Context: Many fintech founders are surprised to learn that the State Bank’s refinancing window is not open to them: the facility is designed for credit institutions, and a fintech outside the credit system must find liquidity by an entirely different road.
Legal Grounds to Establish First
Refinancing is the State Bank lending again to credit institutions against pledges and discounts of valuable papers, operating under the Law on the State Bank of Vietnam 46/2010/QH12 and period-by-period operating decisions. Direct access belongs to commercial banks, policy banks and certain other credit institutions — a fintech company, even a licensed payment intermediary, is not a credit institution and therefore has no standing to borrow refinancing or bring valuable papers to the State Bank for discount. The confusion usually comes from a fintech holding a State Bank payment-intermediary licence and assuming every State Bank ‘window’ is open to it.
A fintech’s lawful liquidity road therefore runs through the market: borrowing from commercial banks against collateral or cash flow, issuing corporate bonds if eligible, selling shares to investors, or borrowing from its parent and shareholders under the foreign-loan framework if the lender is abroad. In particular, user funds in payment escrow accounts are absolutely not a liquidity source for the intermediary — using that money to cover a cash shortfall, even as a ‘temporary borrow’, breaches licence conditions and is among the most severely handled acts in the payments field.
From Rule to Practice
When a fintech needs urgent short-term funds, the safe order of sources is: a credit line pre-negotiated with a bank, a shareholder loan under a clear contract, and only then issuance or fundraising — steps that need appraisal time. A company that waits until cash is gone before seeking liquidity is usually left with the most expensive option, and that pressure is exactly the premise of escrow-fund misuse.
Turning Analysis into Action
The steps below turn the analysis above into concrete work:
- First, test your own situation against this ground: Refinancing is the State Bank lending again to credit institutions against pledges and discounts of valuable papers, operating under the Law on the State Bank of Vietnam 46/2010/QH12 and period-by-period operating decisions.
- Record the application point specific to this case instead of copying conclusions from another case: The confusion usually comes from a fintech holding a State Bank payment-intermediary licence and assuming every State Bank ‘window’ is open to it.
- Prepare the evidence and file relating to the following point before dealing with authorities or partners: When a fintech needs urgent short-term funds, the safe order of sources is: a credit line pre-negotiated with a bank, a shareholder loan under a clear contract, and only then issuance or fundraising — steps that need appraisal time. A company that waits until cash is gone before seeking liquidity is usually left with the most expensive option, and that pressure is exactly the premise of escrow-fund misuse.
- Answer the question clients ask most directly with this conclusion, and keep it on file: Not directly. State Bank refinancing is reserved for credit institutions under the Law on the State Bank 46/2010/QH12; fintech companies and payment intermediaries are not credit institutions and have no standing at this window.
Frequently Asked Questions
Can a fintech access refinancing?
Not directly. State Bank refinancing is reserved for credit institutions under the Law on the State Bank 46/2010/QH12; fintech companies and payment intermediaries are not credit institutions and have no standing at this window.
Can it discount bonds?
A fintech cannot discount valuable papers at the State Bank, for the same standing reason. It may discount or pledge valuable papers at a commercial bank as an ordinary corporate customer, under that bank’s credit conditions.
What liquidity support exists?
Liquidity support for fintech runs through the market: commercial-bank credit lines, shareholder or parent loans, bond issuance when eligible, and equity fundraising. User funds in payment escrow accounts must never be used as a liquidity source — that breaches licence conditions.
This article has been quality-reviewed by the FLAW AI Legal Council