You are Hien Thanh, Nguyen (Ms.), working as the head of credit department for Orient Commercial Joint Stock Bank (OCB) Branch of Go Vap (588 Phan Van Tri street, Ward 7, District of Go Vap, Ho Chi Minh City; En; Phone number: 028 3989 5721; ). On 1 Jun 2022, you received a letter asking for a loan from Kiet Tuan, Tran (Mr.), the general manager of TUAN KIET Co. Ltd. (11 Nguyen Thi Thap street, Ward of Tan Phong, District 7, Ho Chi Minh City; phone number: 028 1472 6868; ). In this letter, Mr. Tran would like a loan of 10,000,000,000 VND for penetrating his business into Japanese markets. As it was stated in the letter, Mr. Tran intended to pay back this loan 6 times (twice a year in three years), started from the 3rd quarter of the year 2022 if the loan was accepted. He would also like to know the interest rate with collaterals and without collaterals.

On 7 Jun 2022, you write a reply to Mr. Tran.

Instructions:

(1)State that the interest rate with collaterals: 15%/year; without collaterals: 20%/year. With a loan over 7,000075rft0,000,000, the bank only accepts loan with collaterals.

(2)Ask him to state in detail the collaterals he is planning for the loan so as to know whether the bank will accept to offer him that loan or not.

(3)State the requirements for the loan to be accepted (you can surf the Internet for these requirements);

(4)Mention that payment plan on amortizing balance is for his case.

(5)State the interest and total money Mr. Tran must pay back after 3 years; (6)Mention to enclose a detailed payment plan on amortizing balance.