Vietnam: The Payment Center shall operate independently from members of the Goods Exchange

According to Decree No. 158/2006/NĐ-CP of Vietnam’s Government, the Center for payment for goods purchase and sale through the Goods Exchange (hereinafter referred to as the Payment Center for short) means an organization functioning to provide payment services for goods purchase and sale through the Goods Exchange. The Goods Exchange may establish its attached payment center or authorize a credit institution to function as a payment center. Concurrently, the Payment Center shall operate independently from members of the Goods Exchange.

Thus, Decree No. 158/2006/NĐ-CP stipulated rights and obligations of the Payment Center as follows:

Rights of the Payment Center

- To request parties involved in the goods purchase and sale through the Goods Exchange to perform the payment security obligations.

- To collect the payment service charge.

- If a member is insolvent to pay at the request of the Payment Center for performing the obligations related to goods purchase and sale through the Goods Exchange, the Payment Center may retain all collateral amounts and documents on delivery and receipt of goods and other assets, regardless of whether those assets are owned by that member or its customers.

- Other rights provided for by law on payment service provision and this Decree.

Obligations of the Payment Center

- To keep collaterals of members and documents related to transactions.

- To ensure accurate payment for transactions.

- To notify accurately and promptly information on accounts of members.

- To perform obligations related to information confidentiality.

- Other obligations specified by law on payment service provision and this Decree.

View more details at Decree No. 158/2006/NĐ-CP of Vietnam’s Government, effective from January 22, 2007.

Ty Na

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