How much are the loan interests offered to employees taking loans from the National Employment Fund of Vietnam? How long is the loan term?
How long is the loan term of the National Employment Fund of Vietnam?
Pursuant to Article 25 of Decree 61/2015/ND-CP (amended by Clause 3, Article 1 of Decree 74/2019/ND-CP) stipulating the loan term from the National Employment Fund, specifically as follows:
Loan term
Loans shall be offered for a maximum period of 120 months. The specific loan term shall be subject to the consideration and agreement between VBSP and the borrower according to fund sources, business cycle and solvency of that borrower
Accordingly, loans shall be offered for a maximum period of 120 months.
The specific loan term shall be subject to the consideration and agreement between VBSP and the borrower according to fund sources, business cycle and solvency of that borrower,
How much are the loan interests offered to employees taking loans from the National Employment Fund of Vietnam? How long is the loan term?
How much are the loan interests offered to employees taking loans from the National Employment Fund of Vietnam?
Pursuant to Article 26 of Decree 61/2015/ND-CP (amended by Clause 4, Article 1 of Decree 74/2019/ND-CP) stipulates as follows:
Loan interests
1. The interest rate on a loan offered to any of the entities defined in Clause 1 Article 12 of the Law on employment shall be same as that on the loan granted to a near-poor household as regulated in the law on credits granted to near-poor households.
2. With regard to those prescribed in Clause 2 Article 12 of the Law on employment, the loan interest shall equal (=) 50% of the interest prescribed in Clause 1 of this Article.
3. The overdue interest shall equal (=) 130% of the loan interest prescribed in Clause 1 and Clause 2 of this Article.
Accordingly, The interest rate on a loan offered to any of the entities shall be same as that on the loan granted to a near-poor household as regulated in the law on credits granted to near-poor households.
For ethnic minorities living in areas with extremely difficult socio-economic conditions, people with disabilities, the loan interest rate is 50% of the loan interest rate for near-poor households according to the provisions of law. Law on credit for near-poor households.
Overdue debt interest rate is 130% of loan interest rate.
What are the regulations on assessment and approval for application for loans in Vietnam?
Pursuant to Article 29 of Decree 61/2015/ND-CP stipulates as follows:
Assessment and approval for application for loans
1. With respect to a project for which the fund source is managed by the People's Committee of province:
a) Within 10 working days, from the date on which the application for loans is received, the local VBSP shall assess and submit it to the President of People’s Committee of district where the project is executed for approval;
b) Within 05 working days, from the date on which the application for loans is received, the President of People’s Committee of district where the project is executed shall consider approving. If the application is rejected, they must provide explanation in writing for the local VBSP.
2. With respect to a project for which the fund source is managed by an organization in charge:
a) Within 10 working days, from the date on which the application for loans is received, the local VBSP shall assess and submit it to the Head of provincial agency of the organizations in charge for approval;
b) Within 05 working days, from the date on which the application for loans is received, the Head of provincial agency of the organizations in charge shall consider approving. If the application is rejected, they must provide explanation in writing for the local VBSP.
Accordingly, the assessment and approval for application for loans
- With respect to a project for which the fund source is managed by the People's Committee of province:
+ Within 10 working days, from the date on which the application for loans is received, the local VBSP shall assess and submit it to the President of People’s Committee of district where the project is executed for approval;
+ Within 05 working days, from the date on which the application for loans is received, the President of People’s Committee of district where the project is executed shall consider approving. If the application is rejected, they must provide explanation in writing for the local VBSP.
- With respect to a project for which the fund source is managed by an organization in charge:
+ Within 10 working days, from the date on which the application for loans is received, the local VBSP shall assess and submit it to the Head of provincial agency of the organizations in charge for approval;
+ Within 05 working days, from the date on which the application for loans is received, the Head of provincial agency of the organizations in charge shall consider approving. If the application is rejected, they must provide explanation in writing for the local VBSP.
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