VALUATION OF ASSETS MORTGAGE FOR DEBT TREATMENT

Valuation of collateral at Vietnamese commercial banks currently has many shortcomings, which are internal to the bank, affecting credit quality. Independent valuation of collateral will be an effective solution to limit bad debt of Vietnams banking system.

In fact, the valuation of overdue debt and bad debt projects and debt valuation is a trend of interest and development. As one of the professional and reputable valuation companies, Indochina International Appraisal & Investment Joint Stock Company (INA) always strives to research regulations, methods, and in-depth research on debt valuation to perform the appraisal in the most effective way. And with the trust of customers, INA is now also one of the companies specializing in valuation and performing many appraisal contracts for bad debt settlement projects as well as debt valuation.

Safety measures and improving credit quality are an important criterion to increase the financial capacity of commercial banks and an accurate collateral valuation is extremely important and urgent. In fact, at Vietnamese commercial banks, collateral is considered a condition to limit credit risk. Compared to other countries, valuation services, especially valuation for commercial banks in Vietnam, are still in the early stages of development, shown through the following characteristics:

Most customers, when handing over collateral to commercial banks, often self-assess assets without professional advice, or refer to "unorthodox" information sources. As a result, prices are often overestimated or risk factors are not detected in business options. This greatly affects the mortgage valuation process.

The valuation of collateral has always been an internal matter of commercial banks. However, the banks internal valuation has not met the requirements of the market in the current period. In the past, the valuation of collateral in banks was usually carried out by the credit department, that is, the credit officer who was also the appraiser. Currently, many banks have established independent valuation departments, creating objectivity to ensure the interests of customers. However, each bank has its own method and process of valuation, there is no consensus among banks, so there are still many difficulties in the implementation process. Due to conflicts of interest (bank and customer), due to limited experience, leading to valuation of collateral not true value, too high or too low. Therefore, hiring independent property valuation companies is essential.

Indochina International Appraisal & Investment Joint Stock Company (INA) with many years of experience in operation with a nationwide appraisal system, we are proud to be a reputable, professional operating unit and provide the best service. in the field of Valuation, trusted by many banks as a collateral appraisal company to handle debts for customers at the Bank. Besides, our SunValue service will give customers the best service experience, customers will be consulted and helped to determine the value of each type of property to determine the value of each property. Get the most reasonable price to help customers achieve their best goals.