DECISION

ON THE AMENDMENT OF SOME PROVISIONS OF THE REGULATION ON THE EXCHANGE OF THE EXPIRED PAYMENT NOTES ISSUED IN CONJUNCTION WITH THE DECISION NO. 324/1999/QD-NHNN6 DATED 15 SEPTEMBER, 1999

THE GOVERNOR OF THE STATE BANK OF VIETNAM

Pursuant to the Law on the State Bank of Vietnam No. 01/1997/QH110 dated 12 December, 1997;
Pursuant to the Decree of the Government No. 15-CP dated 02 March, 1993 on the assignment, authority and responsibility for the State management of the ministries and ministry-level agencies;
Pursuant to the Decree No. 91-CP dated 25 November, 1993 of the Government on the organization of the non-cash payment;
Upon proposal by the Director of the Issuing and Vault Department,

DECIDES

Article 1.

To amend, supplement some provisions of " the Regulation on the exchange of the expired payment notes " issued in conjunction with the Decision No. 324/1999/QD-NHNN6 dated 15 September, 1999 of the Governor of the State Bank as follows:

1. Article 3 is amended as follows:

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2. Article 5 is amended as follows:

"Article 5. For payment notes which have expired for a period of less than one year:

The Banking Operation Department of the State Bank of Vietnam, State Bank branches in provinces and cities shall be responsible for the receipt, verification and exchange without any further procedure of application if the payment notes are determined to satisfy exchange requirements".

3. Article 6 is amended as follows:

"Article 6. For payment notes which have expired for a period of more than one year:

1. Customers shall submit an application for exchange of the expired payment notes in accordance with the Appendix 1 attached to this Regulation to State Bank branches in provinces or cities in their respective location or the Banking Operation Department of the State Bank of Vietnam.

2. State Bank branches in provinces or cities, the Banking Operation Department of the State Bank of Vietnam shall receive applications for exchange of the expired payment notes from customers (but not accept the payment notes) and submit a monthly report to the State Bank of Vietnam (the Issuing and Vault Department) in accordance with the pro-forma G06 of the Decision No. 516/2000/QD-NHNN1 dated 18 December, 2000 of the Governor of the State Bank of Vietnam.

3. Within 15 days from the date of receiving reports from State Bank branches in provinces or cities, the Banking Operation Department of the State Bank of Vietnam, the Issuing and Vault Department shall consolidate and verify (types of the payment note, their expiry dates, the serial number of the issues), reconcile the number of payment notes which are issued with those which are withdrawn in order to

a. To directly deal with payment notes which have expired for a period of more than 1 year and up to 3 years.

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4. The Issuing and Vault Department of the State Bank of Vietnam shall inform State Bank branches in provinces, cities, the Banking Operation Department of the results in writing which are used as the basis for the exchange. Within 5 working days from the date of receiving the notice at the latest, State Bank branches in provinces, cities, the Banking Operation Department of the State Bank of Vietnam shall conduct the exchange or inform customers of reasons for non-acceptance".

4. Article 7 is amended as follows:

"Article 7.

1. For sub-standard payment notes, State Bank branches in provinces, cities, the Banking Operation Department shall receive, verify and exchange for customers in accordance with current provisions of the State Bank of Vietnam on the receipt and exchange of sub-standard paper money (However, payment notes formed from two parts of different series shall not be accepted for exchange).

2. Payment notes which are sub-standard for circulation and have expired shall be received and exchanged in accordance with provisions of paragraph 1 of this Article and subject to fee payment in accordance with provisions of the Article 8 of this Regulation".

5. Article 8 is amended, supplemented as follows:

"Article 8.

1. Fees for exchange of the expired payment notes shall be calculated as a percentage of the total value of respective expired payment notes that are accepted for payment as follows:

- For expired payment notes which have expired for a period of 1 to 15 days (except the payment notes which are received in accordance with the Article 2 of this Regulation), the fee shall be 0,5%.

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- For the expired payment notes which have expired for a period of 1 month to 2 months, the fee shall be 1.5%.

- For the expired payment notes, which have expired for a period of 2 months to 3 months, the fee shall be 2%.

- For the expired payment notes, which have expired which have expired for a period of 3 months to 6 months, the fee shall be 3%.

- For the expired payment notes, which have expired for a period of 6 months to 1 year, the fee shall be 4%.

- For the expired payment notes, which have expired for a period of more than 1 year, the fee shall be 5%.

2. State Bank branches in provinces, cities, the Banking Operation Department shall collect further 1% of the total value of expired payment notes that have been accepted for payment for cases provided for in Article 7 of this Regulation".

6. To replace the Appendix No. 1 attached to the Decision No. 324/1999/QD-NHNN6 dated 15, September with the Appendix No. 1 attached to this Regulation.

Article 2. This Decision shall be effective after 15 days from the date of signing.

Article 3. The Director of the Administrative Department; the Director of the Issuing and Vault Department; the Director of the Finance and Accounting Department; the Director of the General Control Department; Heads of relevant units of the State Bank; General Managers of State Bank branches in provinces, cities; the Director of the Banking Operation Department; General Directors (Directors) of credit institutions shall be responsible for implementation of this Decision.

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FOR THE GOVERNOR OF THE STATE BANK
DEPUTY GOVERNOR




Nguyen Thi Kim Phung

APPENDIX 1

SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom – Happiness
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APPLICATION

FOR THE EXCHANGE OF THE EXPIRED PAYMENT NOTES

To:-------------------------------

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Address:-------------------------------------------------------------------------------------------

Personal identification:--------------------------------------------------------------------------

Type of payment notes:-------------------------------------------------------------------VND

The expiry date:----------------------------------------------------------------------------------

Number of the note: -----------------------------------------------------------------------------

Serial number:------------------------------------------------------------------------------------

The value of the payment notes:---------------------------------------------------------VND

(in words)-----------------------------------------------------------------------------------------

Reasons causing the expiry:--------------------------------------------------------------------

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Date:--------------------

Applicant
(Sign, full name)