**What Is The Local Currency, And Where Can I Exchange Money?**

Planning a trip to Vietnam? Knowing about the local currency and how to exchange money is crucial for a smooth and enjoyable experience. SIXT.VN is here to guide you through the process, ensuring you get the best exchange rates and avoid unnecessary fees. With our expert advice, you’ll be able to navigate the Vietnamese Dong (VND) like a pro, making the most of your travel budget. Let’s explore currency exchange, exchange rates, and travel tips.

1. What Is The Local Currency Of Vietnam?

The local currency of Vietnam is the Vietnamese Dong, abbreviated as VND. You’ll see it written as “₫” or sometimes simply as “Dong.” It’s essential to familiarize yourself with the currency to make transactions easier and avoid confusion.

1.1 Understanding Vietnamese Dong (VND)

The Vietnamese Dong comes in both banknotes and coins, although coins are not commonly used. Banknotes are available in denominations of 1,000, 2,000, 5,000, 10,000, 20,000, 50,000, 100,000, 200,000, and 500,000 VND. It’s helpful to recognize the different denominations to easily manage your cash.

1.2 Why Using Local Currency Matters

Using the local currency is always the best approach when traveling in Vietnam. While some establishments, especially in tourist areas, may accept US dollars, the exchange rate they offer is usually unfavorable. By using VND, you ensure fair pricing and avoid hidden fees.

Vietnamese Dong Banknotes are the primary currency used in Vietnam, essential for everyday transactions.

2. Where Can I Exchange Money In Vietnam?

Exchanging money in Vietnam is relatively straightforward, with several options available to tourists. However, it’s essential to choose the right method to get the best exchange rates and avoid scams.

2.1 Banks

Banks are generally a safe and reliable option for currency exchange. Major banks in Vietnam, such as Vietcombank, BIDV, and Techcombank, offer currency exchange services.

• Pros: Secure, regulated, and generally offer fair exchange rates.
• Cons: Can have longer wait times and may require identification.

2.2 Exchange Counters

Exchange counters are commonly found in airports, major tourist areas, and shopping centers. While convenient, they often offer less favorable exchange rates compared to banks.

• Pros: Convenient and easily accessible.
• Cons: Less favorable exchange rates, higher fees.

2.3 Gold and Jewelry Shops

Gold and jewelry shops, particularly in areas like Hanoi’s Old Quarter, are a popular option for exchanging money. They often offer competitive rates and are relatively easy to find.

• Pros: Competitive rates, readily available in tourist areas.
• Cons: Less regulated, so it’s essential to verify the exchange rate beforehand.

2.4 ATMs

ATMs are a convenient way to withdraw Vietnamese Dong directly from your bank account. Look for ATMs from reputable banks like Vietcombank or HSBC to ensure security.

• Pros: Convenient, accessible 24/7.
• Cons: Withdrawal fees, potential for unfavorable exchange rates depending on your bank.

2.5 Hotels

Some hotels offer currency exchange services, but their rates are generally not as competitive as banks or exchange counters.

• Pros: Convenient for hotel guests.
• Cons: Unfavorable exchange rates.

3. Tips For Getting The Best Exchange Rates

To make the most of your money in Vietnam, follow these tips for getting the best exchange rates:

3.1 Research Current Exchange Rates

Before exchanging money, check the current exchange rates online. Websites like XE.com or Google Finance provide up-to-date information on currency exchange rates, helping you understand what to expect.

3.2 Compare Rates From Different Providers

Don’t settle for the first exchange rate you find. Compare rates from different banks, exchange counters, and gold shops to find the best deal. A little research can save you a significant amount of money.

3.3 Avoid Exchanging Money At Airports

Airports are notorious for offering poor exchange rates due to their convenience. Wait until you reach your destination to exchange money at a bank or reputable exchange counter.

3.4 Use ATMs Wisely

If you plan to use ATMs, be aware of withdrawal fees and potential foreign transaction fees charged by your bank. Withdraw larger amounts to minimize the number of transactions and reduce fees.

