Thông tư liên tịch 01/2014/TTLT-NHNN-BXD-BTP-BTNMT

JOINT CIRCULAR

PROVIDING INSTRUCTIONS ON PROCEDURES FOR MORTGAGING THE FUTURE-ACQUIRED HOUSES UNDER THE REGULATIONS SPECIFIED IN THE DECREE NO.71/2010/NĐ-CP DATED JUNE 23, 2010 OF THE GOVERNMENT ON DETAILING AND PROVIDING GUIDANCE ON THE ENACTMENT OF THE HOUSING LAW

Pursuant to the Civil Code in 2005;

Pursuant to the Housing Law No.56/2005/QH11 and the Law No.34/2009/QH12 on amending the Article 126 of the Law on Housing and Article 121 of the Land Law; the Law No.38/2009/QH12 on amending several provisions of the Laws regarding the infrastructure investment and construction;

Pursuant to the Law on real estate business in 2006;

Pursuant to the Law on Notarization in 2006;

Pursuant to the Law on the State Bank of Vietnam in 2010 and the Law on Credit Institutions in 2010;

Pursuant to the Land Law in 2003;

Pursuant to the Decree No.163/2006/NĐ-CP dated December 29, 2006 of the Government on the secured transactions and the Decree No.11/2012/NĐ-CP dated February 22, 2012 of the Government on amending several provisions of the Decree No.163/2006/NĐ-CP dated December 29, 2006 of the Government on carrying out secured transactions;

Pursuant to the Decree No.153/2007/NĐ-CP dated October 15, 2007 of the Government on providing instructions on the implementation of the Law on real estate business;

Pursuant to the Decree No.71/2010/NĐ-CP dated June 23, 2010 of the Government on providing instructions on the implementation of the Housing Law;

Pursuant to the Decree No.83/2010/NĐ-CP dated July 23, 2010 of the Government on the registration of secured transactions;

Pursuant to the Decree No.188/2013/NĐ-CP dated November 20, 2013 of the Government on the development and management of social houses;

Pursuant to the Government's Decree No. 156/2013/NĐ-CP dated November 11, 2013 defining the functions, tasks, powers and organizational structure of the State bank of Vietnam;

Pursuant to the Government's Decree No. 62/2013/NĐ-CP dated June 25, 2013 defining the functions, tasks, powers and organizational structure of the Ministry of Construction;

Pursuant to the Government's Decree No. 22/2013/NĐ-CP dated March 13, 2013 defining the functions, tasks, powers and organizational structure of the Ministry of Justice;

Pursuant to the Government's Decree No. 21/2013/NĐ-CP dated March 04, 2013 on defining functions, tasks, powers and organizational structure of the Ministry of Natural Resources and Environment;

The Governor of the State Bank of Vietnam, the Minister of Construction, the Minister of Justice, the Minister of Natural Resources and Environment, hereby promulgate the Joint Circular on providing instructions on procedures for mortgaging the future-acquired houses under the regulations specified in Clause 2 Article 61 of the Decree No.71/2010/NĐ-CP dated June 23, 2010 of the Government on providing instructions on the implementation of the Housing Law.

Chapter 1.

GENERAL PROVISIONS

Article 1. Governing scope

1. This Circular provides for the procedures for mortgaging the future-acquired houses (including the pledging process, mortgage notarization and registration) of the organizations, individuals to apply for a mortgage at credit institutions to purchase houses in the housing development projects, urban zone investment and construction projects (hereinafter referred to as residential property development project) of the real estate enterprises under the regulations specified in the Clause 2 Article 61 of the Decree No.71/2010/NĐ-CP dated June 23, 2010 of the Government on providing details and instructions on the implementation of the Housing Law (hereinafter referred to as the Decree No.71/2010/NĐ-CP)

2. This Circular is not applied to:

a) Pledging the future-acquired houses of family households and individuals as collateral, which are developed on their legally-owned lands to apply for a mortgage at credit institutions;

b) Pledging the property rights generated from the contract for the purchase and sale of future-acquired houses as collateral for a loan from credit institutions.

Article 2. Applicable entities

1. Organization or individual who purchases future-acquired houses in the residential property development projects owned by real estate businesses (including organization, individual as a transferee of the contract for the purchase and sale of houses) which are then pledged as collateral to purchase such houses or different ones in the residential property development projects developed by real estate businesses.

2. Credit institutions founded and put into operation as prescribed in the Law on Credit Institutions.

3. Real estate businesses that own future-acquired houses in the residential property development projects, which are sold to organization, individual eligible to have the title to houses in Vietnam as stipulated by laws.

