- Other organizations which are legally established enterprises are allowed to act as agents according to the agreement with the principal agent.
- Commercial banks, cooperative banks, foreign bank branches, microfinance institutions can act as agents for multiple principal agents. Other organizations can only act as agents for one principal agent.
What are the principles of carrying out payment agent operation in Vietnam?
Based on Article 7 of Circular 07/2024/TT-NHNN regulating the principles of carrying out payment agent operation in Vietnam:
- Operation of payment agents must be established through a written agreement between the principal agent and the agent according to this Circular and other relevant legal regulations.
- The principal agent is allowed to assign the agent to perform the tasks regulated in Article 4 of Circular 07/2024/TT-NHNN and consistent with the contents recorded in the Establishment and Operation License or the Establishment License or the Decision regulating the organization and operation of the competent authority and the documents amending and supplementing the License, Decision (if any) of the principal agent, the agent being a credit institution, foreign bank branch.
- The agent is not allowed to delegate the agency to a third party.
- When performing tasks specified in clause 3, Article 4 of Circular 07/2024/TT-NHNN, the agent being another organization must open and maintain a payment account at the principal agent to perform the assigned tasks within the balance agreed upon by the principal agent and the agent; this payment account must be separate from the payment accounts serving other activities and purposes of the agent opened at the principal agent.
- The principal agent collects fees from customers through the agent according to the fee schedule set by the principal agent in each period. The principal agent and the agent are not allowed to collect any additional fees outside the fee schedule set and announced by the principal agent.
The service fee schedule of the principal agent must clearly state the types of fees, the fee levels applicable to each type of service, in accordance with legal regulations, and be publicly listed at payment agency points and on the agent's website (if any).
- The principal agent and the agent must commit to customer information confidentiality in accordance with the Law on Credit Institutions, guiding documents, and other relevant legal regulations.
- The principal agent is allowed to sign payment agency contracts with other organizations nationwide. The number of payment agency points of other organizations must ensure that the number of payment agency points in district-level areas (excluding urban districts, district-level towns, provincially-affiliated cities, centrally-affiliated cities) in provinces, centrally affiliated cities accounts for over 70% of the number of payment agency points of the principal agent.
- Payment agency points which are credit institutions, foreign bank branches are decided by the principal agent based on the principal agent's management capacity;
The number of payment agency points of credit institutions, foreign bank branches is decided by the credit institution, foreign bank branch based on the network of the credit institution, foreign bank branch.
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