3.5 Be Wary of Unofficial Exchange Services

Avoid exchanging money with individuals offering unofficial exchange services on the street. These transactions are often scams and can result in losing your money.

Currency Exchange in Hanoi offers various options, including banks, exchange counters, and gold shops for tourists.

4. Common Scams And How To Avoid Them

While Vietnam is generally a safe country for tourists, it’s essential to be aware of common scams related to currency exchange. Here are a few to watch out for:

4.1 Fake Banknotes

Be cautious of counterfeit banknotes, especially when receiving change. Familiarize yourself with the security features of Vietnamese Dong, such as watermarks and holographic strips.

4.2 Misleading Exchange Rates

Some exchange services may advertise attractive exchange rates but add hidden fees or commissions. Always ask for the final amount you will receive before proceeding with the transaction.

4.3 Shortchanging

Always count your money after exchanging it to ensure you receive the correct amount. Some vendors may try to shortchange tourists, hoping they won’t notice.

4.4 ATM Skimming

Be vigilant when using ATMs and check for any signs of tampering. Cover the keypad when entering your PIN to prevent fraudsters from stealing your information.

5. Using Credit Cards In Vietnam

Credit cards are accepted in many hotels, restaurants, and shops in major cities like Hanoi and Ho Chi Minh City. However, smaller establishments and rural areas may only accept cash.

5.1 Acceptance Of Credit Cards

Visa and Mastercard are the most widely accepted credit cards in Vietnam. American Express may be accepted at some high-end establishments.

5.2 Credit Card Fees

Be aware of potential foreign transaction fees charged by your credit card company. Some cards offer no foreign transaction fees, which can save you money on your trip.

5.3 Notifying Your Bank

Before traveling to Vietnam, notify your bank that you will be using your credit card abroad. This helps prevent your card from being blocked due to suspicious activity.

6. Budgeting Your Trip To Vietnam

Planning your budget is crucial for a successful trip to Vietnam. Here are some tips to help you estimate your expenses:

6.1 Accommodation

Accommodation costs vary depending on your preferences. Hostels can cost as little as $5-10 per night, while mid-range hotels range from $30-70 per night. Luxury hotels can cost upwards of $100 per night.

6.2 Food

Food in Vietnam is generally affordable. Street food can cost as little as $1-3 per meal, while restaurant meals range from $5-15 per person.

6.3 Transportation

Transportation costs depend on how you choose to travel. Motorbike rentals can cost around $5-10 per day, while taxis and ride-hailing services are readily available in cities. Buses and trains are affordable options for traveling between cities.

6.4 Activities And Attractions

Entrance fees to attractions and activities vary. Expect to pay around $5-20 for popular tourist sites. Tours and excursions can range from $30-100 per person.

6.5 Daily Budget Estimate

• Budget Traveler: $20-30 per day
• Mid-Range Traveler: $50-100 per day
• Luxury Traveler: $150+ per day

7. Tipping Etiquette In Vietnam

Tipping is not customary in Vietnam, but it is becoming more common, especially in tourist areas.

7.1 Restaurants

Tipping is not expected in local restaurants, but it is appreciated in tourist-oriented establishments. A tip of 5-10% is considered generous.

7.2 Taxis And Ride-Hailing Services

Tipping taxi drivers is not required, but rounding up the fare is a common practice.

7.3 Tour Guides And Drivers

Tipping tour guides and drivers is customary and greatly appreciated. A tip of $5-10 per day is considered appropriate.

7.4 Spa Services

Tipping for spa services is becoming more common. A tip of 10-15% is considered standard.

8. How To Handle Cash In Vietnam

Handling cash safely and efficiently is essential for a smooth travel experience in Vietnam.

8.1 Carry Small Denominations

Having small denominations of Vietnamese Dong makes it easier to pay for street food, transportation, and small purchases.

8.2 Use A Money Belt Or Secure Wallet

Protect your cash from theft by using a money belt or secure wallet that is difficult for pickpockets to access.