4. Notary associations.

5. The registration office of land tenure affiliated to the Department of Natural Resources and Environment throughout centrally-affiliated cities and provinces; the registry of land tenure affiliated to the Division of Natural Resources and Environment throughout districts, towns and provincial cities; the Division of Natural Resources and Environment throughout districts, towns and provincial cities if the registry of land tenure affiliated to the Division of Natural Resources and Environment throughout districts, towns and provincial cities has yet to be founded (hereinafter referred to as the registry of land tenure).

6. The Center for the registration of transactions and properties affiliated to the Ministry of Justice’s national registration agency for secured transactions (hereinafter referred to as Center for transaction and property registration).

7. Other organizations, individuals regarding the use of future-acquired homes as collateral for the home mortgage as prescribed in this Circular.

Article 3. Interpretation of terms

In this Circular, terms are construed as follows:

1. Future-acquired house pledged as collateral means the house that organization or individual purchases from the real estate businesses who develop the residential property development projects at the period when the home mortgage is brought into effect and such a house is under construction as defined in the approved design and construction license (if required) or such a house has been completely built as prescribed in the construction laws but has yet to receive the Certificate of land tenure, house and fixture ownership (hereinafter referred to as Certificate).

2. Real estate business means an enterprise or a cooperative who is founded and runs their business in the real property sector under the regulations of the Law on Enterprise, the Law on Investment and the Law on Cooperatives as well as becomes the investor of residential property development projects or the purchaser of houses that other investors have developed to sell to customers.

3. Binding contract to pledge the future-acquired house as collateral (hereinafter referred to as the mortgage) means the written agreement between organization, individual stipulated in Clause 1 Article 2 of this Circular (briefly called mortgagor) and credit institutions stipulated in Clause 2 Article 2 of this Circular (mortgagee) which aims to determine, change or terminate rights and obligations of contracting parties in terms of the pledging of future-acquired house.

4. Scope of mortgagor’s obligations to mortgagee comprises loan amount (principal), interest, late payment interest and other charges incurred from the loan (if any) that has been mutually agreed under legal regulations.

5. Registration of future-acquired houses pledged as collateral means that competent authorities who carry out the registration of future-acquired houses used as collateral keep an account of the information regarding future-acquired houses pledged as collateral, give their statement on the registration of future-acquired houses in the application for the mortgage registration, including: first registration, registration of changes, registration of written notification of collateral settlement and cancellation of mortgage registration.

6. Transition of the registration of the future-acquired houses pledged as collateral, transition of the pledged property rights derivative of the contract for the purchase and sale of future-acquired houses means that the registry of land tenure certifies the registered contents of pledged houses in the cadastral book and supplementary page of the Transition Certificate and Request in the event that the mortgage registration of future-acquired houses pledged as collateral and pledged property rights derivative of the contract for the purchase and sale of future-acquired houses have been completed as stipulated in this Circular and legal regulations respectively but the mortgage registration is not removed by the date on which the Certificate is issued.

Article 4. Rules of pledging the future-acquired house as collateral

1. Credit institutions that accept the future-acquired house of organization, individual as collateral to take out a mortgage to purchase houses developed by real estate businesses must comply with the regulations specified in this Circular as well as other relevant laws.

2. The future-acquired house is eligible to be pledged as collateral only when it has met the pledging requirements as stipulated in Article 6 of this Circular.

3. Value of the future-acquired house pledged as collateral is agreed by both contracting parties on the basis of the residential property value defined at the moment of signing contracts for the house purchase and sale.

4. The mortgage must be notarized and proceed to carry out the secured transaction registration as regulated in the Circular.

5. Mortgagor is only allowed to put the future-acquired house up as collateral for the home mortgage granted by a credit institution to purchase the house in the residential property development projects owned by the real estate businesses.

6. If the future-acquired house has been pledged as collateral in the form of property right generated from the contract for the purchase and sale of the future-acquired house, it is not eligible to continue to be pledged at credit institutions as stipulated in this Circular. If the future-acquired house is pledged under the regulations specified in this Circular, it is not allowed to be accepted as collateral in the form of property right generated from the contract for the purchase and sale of that house.

7. If the residential property development projects have been pledged by the real estate businesses to fulfill their other civil obligations, these businesses are obligated to carry out the registration of changes to the registered pledging content (withdrawal of a part of the pledged property) prior to selling houses in these projects to organization or individual.

8. Before the Certificate is issued, the mortgagor and mortgagee can reach the agreement on modifying the contractual terms and conditions of the signed mortgage or enter into another new one.

9. Competent registry of the mortgage registration shall carry out the mortgage registration of the future-acquired house in the form of a record, which is based on the information that is clarified in the application form for the registration. The applicant for the registration must lodge their registration dossiers and assume their legal responsibility for the validity and accuracy of the declared information as well as other attached documents and records.

