THE STATE BANK
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom Happiness
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No: 01/2003/TT-NHNN
Hanoi, January 28, 2003
 CIRCULAR
GUIDING THE DEBT-MATURITY ADJUSTMENT, DEBT-MATURITY EXTENSION AND OVERDUE DEBT CONVERSION, APPLICABLE TO FINANCIAL LEASING ACTIVITIES
According to Article 42 of the Government's Decree No. 16/2001/ND-CP of May 2, 2001 on the organization and operation of financial leasing companies, the financial-leasing activities are characterized by medium- and long-term credit activities; the State Bank of Vietnam hereby guides financial leasing companies to make debt-maturity adjustment, debt maturity extension and overdue debt conversion, applicable to financial leasing activities, as follows:
1. Financial leasing companies shall consider and decide on the debt-maturity adjustment, debt maturity extension and conversion of overdue debts of financial-leasing money, applicable to financial leasing contracts with agreement on the lessees' repayment of financial-leasing principals and interests within the same term (principal and interest are aggregated) as follows:
a/ If the financial lessees cannot pay financial leasing debts within the term already agreed upon in the financial-leasing contracts and request in writing the adjustment of debt maturity, the financial leasing companies shall consider and decide on the adjustment of financial-leasing debt maturity. In cases where the lessees do not make written requests for the adjustment of debt maturity, or the adjustment of financial-leasing debt maturity is not approved by financial leasing companies, the financial leasing companies shall convert the whole debit balance amount of actual remaining financial-leasing money of such financial leasing contracts into overdue debts.