8.3 Avoid Displaying Large Amounts Of Cash

Avoid displaying large amounts of cash in public to prevent attracting unwanted attention.

8.4 Separate Your Cash

Divide your cash into different locations, such as your wallet, money belt, and backpack, to minimize the impact of theft.

Handling Cash in Hanoi requires carrying small denominations and using secure wallets to avoid theft.

9. Understanding Exchange Rate Fluctuations

Exchange rates can fluctuate due to various economic factors. Here’s how to stay informed:

9.1 Economic Factors

Economic indicators, such as inflation rates, interest rates, and GDP growth, can impact exchange rates.

9.2 Political Stability

Political stability and government policies can also influence currency values.

9.3 Global Events

Global events, such as economic crises and international trade agreements, can cause exchange rate fluctuations.

9.4 Staying Informed

Stay informed about exchange rate fluctuations by monitoring financial news and using currency converter apps.

10. Using SIXT.VN For Your Travel Needs In Vietnam

SIXT.VN offers a range of services to make your trip to Vietnam hassle-free.

10.1 Airport Transfer Services

SIXT.VN provides reliable and convenient airport transfer services, ensuring a smooth arrival and departure.

10.2 Hotel Booking

SIXT.VN offers a wide selection of hotels to suit your budget and preferences.

10.3 Tours And Excursions

SIXT.VN offers curated tours and excursions to help you explore the best of Vietnam.

10.4 Travel Assistance

SIXT.VN provides travel assistance and support to ensure a seamless travel experience.

11. Exploring Hanoi With Local Currency

Hanoi, the capital of Vietnam, offers a rich cultural experience. Using local currency enhances your exploration.

11.1 Hanoi Old Quarter

The Hanoi Old Quarter is a bustling area with street food, shops, and historical sites. Using Vietnamese Dong makes it easier to enjoy the local experience.

11.2 Hoan Kiem Lake

Hoan Kiem Lake is a scenic spot in the heart of Hanoi. Pay for snacks and souvenirs with Vietnamese Dong.

11.3 Temple Of Literature

Visit the Temple of Literature, Vietnam’s first university, and pay the entrance fee with local currency.

11.4 Street Food Experiences

Enjoy Hanoi’s famous street food, such as pho and banh mi, by paying with Vietnamese Dong.

Exploring Hanoi with Local Currency allows you to fully immerse in local street food and historical sites.

12. Traveling To Other Cities In Vietnam

Understanding currency nuances is crucial when traveling to other cities in Vietnam.

12.1 Ho Chi Minh City

Ho Chi Minh City, the largest city in Vietnam, offers a modern and vibrant experience. Use local currency for shopping, dining, and transportation.

12.2 Da Nang

Da Nang, a coastal city, is known for its beautiful beaches and attractions. Pay for beach activities and seafood with Vietnamese Dong.

12.3 Hoi An

Hoi An, a historic town, is famous for its tailor shops and lantern-lit streets. Use local currency for custom clothing and souvenirs.

12.4 Sapa

Sapa, a mountainous region, offers stunning landscapes and cultural experiences. Pay for homestays and trekking tours with Vietnamese Dong.

13. Understanding Vietnamese Prices And Bargaining

Bargaining is a common practice in Vietnam, especially in markets and street stalls.

13.1 Common Phrases

Learn basic Vietnamese phrases for bargaining, such as “bao nhiêu?” (how much?) and “mắc quá!” (too expensive!).

13.2 Start Low

Start your bargaining at a lower price than you are willing to pay and negotiate from there.

13.3 Be Respectful

Bargain respectfully and avoid being aggressive or rude.

13.4 Know When To Walk Away

If you can’t agree on a price, be prepared to walk away. The vendor may lower the price to make the sale.

14. Emergency Cash Situations

Knowing how to handle emergency cash situations is crucial for peace of mind.

14.1 Credit Card Cash Advances

If you run out of cash, you can use your credit card to get a cash advance at an ATM. Be aware of the fees and interest charges.

14.2 Wire Transfers

If you need a larger amount of cash, you can arrange a wire transfer through a service like Western Union or MoneyGram.

