Vietnam’s new regulations on purchase of bad debts at market value

This is a notable content of Circular No. 09/2017/TT-NHNN amending Circular No. 19/2013/TT-NHNN on purchase, sale and settlement of bad debts by Vietnam Asset Management Company (VAMC).

According to Circular No. 09/2017/TT-NHNN of the State Bank of Vietnam, VAMC may only purchase a bad debt specified in Point a of Clause 7a Article 3 of Circular No. 19/2013/TT-NHNN after the following tasks are completed:

- Determining whether the bad debt satisfies all of the conditions in Clause 1 Article 23 of Circular No. 19/2013/TT-NHNN;

- Determining the market price of the bad debt, including collateral for such bad debt. VAMC shall valuate the bad debt itself or hire an independent organization to do it;

- Analyzing and assessing the efficiency, risks, and probability of capital recovery;

- Analyzing and assessing the status and potential of the bad debt, the borrower, the guarantor, debt payer, and conditions for buying the bad debt agreed with the debt-selling credit institution;

- Feasible plans for settling the debt and its collateral.

View full text at Circular No. 09/2017/TT-NHNN of the State Bank of Vietnam, effective from August 15, 2017.

- Thanh Lam -

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE

27 lượt xem



Related Document
  • Address: 19 Nguyen Gia Thieu, Vo Thi Sau Ward, District 3, Ho Chi Minh City
    Phone: (028) 7302 2286
    E-mail: info@lawnet.vn
Parent company: THU VIEN PHAP LUAT Ltd.
Editorial Director: Mr. Bui Tuong Vu - Tel. 028 3935 2079
P.702A , Centre Point, 106 Nguyen Van Troi, Ward 8, Phu Nhuan District, HCM City;