1. Agribank, one of the ‘big four’ (the four biggest commercial banks in Vietnam operating as joint stock banks, in which the state holds controlling stakes), is selling debt incurred by Khang Gia Investment and Real Estate Development JSC. The total value of the debt by September 12, 2022 was estimated at VND6.2 billion. Of this, the principal is VND8 million, while the remaining is interest.

The buyer of the debt will have to continue to pay the interest after September 12, 2022, until Khang Gia pays the principal worth VND8 million.

Agribank hopes it can collect over VND3.6 billion from the sale, a price which has been halved from the VND6.1 billion level announced on September 13, 2022.

Agribank said the bank and the auction unit won’t take responsibility for the status and risks of the auction debts or the dispute about collateral of the debt.

2. VietinBank Bien Hoa IZ branch is cooperating with a professional asset auctioning organization to follow procedures to publicly auction debt incurred by Viet Thuan Thanh Co Ltd with book value of VND1.297 trillion as of the end of 2022.

The debt has no more collateral as the asset was auctioned in 2018. In the previous offer, VietinBank recognized the accumulated profit of VND704 billion as of December 8, 2022.

3. Commercial banks are also offering to sell unsecured consumer loans with very small value, from VND10,000.

VietinBank, also one of the big four, is auctioning 646 debts in consumer loans provided to individuals who have fallen into insolvency. The debts don’t have mortgaged assets. The total book value (principal, interests, fines) of the debts is VND12.7 billion. The starting prices of the bad debts are equal to the book value.

Of the debts, the least valuable one has a starting price of VND13,216, and the most valuable VND206 million.

This is not the first time VietinBank has offered to sell bad consumer loan debts.

4. In November 2022, VietinBank announced the auction of a debt valued at VND900 billion incurred by DTK JSC and Vietnam Feed JSC.

The debts of the two companies were from loans they borrowed from VietinBank Thang Long and VietinBank Dong Da, respectively, which had principal of VND480 billion, interest of VND216 billion, and accumulated fines of VND104 billion.

There is also a loan contract with a total debt of VND121 billion. VietinBank wants to sell all three debts at the starting price of VND189 billion.

The mortgaged assets for the debts are assets and asset rights associated with many land plots leased in Vinh Phuc, Hoa Binh and Hanoi; contributed capital at some enterprises, and turnover inventory; fowls and crops. The chickens were being raised at farms in Binh Xuyen district in Vinh Phuc province.

Prior to that, collateral believed to be difficult to sell, such as inventories, old clothes and gardens, were put up for sale.

5. In July 2022, Agribank in Lac Son district in Hoa Binh announced the sale of a land plot which was collateral for a loan provided to Thai Hoa Hoa Binh Coffee JSC after some failures. 

The total area of the land plot was 75,000 sqm and had a starting price of VND3.4 billion.

In addition to a large area, the valuable asset on the land was thousands of coffee trees. However, as the trees were not cared for well, only 30 percent of the mortgaged trees are remaining .

6. In April 2022, Agribank Lao Cai II offered to sell old-fashioned clothes, stationary, makeup, and household products at the starting price of VND60 million.

Hanh Nguyen