14.3 Contact Your Embassy

In extreme cases, you can contact your embassy for assistance with emergency funds.

15. Practical Phrases For Currency Exchange

Learning basic phrases can help you navigate currency exchange more effectively.

15.1 “Tôi muốn đổi tiền.”

(I want to exchange money.)

15.2 “Tỷ giá hôm nay là bao nhiêu?”

(What is the exchange rate today?)

15.3 “Có phí hoa hồng không?”

(Is there a commission fee?)

15.4 “Tôi có thể trả bằng đô la Mỹ không?”

(Can I pay with US dollars?)

16. Maximizing Your Travel Budget

Effective budgeting is essential for an affordable trip to Vietnam.

16.1 Travel During Off-Peak Seasons

Travel during the off-peak seasons to take advantage of lower prices on accommodation and flights.

16.2 Eat Local Food

Eating local food is not only a cultural experience but also a budget-friendly option.

16.3 Use Public Transportation

Use public transportation, such as buses and trains, to save money on transportation costs.

16.4 Look For Free Activities

Look for free activities, such as visiting parks, temples, and historical sites, to reduce your expenses.

17. Safety Tips For Handling Money

Handling money safely is essential to avoid theft and scams.

17.1 Keep Money Out Of Sight

Keep your money out of sight and avoid displaying large amounts of cash in public.

17.2 Use A Secure Wallet

Use a secure wallet that is difficult for pickpockets to access.

17.3 Be Aware Of Your Surroundings

Be aware of your surroundings and avoid walking in dark or isolated areas at night.

17.4 Trust Your Instincts

Trust your instincts and avoid dealing with people who make you feel uncomfortable.

18. Vietnamese Currency vs. Other Currencies

Understanding the value of Vietnamese Dong compared to other currencies is helpful.

18.1 USD To VND

The exchange rate between USD and VND fluctuates, but it is typically around 23,000 VND per 1 USD.

18.2 EUR To VND

The exchange rate between EUR and VND also varies but is usually around 25,000 VND per 1 EUR.

18.3 GBP To VND

The exchange rate between GBP and VND is typically around 29,000 VND per 1 GBP.

18.4 AUD To VND

The exchange rate between AUD and VND is usually around 15,000 VND per 1 AUD.

19. Currency Exchange Apps For Travelers

Currency exchange apps can help you stay informed and manage your money effectively.

19.1 XE Currency Converter

XE Currency Converter is a popular app that provides real-time exchange rates and historical data.

19.2 TransferWise

TransferWise allows you to transfer money internationally at competitive exchange rates.

19.3 Revolut

Revolut offers multi-currency accounts and allows you to exchange money at interbank rates.

19.4 Google Finance

Google Finance provides up-to-date exchange rates and financial news.

20. Cultural Considerations For Money Matters

Understanding cultural considerations can help you navigate money matters respectfully.

20.1 Bargaining Etiquette

Bargain respectfully and avoid being aggressive or rude.

20.2 Tipping Customs

Tipping is not customary in Vietnam, but it is appreciated in tourist areas.

20.3 Respect For Elders

Show respect for elders when conducting transactions.

20.4 Giving And Receiving Money

Use both hands when giving or receiving money as a sign of respect.

21. Planning Your Trip With SIXT.VN

Planning your trip to Vietnam with SIXT.VN ensures a smooth and enjoyable experience.

21.1 Customized Travel Plans

SIXT.VN can help you create customized travel plans tailored to your interests and budget.

21.2 Expert Advice

SIXT.VN provides expert advice and recommendations to help you make the most of your trip.

21.3 24/7 Support

SIXT.VN offers 24/7 support to assist you with any issues or questions that may arise during your trip.

21.4 Comprehensive Services

SIXT.VN offers a comprehensive range of services, including airport transfers, hotel bookings, and tours.

22. Currency Exchange Kiosks: A Closer Look

Currency exchange kiosks are a common sight in airports and tourist hotspots. While they offer convenience, it’s important to understand their pros and cons.

