Circular 03/2020/TT-NHNN: New Regulations on Counting and Destroying Cash

Circular 03/2020/TT-NHNN stipulates the procedures for money destruction counts as follows:

Illustrative image (Source: Internet)

Step 1: Based on the documents for the withdrawal of money for destruction, the cash vault management team withdraws the money and hands it over from Team 1 to Team 2 under the supervision of the internal control of the Issuance and Treasury Department.

Step 2: The Team Leader of Team 2 receives the sealed packages (boxes) with intact seals, with the full, clear elements on the sealing paper as per the regulations on cash sealing by the State Bank of Vietnam, and hands them over to each cash controller under the supervision of the Supervisory Council as follows:

- Delivery and receipt are performed in bundles of 10 packs (paper money), bags (coin money) with intact seals, with the sealing paper recording all the elements as per the regulations on cash sealing. For non-circulating deformed money: it is received in sealed bags, packages according to the packaging and sealing standards for deformed money.- For bundles (bags) of money with less than 1,000 notes (units), odd bundles, or odd bags, delivery and receipt are performed in intact sealed bundles (bags) with the full required information on the sealing paper.

Step 3: After receiving the required number of bundles (bags) from the Team Leader, the cash controller signs the internal money transaction record book, and proceeds to count the money to determine the number of notes (units), identifying any surplus, deficit, mixed denominations, counterfeit money, and money fit for circulation. If the bundle (bag) of money has the correct number of notes (units) and the correct denominations as recorded on the seal, the seal paper is destroyed immediately and the bundle (bag) is re-bundled (bagged) and resealed.

Regarding the standards for bundling (bagging) banknotes and coins after counting notes (units).

- For paper money: use 01 (one) banknote from the pack to fold the pack of money, arrange 10 (ten) packs of the same type into 01 (one) bundle, use string (twine, nylon...) to tightly tie 02 (two) horizontal loops, 01 (one) vertical loop around the bundle of money, place the seal on the side with the knot of the bundle. For deformed paper money that cannot be bundled as above: place into 01 (one) fabric bag containing 1,000 notes, tightly tie the mouth of the bag with string (twine, nylon...), and affix the seal close to the tied knot of the bag.- For coin money: place into fabric bags containing 1,000 units, tightly tie the mouth of the bag with string (twine, nylon...), and affix the seal close to the tied knot of the bag. Coin money bags are placed in boxes and sealed according to standards:

- 01 box of 5,000 VND denomination: 50 bags;- 01 box of 2,000 VND, 1,000 VND, 500 VND denominations: 75 bags;- 01 box of 200 VND denomination: 100 bags;

- When placing seal paper on the bags, bundles (boxes), the string ends must be separated. The seal on the bags (boxes), bundles (bags) must record the full elements of the date, month, year of counting, type of money, number of notes (units), total amount, names, and signatures of the persons counting.

Step 4: During counting, if surplus, deficit, mixed denominations, counterfeit money, money fit for circulation are found in the money bundles (bags), the cash controller reports to the official supervising the count of the Supervisory Council, the Team Leader, or the staff responsible for monitoring and handling surplus, deficit money and witnesses (if any) to check and sign the back of the seal paper on the bundle (bag) in question, and also sign the log for monitoring surplus and deficit money during counting.

Step 5: Staff responsible for monitoring and handling surplus, deficit money of Team 2, authorized by the Destruction Council, are advanced a sum of money from the amount received from Team 1 for each denomination to compensate for the deficient bundles (bags) of notes (units), mixed denominations, money fit for circulation, counterfeit money. The advanced amount is recorded in a log for daily tracking, supervised by the Supervisory Council, and stored in the destruction vault. The remaining advanced money is destroyed on the last day of destroying the same denomination money.

Step 6: Safeguarding money during breaks and lunch hours

Before break times and lunch hours, the bundles (bags) of money being counted are temporarily bundled (bagged) with string (twine, nylon, rubber bands...); counted and uncounted money bundles (bags) are arranged separately and neatly.The counting room door must be locked and sealed with signatures of the Team Leader of Team 2 and the official supervisor of the Supervisory Council.

Step 7: End of workday procedure

- The cash controller hands back to the Team Leader of Team 2 the counted money, any uncounted money of the day (if any) and signs the internal money transaction record book. The Team Leader of Team 2 organizes the boxing (bagging), sealing, or arranging in locked mesh trucks, sealed with the signatures of the Team Leader of Team 2 and the Counting Supervision Team Leader to be stored in the destruction vault. Transactions between the cash controller and the Team Leader of Team 2 may occur multiple times a day.- Create a report verifying and summarizing surplus, deficit money in the bundles (bags) for destruction for each State Bank branch of province, city, the State Bank's Transaction Office, each credit institution, and the State Treasury in the locality along with a sealed inventory and surplus, deficit bundle (bag) seal papers. A separate report is created for counterfeit money found during counting and handled as per regulations.- The Team Leader of Team 2 creates a report confirming the counting results for destruction money, specifying the total counted amount, uncounted money, surplus, deficit, mixed denominations, money fit for circulation mixed into the destruction money, counterfeit money found during counting, signed by the Counting Supervision Team Leader.- Mixed denominations, counterfeit money, money fit for circulation are logged, supervised by the Supervisory Council, and stored in the destruction vault.- The counting room door must be locked and sealed with signatures of the Team Leader of Team 2 and the official supervisor of the Supervisory Council.

See details at: Circular 03/2020/TT-NHNN effective from May 15, 2020.

Thu Ba

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