Article 5. Types of the future-acquired houses that can be pledged as collateral

The future-acquired houses that serve as collateral for a home mortgage, which is stipulated in this Circular, consists of commercial and social houses according to the housing laws, specified as follows:

1. Apartments that have been developed in the residential property development projects;

2. Detached houses (including villas and terraced houses) that have been developed in the residential property development projects.

Article 6. Requirements for the future-acquired houses that can be pledged as collateral

The future-acquired houses that can be accepted as collateral at credit institutions must be subject to the following requirements:

1. Provide the approved technical design, finish the foundation construction, accomplish the purchase and sale processes and hold the contract for the purchase and sale with the real estate businesses conforming to the housing laws or those that have been handed over to purchasers but have yet to grant the Certificate as stipulated by laws;

2. Be not subject to any distraint to serve as the judicial enforcement by the court or the execution of administrative decisions made by regulatory agencies, which is applied to the residential houses that have been handed over to purchasers but have yet to receive the Certificate as stipulated by laws;

3. Be a part of a residential property development project that has received the Certificate or the decision on granting the land tenure and tenancy to investors from regulatory agencies according to legal regulations, which is applied to the social housing development projects.

Article 7. Application documents to apply for the mortgaging of future-acquired houses

Application documents that are needed to put the future-acquired house up as collateral for a home mortgage at credit institutions include the followings:

1. If the future-acquired house under construction is pledged as collateral, documents comprise:

a) A contract for the house purchase and sale signed by the mortgagor and the real estate business, which complies with the housing laws (01 original); any receipt and invoice kept by the real estate business (01 original if available). If the future-acquired house purchased from the investor to resell customers by the real estate business, the contract for house purchase and sale signed by the investor and this enterprise (01 certified true copy) is additionally required. If the mortgagor is the transferee of the contract for house purchase and sale, an original proof of the disposition of this contract must abide by the housing laws;

b) A legal mortgage;

c) An acceptance record of the completion of the foundation construction under the legal regulations on construction (01 certified true copy);

d) A written confirmation of the transaction performed through the real estate trading floor under legal regulations on the real estate trading, or a written evidence of the house, if it is a commercial house, which is subject to the housing regulations on determining the maximum amount of distributed houses that only account for less than 20% of total residential house product (01 original);

dd) One of required documents as stipulated in Clause 3 Article 6 of this Circular (01 certified true copy).

2. If the future-acquired house that has been already handed over is pledged as collateral, documents comprise:

a) Documents regulated in Point a, b, d and Point dd Clause 1 of this Article;

b) A record on the house hand-over signed by the real estate business and mortgagor (01 original).

Article 8. Rights and obligations of the mortgagor

1. Rights:

a) Reject any of mortgagee’s requests in breach of contractual terms and conditions in the mortgage as well as legal regulations;

b) Take back submitted documents as stipulated in Article 7 of this Article and the Certificate (if any) immediately after entirely fulfilling their obligations to repay the loan to mortgagee or if the mortgagee employs another security method or different collateral after obtaining the consent from mortgagee;

c) Other rights stipulated by laws.

2. Obligations:

a) Comply with the contractual terms and conditions of the mortgage;

b) Provide full of documents to apply for the mortgage under the regulations specified in Article 7 of this Circular;

c) Agree with the mortgagee on getting their mortgage notarized at notary associations as well as registering the future-acquired house pledged as collateral at competent registries as prescribed in Chapter II and Chapter III of this Circular; cooperate with the mortgagee to register any change to the content that has been clarified in the mortgage registration of the future-acquired house pledged as collateral after that house is completely built, handed over to customers and legalized by the issuance of the Certificate;

d) If the pledged house is damaged, destroyed or is not likely to be completely erected on account of unexpected reasons or is forced to stop building, the mortgagor must immediately notify the mortgagee and provide any equivalent valuable as a replacement or employ additional or replacement security method, except that there is no other agreement between both parties;

dd) Indemnify the mortgagee for any loss (if any);

e) Fulfill other obligations as stipulated by civil laws and regulations on secured transactions.

Article 9. Rights and obligations of the mortgagee

1. Rights:

a) Request the mortgagor to provide all necessary documents of the mortgaged house according to the regulations specified in Article 7 of this Circular;

b) Exercise the right to supervise and examine the building progress of the mortgaged house;

c) Have the right to re-evaluate the mortgaged property periodically or at any time as agreed in the mortgage to serve as the request for providing additional pledged property or other security method if necessary;

d) Settle the mortgaged property according to legal regulations in case the mortgagor fails to properly fulfill the obligations specified in the mortgage;

dd) Request the real estate business that sells their house to the mortgagor to provide information about the mortgaged house and cooperate with the mortgagor to follow procedures for the issuance of the Certificate for the mortgaged house as well as provide favorable conditions for the mortgagee to exercise the right to supervise and examine the building progress of the mortgaged house;

e) Request the notary association to carry out the notarization of the mortgage;

g) Request the competent registries of the secured transaction to remove or change the registered content in case the mortgaged property is replaced and modified; the mortgaged property is settled and annulled; pledging the future-acquired house as collateral is terminated;

h) Other rights stipulated by laws.

