Hai Duong records no loans for proofs of funds

Inspectors of the State Bank of Vietnam’s Hai Duong branch have not found any cases of making loans for proofs of funds (illustrative image)

No loans for proofs of funds had been detected in Hai Duong province by July 26, according to the Inspectorate of the State Bank of Vietnam (SBV)’s Hai Duong branch.

Inspectors had checked 100 credit institutions, including 27 bank branches across the province, before coming up with the conclusion.

They did not find any cases of making loans to help borrowers demonstrate their financial ability to work or study abroad in the form of borrowing money to make deposits or mortgaging foreign currency passbooks to borrow Vietnamese dong for saving.

The SBV issued Circular 06/2023/TT-NHNN dated June 28, 2023 amending and supplementing a number of articles of Circular 39/2016/TT-NHNN dated December 30, 2016 regulating credit institutions’ loans.

Circular 06 provides many new rules on lending, including the banning of banks from lending customers to make a deposit as a proof of funds.

HA KIEN