Banks "rush" to publicly announce lending interest rates before April 1

Leading the way in publicly disclosing lending interest rates is the Bank for Investment and Development of Vietnam ( BIDV ), one of the Big4 banks. Accordingly, the bank published information on its website regarding the average lending interest rate for March, which was 6.49% per annum. This rate represents a difference of 3.12% per annum compared to the average deposit interest rate at the bank.

Previously, some banks had also announced their average lending interest rates. However, each bank announced them differently.

Specifically, Tien Phong Commercial Joint Stock Bank ( TPBank ) also announced an average lending interest rate of 7.76% per year. Accordingly, the average lending interest rate for individual customers is 8.85% per year and for corporate customers is 7.34% per year.

Vietnam International Commercial Bank ( VIB ) publicly announces its base lending interest rates, but these are not listed collectively; instead, they are broken down by loan purpose and disbursement period. Accordingly, if a loan is for the same purpose but disbursed in 2024, the base interest rate will be lower than in previous years.

Specifically, the base interest rate is 9% per year for real estate loans disbursed in 2024, but if disbursed from 2023, the interest rate is 10% per year; the base interest rate is 11% per year if disbursed from 2019-2022, and 11.5% per year if disbursed before 2019.

The base interest rate will be 10% per annum for auto loans if disbursed in 2024, and 11.5% per annum if disbursed before 2019. For business loans under 12 months, the base interest rate will be 8.5% per annum if disbursed in 2024, and 8.8% per annum if disbursed from 2023 onwards.

The base lending interest rate applicable to the entire Asia Commercial Bank ( ACB ) system from October 2, 2023, is 8.7% per annum. However, ACB also notes that this base interest rate only applies to loans with interest rates at the refinancing period calculated according to the bank's lending interest rate schedule.

Some banks apply different interest rates based on the loan term. For example, Vietnam Maritime Commercial Bank (MSB ) is implementing a 3,000 billion VND green credit package with interest rates starting from 4.3%/year for short-term loans and from 6.8%/year for medium and long-term loans.

For example, at Saigon - Hanoi Commercial Joint Stock Bank ( SHB ) , interest rates start from 6.39%/year for short-term loans and 5.79%/year for medium- and long-term loans applicable to individual customers.

At Saigon Thuong Tin Commercial Joint Stock Bank ( Sacombank ) , the base interest rate for VND loans is 4.2%/year for terms of 1-3 months, 5.6%/year for terms of 4-6 months, 7.7%/year for terms of 10-12 months, and 8.5%/year for medium and long-term loans.

In addition, foreign banks such as Maybank Hanoi and Ho Chi Minh City, First Commercial Bank Hanoi, Hong Leong, FE Credit, etc., have also announced their average lending interest rates.

At the Conference on the Implementation of Monetary Policy in 2024, focusing on removing difficulties for production and business, promoting growth and stabilizing the macroeconomy, the Prime Minister continued to emphasize the need to strengthen transparency in credit activities, particularly noting that credit institutions must publicly disclose the average lending interest rate.

In accordance with the Government's policy, the State Bank of Vietnam (SBV) has requested credit institutions to send the link to the section publishing interest rates to the SBV before April 1st. If the link changes, it must be updated within two working days .

Source: https://www.nguoiduatin.vn/ngan-hang-ruc-rich-cong-khai-lai-suat-cho-vay-truoc-1-4-a654675.html