| THE STATE BANK OF VIETNAM ------- No. 32/2012/TT-NHNN | SOCIALIST REPUBLIC OF VIETNAM Independence - Freedom - Happiness --------------- Hanoi, December 21, 2012 |
CIRCULAR
ON THE MAXIMUM RATES OF INTEREST ON THE DEPOSITS IN VND OF ORGANIZATIONS AND INDIVIDUALS IN CREDIT INSTITUTIONS AND BRANCHES OF FOREIGN BANKS
Pursuant to the Law on the State bank of Vietnam No. 46/2010/QH12 dated June 16th 2010;
Pursuant to the Law on credit institutions No. 47/2010/QH12 dated June 16th 2010;
Pursuant to the Government's Decree No. 96/2008/NĐ-CP on August 26th 2008, defining the functions, tasks, powers and organizational structure of the State bank of Vietnam;
At the proposal of the Director of the Financial Policy Department;
The Governor of the State bank of Vietnam promulgate a Circular on the maximum rates of interest on the deposits in VND of organizations and individuals in credit institutions and branches of foreign banks,
Article 1. The credit institution and branches of foreign banks shall apply the rates of interest on the deposits in VND of organizations (except for credit institutions and branches of foreign banks) and individuals, including the expenditure on promotion in any shape or form, in particular:
1. The maximum rate of interest on demand deposits and term deposits shorter than 1 month is 2% per year.
2. The maximum rate of interest on term deposits from 1 month to under 12 months is 8% per year; people's credit funds and microfinance institutions may apply the maximum interest rate of 8.5% of on the term deposits from 1 month to under 12 months.
3. Credit institutions and branches of foreign banks shall decide the rates of interest on the term deposits over 12 months based on the capital demand and supply.
4. Deposits includes demand deposits, term deposits, saving deposits, certificates of deposit, exchange bills, treasury bills, bonds, and other form of deposits made by organizations (except for credit institutions and branches of foreign banks) and individuals as prescribed in Clause 13 Article 4 of the Law on credit institutions.
Article 2. The maximum rates of interest on the deposits prescribed in Article 1 of this Circular is applicable to the interest paid at maturity and other methods of interest payment in the form of interest at maturity.
Article 3. Credit institution and branches of foreign banks shall post the rates of interest on deposits in VND at the locations where deposits are received as prescribed by the State bank of Vietnam. Credit institution and branches of foreign banks are prohibited to do sale promotion in any shape or form (by cash, interest rates, and other forms of sales promotion) that contradict laws and this Circular when receiving deposits:
