Validity period and content of the Declaration of Commitment for issuing a guarantee letter in Vietnam from December 10, 2024

Validity period and content of the Declaration of Commitment for issuing a guarantee letter in Vietnam from December 10, 2024

The validity period and content of the declaration of commitment for issuing a letter of guarantee in Vietnam are stipulated as follows:

- The document of commitment to issue a letter of guarantee is effective from the time of signing until the completion of the issuance of the letter of guarantee before the deadline for the handover and receipt of the house as committed in the contract for purchase, rental-purchase of the house, or when the guarantee agreement expires (whichever comes first);

- The document of commitment to issue a letter of guarantee must include the following contents:

+ Information about the guarantor, the investor;

+ Validity of the document;

+ Information on the guaranteed project or the part of the project being guaranteed (if only a part of the project is guaranteed);

+ The guarantor's commitment to issuing a letter of guarantee for all buyers choosing the guarantee within the investor's project accepted for guarantee by the guarantor;

+ The financial obligations of the investor to the buyer guaranteed by the commercial bank or foreign bank branch are the amounts the investor is obligated to pay the buyer when the investor fails to hand over the house on time as committed in the signed house purchase, rental-purchase contract, including: The amount received in advance by the investor from the buyer after the buyer has received the guarantee letter from the guarantor, and any other amounts (if any) that the investor is obligated to pay the buyer according to the agreement in the signed house purchase, rental-purchase contract;

+ The documents submitted by the buyer to the guarantor requesting the fulfillment of the guarantee obligation must be accompanied by the guarantee letter issued by the commercial bank or foreign bank branch to the buyer.

Refer to detailed content in Circular 49/2024/TT-NHNN (effective from December 10, 2024_.

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