2. Obligations:

a) Strictly comply with the contractual terms and conditions of the mortgage;

b) Examine and verify the future-acquired house to ensure that it satisfies the mortgage requirements as regulated in Article 6 of this Circular;

c) Do not barricade or cause any difficulty completing the construction of the mortgaged house when they exercise their right to perform supervision and examination;

d) Return the documents that the mortgagor has been submitted to apply for the home mortgage, the Certificate (if any) to the mortgagee when the mortgagee has completed their loan repayment obligations as agreed in the mortgage or in case the mortgagor employs other security methods or pledged properties;

dd) After signing the mortgage and registering that mortgage as collateral, the mortgagee must send a written notification to the real estate business about the future-acquired house of purchaser that has been mortgaged;

dd) Indemnify the mortgagee for any loss (if any);

g) Fulfill other obligations as stipulated by legal regulations.

Article 10. Rights and obligations of the real estate business

1. Rights of the real estate business who sells the future-acquired house to organization or individual to serve as collateral for the home mortgage at credit institutions:

a) Reject the provision of information and documents related to the dossier of the mortgaged house which do not comply with the regulations specified in this Circular;

b) Request the mortgagor to make the payment as agreed in the contract for the house purchase and sale;

c) Other rights stipulated by laws.

2. Obligations of the real estate business who sells the future-acquired house to organization or individual to serve as collateral for the home mortgage at credit institutions:

a) Provide relevant adequate and accurate documents in order for the sellers to perform their mortgaging at credit institutions according to the regulations specified in this Circular and laws on the secured transactions. Deliver documents and materials regarding the pledged house, which is generated after the signing of the home mortgage, as authorized by the mortgagor;

b) If the real estate business has pledged the project to secure other civil obligations, prior to the signing of the contract for house purchase and sale, such a business must carry out registering any change to the registered content in order to partially withdraw the future-acquired house pledged as collateral to the mortgagor under legal regulations;

c) On receipt of the written notification from the mortgagee about the future-acquired house that is being pledged, the real estate business is not allowed to dispose of that house to any organization or individual unless a written consent from the mortgagee is obtained;

d) Provide all legal documents of the mortgaged house to request competent agencies to issue the Certificate to the mortgagor or mortgagee if the pledged house is settled under legal regulations;

dd) Enable the mortgagee to exercise their rights to supervise and examine the building progress of the mortgaged house;

e) Notify the mortgagee and mortgagor of the payment progress of the pledged house as well as the building progress and completion of the residential housing project;

g) Cooperate with the mortgagee to disburse the loan as prescribed in legal regulations as well as request to remove the mortgage registration and settlement;

h) Secure other obligations as stipulated by legal regulations.

Article 11. Rights and obligations of the real estate trading floor for the commercial house pledged as collateral

1. Provide information and materials regarding the future-acquired house as requested by the mortgagee or the Department of Construction where the project is developed and assume the responsibility for information and materials that have been submitted.

2. Reject the provision of information and documents related to the dossier of the mortgaged house, which is in breach of the regulations specified in this Circular.

3. Perform other rights and obligations as stipulated by laws.

Chapter 2.

PROCEDURES FOR THE NOTARIZATION OF FUTURE-ACQUIRED HOUSES PLEDGED AS COLLATERAL

Article 12. Notarization of the mortgage that has been written in advance

1. Person who applies to get the mortgage notarized shall submit a request for notarization, including the following documents:

a) A request form for the notarization of contract and transaction (01 original);

b) A draft mortgage;

c) Personal documents (01 copy);

d) Documents regulated at Article 7 of this Circular (01 copy), exclusive of the mortgage;

dd) Other documents regarding the mortgage required by laws (01 copy); if the residential property development project has been mortgaged by the real estate business to secure their other civil obligations, the written confirmation on the partial withdrawal of the house pledged as collateral that has been sold to the mortgagor, issued by the mortgage registry, must be submitted as well.

2. A photocopy or printed, typewritten duplicate regulated in Clause 1 of this Article with the contents that are as adequate and accurate as the original and do not need being certified as true. When submitting duplicates, the applicant for notarization must present the original for collation; if submitted documents regulated in Article 7 of this Circular are certified true copies, these must be presented for the purpose of collation as well.

3. Notary public receives the applications and examines the documents contained in the request for notarization. If the request for notarization is adequate and complies with legal regulations, (s)he shall proceed to handle and record the case into the notarial book.