22.1 Accessibility

Kiosks are highly accessible, often located in high-traffic areas such as airports, train stations, and major shopping centers. This makes them a quick option when you need to exchange currency on the go.

22.2 Exchange Rates and Fees

Typically, currency exchange kiosks offer less favorable exchange rates compared to banks or local exchange services. They also tend to have higher fees and commissions, which can significantly reduce the amount of local currency you receive.

22.3 Security

Using reputable kiosks in well-lit and secure locations is generally safe. However, it’s always a good idea to be cautious and aware of your surroundings. Avoid using kiosks in isolated or poorly maintained areas.

22.4 Alternatives

Before resorting to a currency exchange kiosk, consider alternatives such as ATMs, local banks, or currency exchange services for better rates and lower fees.

23. Digital Wallets and Mobile Payments in Vietnam

Vietnam is increasingly adopting digital payment methods, which can be a convenient alternative to carrying large amounts of cash.

23.1 Popular Mobile Payment Apps

Several mobile payment apps are gaining popularity in Vietnam, including MoMo, ZaloPay, and ViettelPay. These apps allow you to make payments using your smartphone.

23.2 Usage and Acceptance

While digital wallets are becoming more common, their acceptance is still limited to larger cities and tourist areas. Smaller establishments and rural areas may not support mobile payments.

23.3 Setting Up a Digital Wallet

To use a digital wallet, you typically need to download the app, create an account, and link it to your bank account or credit card. Some apps may require a local phone number for verification.

23.4 Benefits and Drawbacks

Digital wallets offer convenience and can help you avoid carrying large amounts of cash. However, they may not be widely accepted, and you may need a local bank account to fully utilize their features.

.jpg)

Digital Payment Methods in Vietnam are gaining popularity, offering convenience but limited acceptance in rural areas.

24. Pre-Paid Travel Cards: A Convenient Option?

Pre-paid travel cards are another alternative for managing your money while traveling in Vietnam.

24.1 How They Work

Pre-paid travel cards are loaded with a specific amount of currency before your trip. You can then use the card to make purchases or withdraw cash from ATMs.

24.2 Benefits

These cards can help you budget effectively and avoid foreign transaction fees. They also offer security, as you can only spend the amount loaded onto the card.

24.3 Drawbacks

Pre-paid travel cards often come with fees, such as activation fees, reload fees, and ATM withdrawal fees. Exchange rates may also be less favorable compared to other options.

24.4 Choosing the Right Card

When selecting a pre-paid travel card, compare fees, exchange rates, and card acceptance to find the best option for your needs.

25. Common Mistakes to Avoid When Exchanging Money

Avoiding common mistakes can save you money and prevent unnecessary stress.

25.1 Not Researching Exchange Rates

Failing to research current exchange rates can lead to accepting unfavorable deals. Always check the latest rates before exchanging money.

25.2 Exchanging at the Airport

Exchanging money at the airport is convenient but often results in poor exchange rates and high fees.

25.3 Using Unofficial Exchange Services

Using unofficial exchange services on the street is risky and can lead to scams or counterfeit currency.

25.4 Not Counting Your Money

Always count your money after exchanging it to ensure you receive the correct amount.

26. Tax-Free Shopping and VAT Refunds in Vietnam

Understanding tax-free shopping and VAT refunds can help you save money on your purchases.

26.1 VAT (Value Added Tax)

Vietnam has a value-added tax (VAT) of 10% on most goods and services.

26.2 Eligibility for VAT Refunds

Foreign tourists may be eligible for VAT refunds on certain purchases, such as souvenirs and handicrafts.

26.3 How to Claim a VAT Refund

To claim a VAT refund, you need to make purchases at participating stores, obtain a VAT refund form, and present the form along with your passport and receipts at the airport upon departure.

26.4 Conditions and Limitations

VAT refunds are subject to certain conditions and limitations, such as minimum purchase amounts and specific product categories.

27. The Impact of Inflation on Your Travel Budget

Inflation can affect the cost of goods and services, impacting your travel budget.

