Vietnamese commercial banks to provide housing loans

Loans to begin June 1.

The State Bank of Vietnam, the banking regulator, said five commercial banks are prepared to supply home loans for their customers. The banks are VietinBank, BIDV, VietcomBank, AgriBank and MHB.

The banks have issued directions for deploying the service throughout their systems, including instructions for implementing the loans at branches and transaction offices.

SBV asked the banks to reserve the loan customer profiles separately for future inspection and auditing to ensure the right people are benefiting from the service.

Banks are also required to advertise the program openly through various communication channels to help customers devise their own financial plans for housing.

Borrowers must have an income to pay both the loan interest as well as the principal.