4. If there is any evidence that the request for notarization still consists of ambiguous contents and there may exist a sign of coercive acts or a suspicion about the applicant’s capacity for civil acts or that the mortgaged property does not satisfy the mortgage requirements under the regulation specified in Article 6 of this Circular, the notary public can request the applicant to clarify the aforementioned, or at the request of the applicant, notary public can proceed to verify or send the request for valuation; if the above-mentioned issues are not clarified, the notary public has the right to refuse the notarization.

5. When the notary public examines the draft mortgage, if (s)he detects any contractual terms and conditions in violation of legal regulations, social ethics or the contracting entities are absolutely improper, (s)he must provide clear instructions for the applicant to make any possible adjustment. If the applicant, for some reasons, fails to make the adjustment, the notary public shall have the right to reject their request for notarization.

6. Applicant requests the notary to read the draft mortgage to himself/herself or to read it aloud to the applicant. If the applicant for notarization is not fluent in Vietnamese, a translator is needed. The translator is responsible to fully and accurately render the content of draft mortgage and the notary oath as well as affix his/her signature in each page of that draft mortgage.

If the applicant for notarization agrees to all contents in the draft mortgage, (s)he must sign his/her name in each mortgage page. The notary must write his/her oath and put his/her signature in each page of the mortgage.

Article 13. Notarization of the mortgage that has been written by the notary as requested by the applicant for notary

1. The applicant must submit a set of documents as regulated in Point a, c, d and dd Clause 1 Article 12 of this Circular and clarify the contractual contents and intents of the mortgage.

2. The notary must abide by regulations specified in Clause 2, 3 and 4 Article 12 of this Circular.

If the contents and intents of the mortgage are true and do not breach laws as well as social ethics, the notary must proceed to write the mortgage.

3. The applicant must read the draft mortgage to herself/himself again or the notary must read it aloud to the applicant. If the applicant for notarization is not fluent in Vietnamese, a translator is needed. The translator is responsible to fully and accurately render the content of draft mortgage and the notary’s oath as well as affix his/her signature in each page of that draft mortgage.

If the applicant for notarization agrees to all contents in the draft mortgage, (s)he must sign his/her name in each mortgage page. The notary must write his/her oath and sign his/her name in each mortgage page.

Article 14. Other procedures for the notarization of the mortgage

Other procedures for getting the mortgage notarized must include notarial authority; notarial expiration date; notarization venue, handwriting, signature, fingerprint, proofreading of notarial documents; amendment, revision or cancellation of the mortgage as stipulated by the notary laws.

Article 15. Obligations of the notary associations and notaries

1. Notarize the mortgage as requested by the applicant when (s)he submits full of legal documents regulated in this Circular.

2. When notarizing the mortgage, the notary must abide by the regulations of this Circular and relevant laws as well as assume legal responsibility for the notarial documents.

Chapter 3.

REGISTERING AND PROVIDING THE INFORMATION ABOUT THE MORTGAGING OF FUTURE-ACQUIRED HOUSES

Article 16. The competent authority in charge of receiving application documents, registering the mortgaging of future-acquired houses and performing the transition of the mortgage registration

1. If single-window system is employed to complete administrative procedures, the division in charge of receiving application documents and giving the response to the implementation of administrative procedures under the single-window system (hereinafter referred to as single-window division) is the agency that receives the application documents for the mortgage registration and forwards them to the competent registries of mortgage as stipulated in Clause 2 and Clause 3 of this Article. If the single-window system is not employed to follow the administrative procedures, the competent registry of mortgage must receive the application documents.

2. The registry of land tenure, affiliated to the Department of Natural Resources and Environment of centrally-affiliated cities and provinces where future-acquired houses are located, performs the registration of the mortgaged future-acquired houses and carry out the transition of the mortgage registration if the mortgagor is a domestic organization and Vietnamese expatriate who develops the investment projects in Vietnam, foreign individual or organization.

3. The registry of land tenure, affiliated to the Division of Natural Resources and Environment of provincial districts, towns and cities where future-acquired houses are located or the Division of Natural Resources and Environment of provincial districts, towns and cities, where future-acquired houses are located, if the registry of land tenure has yet to be founded, shall perform the registration of the pledged future-acquired houses and the transition of this registration if the mortgagor is domestic family household or individual and Vietnamese expatriates who are eligible to purchase residential house and land tenure in Vietnam.

Article 17. Time of the mortgage registration and deadline for processing the application documents for the mortgage registration

1. Time of the mortgage registration for future-acquired houses pledged as collateral to serve the purpose of determining the priority of payments is the time when the competent agency who receives the application documents for the mortgage registration performs the receipt of the valid documents.

2. The transition of the mortgage registration and correction of errors incurred by the registries shall not change the time of valid mortgage registration as stipulated by laws.