27.1 Understanding Inflation

Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

27.2 How Inflation Affects Travelers

Inflation can increase the cost of accommodation, food, transportation, and activities, making your trip more expensive.

27.3 Strategies to Mitigate Inflation

To mitigate the impact of inflation, consider booking accommodations and flights in advance, eating at local restaurants, and using public transportation.

27.4 Monitoring Inflation Rates

Stay informed about inflation rates in Vietnam to adjust your budget accordingly.

28. The Role of the State Bank of Vietnam (SBV)

The State Bank of Vietnam (SBV) plays a crucial role in managing the country’s currency and monetary policy.

28.1 Functions of the SBV

The SBV is responsible for issuing currency, managing exchange rates, and implementing monetary policy to maintain price stability.

28.2 Impact on Exchange Rates

The SBV’s policies can influence exchange rates and affect the value of the Vietnamese Dong.

28.3 Regulations on Currency Exchange

The SBV regulates currency exchange activities to ensure stability and prevent illegal transactions.

28.4 Staying Informed about SBV Policies

Stay informed about SBV policies to understand their potential impact on your travel budget.

29. Ethical Considerations for Money Exchange

Ethical considerations are important when exchanging money to ensure fair and responsible transactions.

29.1 Supporting Local Businesses

Choose local businesses for currency exchange to support the local economy.

29.2 Avoiding Unethical Practices

Avoid engaging in unethical practices, such as supporting businesses that exploit workers or harm the environment.

29.3 Transparency and Honesty

Seek transparency and honesty in currency exchange transactions.

29.4 Responsible Spending

Practice responsible spending and avoid contributing to over-tourism or unsustainable practices.

30. Practical Tips for Long-Term Stays in Vietnam

If you’re planning a long-term stay in Vietnam, consider these practical tips for managing your money:

30.1 Opening a Local Bank Account

Opening a local bank account can make it easier to manage your finances and avoid transaction fees.

30.2 Sending Money to Vietnam

Use reliable services like TransferWise or Revolut to send money to Vietnam at competitive exchange rates.

30.3 Income and Expenses

Create a detailed budget to track your income and expenses.

30.4 Tax Implications

Understand the tax implications of living and working in Vietnam.

SIXT.VN is your trusted partner for planning your trip to Vietnam. From airport transfers to hotel bookings and curated tours, we ensure a hassle-free and memorable experience.

Don’t let currency exchange woes dampen your travel spirit! Trust SIXT.VN to guide you through the intricacies of the Vietnamese Dong. Contact us today to start planning your dream vacation with confidence.

FAQ: Your Questions About Vietnamese Currency Answered

1. Can I use US dollars in Vietnam?

While some establishments in tourist areas may accept US dollars, it is best to use Vietnamese Dong (VND) for fair pricing.

2. Where is the best place to exchange money in Vietnam?

Banks and gold shops generally offer the best exchange rates. Avoid exchanging money at airports.

3. Are credit cards widely accepted in Vietnam?

Credit cards are accepted in major cities, but smaller establishments and rural areas may only accept cash.

4. How much cash should I carry in Vietnam?

Carry enough cash for street food, transportation, and small purchases. Use credit cards for larger expenses.

5. What is the current exchange rate between USD and VND?

The exchange rate fluctuates, but it is typically around 23,000 VND per 1 USD.

6. Is tipping customary in Vietnam?

Tipping is not customary, but it is appreciated in tourist-oriented establishments.

7. How can I avoid currency exchange scams in Vietnam?

Be cautious of fake banknotes, misleading exchange rates, and shortchanging. Always count your money.

8. What are some popular mobile payment apps in Vietnam?

MoMo, ZaloPay, and ViettelPay are popular mobile payment apps.

9. Can I get a VAT refund in Vietnam?

Foreign tourists may be eligible for VAT refunds on certain purchases.

10. What is the role of the State Bank of Vietnam (SBV)?

The SBV manages the country’s currency, exchange rates, and monetary policy.