From July 1, stop all business account transactions without biometrics

The legal representative of the organization can also perform biometric verification at the counter. Photo: NAM KHÁNH

According to the provisions of Point c, Clause 5, Article 17 of Circular 17/2024/TT-NHNN, the regulation on mandatory verification of identification documents and biometrics of legal representatives when conducting transactions by electronic means will take effect from July 1, 2025.

However, in order to be prepared and avoid service interruptions, many banks have proactively requested customers to conduct reconciliation before this time.

To avoid interruptions in the use of electronic payment accounts, banks have sent notices to corporate and organizational customers opening payment accounts; requiring corporate and organizational customers to verify the identity documents and biometric information of the legal representative before July 1.

After this period, if the customer has not completed the above content, the bank will temporarily suspend the provision of payment/withdrawal services from payment accounts by electronic means to ensure compliance with the regulations of the State Bank.

The legal representative can perform biometric and identity document verification directly on the banking application. After logging in, the system will display a request to synchronize saved information.

In case the legal representative is an individual customer whose biometrics have been compared, the system will display a request to synchronize information.

After clicking “Agree”, the representative needs to authenticate the OTP and authenticate the transaction, completing the reconciliation.

In case the legal representative has never had biometric authentication and matched the identity document and biometrics, it is necessary to take additional steps to take photos of the front and back of the citizen identification card; take a photo of the face according to the instructions; place the citizen identification card on the phone camera according to the instructions.

After the above steps, the system will check the identity document information and biometrics to synchronize the information; the user needs to do the final step of authenticating the transaction.

In addition, the legal representative of the enterprise or organization can collect biometric information at the nearest bank transaction office.

Circular 17 takes effect from July 1, 2024, except for some provisions, including the provision at Point c, Clause 5, Article 17 which will take effect from July 1, 2025.

Point c, Clause 5, Article 17 of Circular 17/2024/TT-NHNN takes effect from July 1.
Withdrawals and electronic payment transactions on payment accounts may only be made after the verification of identity documents and biometric information of the account owner or representative (for individual customers) or legal representative (for institutional customers) has been completed and matched with:
(i) The biometric data stored in the encrypted information storage unit of the citizen identification card or the identity card of that person has been accurately authenticated as being issued by the police agency or through authentication of that person's electronic identification account created by the Electronic Identification and Authentication System; or
(ii) Biometric data is collected through a face-to-face meeting with that person in the case of a foreigner who does not use an electronic identity or a Vietnamese person whose nationality has not been determined; or
(iii) Biometric data has been collected and checked (ensuring the correct match between the person's biometric data and the biometric data in the encrypted information storage of the citizen identification card or the identity card has been accurately authenticated as being issued by the police agency or with the person's biometric data through the authentication of the electronic identification account created by the Electronic Identification and Authentication System); or
(iv) That person's biometric data is stored in the National Population Database in case of using a citizen identification card without an encrypted information storage unit.

VN (according to Vietnamnet)

Source: https://baohaiduong.vn/tu-1-7-dung-moi-giao-dich-tai-khoan-doanh-nghiep-neu-chua-sinh-trac-hoc-412256.html