3. Deadline for processing the application for the mortgage registration of future-acquired houses pledged as collateral shall follow regulations specified in Article 18 of the Decree No.83/2010/NĐ-CP dated July 23, 2010 on registering secured transactions (hereinafter referred to as Decree No.83/2010/NĐ-CP)

Article 18. Fee of the mortgage registration of the future-acquired houses pledged as collateral

Rate of mortgage registration fee, rules of collecting, using and managing the registration fee shall abide by the regulations specified in the Joint Circular No.69/2011/TTLT-BTC-BTP dated May 18, 2011 of the Ministry of Finance and Ministry of Justice on providing instructions on the rules of collecting, paying, managing and using the fee of secured transaction registration, provision of information about secured transactions and use of regular client services.

Article 19. Application for the first mortgage registration of future-acquired houses

Application for the first mortgage registration of future-acquired houses must include:

1. A request for the mortgage registration following the Form No.01/ĐKTC-NTL enclosed with this Circular (01 original); if the Form No.01/ĐKTC-NTL is not adequate for the declaration of registration contents, additional declaration should be made in the Form No.04/ĐKTC-NTL enclosed with this Circular;

2. Notarized mortgage under the regulations specified in this Circular (01 original);

3. The contract for house purchase and sale between organizations, individuals that purchase houses and the real estate business according to the housing laws. If the mortgagor is the transferee of the contract for house purchase and sale, a copy of document on the transfer of this contract must be additionally provided under the housing laws (01 copy);

4. A written authorization, if the applicant for the mortgage registration is the authorized person.

Article 20. Application for the adjustment to the mortgage registration content of the future-acquired house pledged as collateral

1. Adjustment to the registration content of the future-acquired house pledged as collateral shall be made in the following cases:

a) Partially withdraw, add or replace mortgagor or mortgagee; change name of mortgagor or mortgagee;

b) Partially withdraw collateral;

c) Add additional pledge without signing new mortgage;

d) Correct any error incurred by the applicant, related to the declared contents of the application for mortgage registration

dd) Change any other content that has been registered.

2. Application documents for changes to the mortgage registration in terms of cases regulated in Point a, b, c and dd Clause 1 of this Article must include:

a) A request for changes to the mortgage registration according to the Form No.02/ĐKTC-NTL attached to this Circular (01 original); in case the Form No.02/ĐKTC-NTL are not adequate to declare the registration contents, the Form No.04/ĐKTC-NTL attached to this Circular must be used to declare further contents;

b) A contract for this change if contracting parties agree on adding or withdraw collateral, or consent to withdraw, add or replace one of contracting parties in the mortgage (01 original);

c) A document issued by competent governmental agencies or organizations on the change to one of registered information such as name, type of enterprise as a mortgagor or mortgagee; one of contracting parties in the mortgage (01 certified true copy);

d) A document on the authorization in case the applicant for registration is the authorized person.

3. Application documents for the change to the registered contents for cases regulated in Point d Clause 1 of this Article must include:

a) A written request for the change to the mortgage registration contents according to the Form No. 02/ĐKTC-NTL attached to this Circular (01 original);

b) A document on the authorization, in case the applicant for registration is the authorized person.

Article 21. Application documents for the correction of errors in the mortgage registration contents incurred by the registry

Whenever any error related to the registration contents, incurred by the registry, has been detected, the application for registration must submit his/her request for the correction of this error, including:

1. A written request for the error correction by filling in the Form No.02/ĐKTC-NTL attached to this Circular (01 original);

2. A registration application that has been certified by the registry in which the certifying contents contain some error (01 original);

3. A document on the authorization in case the applicant for the error correction is the authorized person (01 certified true copy).

Article 22. Application documents for the removal of mortgage registration

Application documents for the removal of mortgage registration must include:

1. A request for the removal of the mortgage registration of the future-acquired house according to the Form No.05/ĐKTC-NTL attached to this Circular (01 original);

2. A document on the consent to removing the mortgage registration in case the applicant for the removal of mortgage registration is the mortgagor (01 original);

3. A written authorization if the applicant for the removal of mortgage registration is the authorized person.

Article 23. Application for a written notification of the settlement of the future-acquired house pledged as collateral

Application for a written notification of the settlement of the future-acquired house pledged as collateral must include:

1. A request for the registration of notification of the collateral settlement according to the Form No.03/ĐKTC-NTL attached to this Circular (01 original); in case the Form No.03/ĐKTC-NTL is not adequate to declare the registration contents, the Form No.04/ĐKTC-NTL attached to this Circular must be used to add more contents;

2. A written notification of the settlement of the future-acquired house pledged as collateral (01 original);

3. A written authorization in case the applicant for registration is the authorized person.

Article 24. Application for the transition of the registration of the future-acquired house pledged as collateral

1. A written request for the transition of the mortgage registration, if the mortgage registration of the future-acquired house complies with this Circular, must include:

a) A written request for the transition of the mortgage registration of the future-acquired house pledged as collateral according to the Form No.06/ĐKTC-NTL attached to this Circular (01 original); if the Form No.06/ĐKTC-NTL is not adequate for the registration declaration, the Form No.04/ĐKTC-NTL attached to this Circular shall be additionally used;

b) A document on the authorization in case the applicant for the error correction is the authorized person.

2. A written request for the transition of the mortgage registration, if the mortgage registration of the future-acquired house complies with legal regulations on the property right generated from the contract for the purchase and sale of the future-acquired house, must include:

a) A written request and authorization (if any) according to the regulations specified in Clause 1 of this Article;

b) A document on the provision of information about the mortgaging of the property right generated from the contract for the purchase and sale of the future-acquired house issued by the Center for Transaction and Property Registration (01 original) or the Certificate of secured transaction registration issued by the Center for Transaction and Property Registration (01 certified true copy); the Certificate of the registration of changes to the registered mortgage contents (if any) (01 copy).

Article 25. Procedures for the mortgage registration of the future-acquired house pledged as collateral and the correction of errors incurred by the registry

1. The applicant for the mortgage registration of the future-acquired house pledged as collateral must submit his/her application at the competent agencies in charge of receiving applications according to the regulations specified in this Circular.

2. The receipt of application documents at the registry of land tenure shall follow the steps below:

a) Examine the validation of application documents; if the application documents are not adequate, the receiver is able to refuse to accept the application documents and guide applicants to comply with regulations on applying for the registration;

b) Write down time of receiving documents (hour, minute and date) in the written request for registration and Document Receipt Note; sign and write the full name at the section intended for the receiving officer; issue a Document Receiving Note to the applicant;

c) Record the information about the receipt of documents into the register of the land and fixture tenure according to the Form No.09/STN promulgated together with the Joint Circular No.20/2011/TTLT-BTP-BTNMT dated November 18, 2011 of the Ministry of Justice and the Ministry of Natural Resources and Environment on providing the instructions on the mortgaging of land and fixture tenure (hereinafter referred to as Joint Circular No.20/2011/TTLT-BTP-BTNMT)

3. The receipt of application documents at single-window division shall follow these steps:

a) Carry out required processes as regulated in Point a and Point b Clause 2 of this Article;

b) Record the information about the receipt of application documents into the register of the single-window division;

c) Forward these documents to the registry of land tenure. The registry of land tenure carries out the tasks as regulated in Point c Clause 2 of this Article.

4. After receiving the application documents, the registry of land tenure must check the attached documents; attest to the application for the mortgage registration and make a copy of this application for document storage; write the information about the mortgage registration into the register according to the Form No.07/ĐKTC-NTL attached to this Circular; forward the original of certified application for the mortgage registration to the receiving and responding division and then send it to the applicant.

In case of detecting proper reasons for refusing to accept the application documents as regulated in Clause 1 Article 11 of the Decree No.83/2010/NĐ-CP the registry of land tenure is entitled to reject the application in writing and forward these application documents to the receiving and responding division to return to the applicant and guide him/her to comply with the regulations.

5. If the registry detects any error contained in the registered contents, the adjustment to the mortgage information provided in the application documents for the mortgage registration, the register of the future-acquired house pledged as collateral must be performed and a written notification must be sent to the application to confirm the adjusted contents.

Article 26. Procedures for the transition of the mortgage registration

1. The transition of the mortgage registration shall be carried out before the Certificate is granted to the eligible applicant. The application documents for the transition of the mortgage registration must be submitted along with the request for the issuance of the Certificate.

2. The registry of land tenure must refer to the application documents for the mortgage registration of the future-acquired house, the request for the transition of mortgage registration in order to proceed to perform the transition of the mortgage registration by means of certifying and recording the registered contents into the cadastral book and supplementary page of the Certificate.

3. If the transition of mortgage registration is applicable to the residential house eligible to be registered as collateral under legal regulations on the mortgaging of the property right generated from the contract for sale and purchase of the future-acquired house, after the registered contents recorded in the cadastral book and supplementary page of the Certificate have been certified, the registry of land tenure must confirm the completion of this transition in the request for the transition of mortgage registration, make a copy of the request for the transition of certified mortgage registration for the purpose of document storage, send the original of the request for the transition of the certified mortgage registration serving as the written notification to inform the Center for Transaction and Property Registration under the regulations specified in Article 28 of this Circular.

Article 27. Formulating, supplementing and managing the application dossier for the mortgage registration of the future-acquired house

1. An application dossier for the mortgage registration of the future-acquired house must include the first mortgage registration, application documents for changes to the mortgage contents, application documents for the removal of mortgage registration and application documents for the registration of the written notification of collateral settlement as well as the application documents for the transition of mortgage registration. These documents shall be kept in the envelope; the list of separate documents contained in the application dossier shall be made and completed in the chronological order as well as shall be kept along with the application dossier.

2. The mortgage registry of the future-acquired house must assume responsibility to formulate, supplement and manage the application dossier for the mortgage registration of the future-acquired house and the register of the mortgaging of the future-acquired house. The management of the logbook used to record the application documents for the mortgage registration of the land and fixture tenure must comply with the regulations specified in the Joint Circular No.20/2011/TTLT-BTP-BTNMT

Article 28. Information exchange between the registry of land tenure and the Center for Transaction and Property Registration

1. Within a minimum period of 01 working day before the issuance of the Certificate, the registry of land tenure send a written notification of the transition of the mortgage registration as regulated in Clause 3 Article 26 of this Circular to the Center for Transaction and Property Registration, where the Certificate of secured transaction registration has been issued, by means of courier mail, facsimile and electronic mail.

2. Immediately when receiving the written notification of the transition of the mortgage registration sent by the registry of land tenure or no later than the consecutive working day, the Center for Transaction and Property Registration must remove the mortgage registration of the property right generated from the contract for purchase and sale of the future-acquired house under legal regulations and dispatch the written notification of the removal of secured transaction registration via courier mail, facsimile and electronic mail to the Registration Office of land tenure for document storage.

Article 29. Providing information about the future-acquired house pledged as collateral

The provision of information about the future-acquired house pledged as collateral shall adhere to regulations specified in Chapter III of the Decree No.83/2010/NĐ-CP and the regulations promulgated by the Ministry of Natural Resources and Environment.

Chapter 4.

IMPLEMENTATION PROVISIONS

Article 30. Responsibilities held by branches of the State Bank of Vietnam in centrally-affiliated cities and provinces

Carry out the examination, supervision and inspection within their competence over the implementation of this Circular, report and propose solutions to the related issues to competent agencies.

Article 31. Responsibilities held by the Department of Construction at centrally-affiliated cities and provinces

1. Announce the information regarding the housing investment and development projects on the electronic information portal of the Department of Construction at these cities and provinces immediately after these residential property development projects have been approved by competent agencies and sustain the expiration date of the information announcement during the project execution.

2. Provide information requested by the mortgagee about the progress of the residential property development projects in these areas as well as those that have been advertised for sale according to the housing laws.

3. Cooperate with functional agencies to examine and handle or advise competent agencies within their scope of competence to handle violations against regulations on the housing investment and development of organization, individual as well as concurrently notify credit institutions located in these areas of these violations.

Article 32. Responsibilities held by the Department of Justice at centrally-affiliated cities and provinces

1. Direct the notary associations located in these areas to carry out the notarization of the mortgage of the future-acquired house as prescribed in the regulations specified in this Circular.

2. Handle within their scope of competence or report the Ministry of Justice to handle any difficulty during the implementation of getting the mortgage of the future-acquired house notarized.

Article 33. Responsibilities held by the Department of Natural Resources and Environment at centrally-affiliated cities and provinces

1. Guide the registry of land tenure at the province and district's level to carry out the following tasks:

a) Register the future-acquired house pledged as collateral and perform the transition of the mortgage registration according to regulations specified in this Circular;

b) Provide information about the mortgage registration of the future-acquired house as requested by organization or individual.

2. Within their scope of competence deal with or report the Ministry of Natural Resources and Environment to handle any difficulty during the implementation of mortgage registration and transition of mortgage registration of the future-acquired house.

3. In terms of local areas where the land Registration Office, affiliated to the Department of Natural Resources and Environment, the land Registration Office or branches of the land Registration Office shall carry out tasks assigned by the registry of land tenure as prescribed in this Circular within the scope of competence regulated by the land-related laws.

Article 34. Implementation

1. This Circular shall come into effect from June 16, 2014 and supersede the Joint Circular No.05/2007/TTLT-BTP-BXD-TTNMT-NHNN dated May 21, 2007 of the Ministry of Justice, the Ministry of Construction, the Ministry of Natural Resources and Environment and the State Bank of Vietnam to provide guidance on several contents regarding the mortgage registration of residential houses.

2. Branches of the State Bank of Vietnam at centrally-affiliated cities and provinces, the Department of Construction, the Department of Justice, the Department of Natural Resources and Environment; President of the Board of Directors and the Board of Members and Chief Executive Officer (Director) of credit institutions; the real estate trading floors, notary service associations, the registries of land tenure, relevant organizations and individuals shall take responsibility to implement this Circular.

3. In the furtherance of this Circular, should there be any difficulty, organization or individual must send timely report to the State Bank of Vietnam, the Ministry of Construction, the Ministry of Justice, the Ministry of Natural Resources and Environment for consideration and resolution.