Money Matters: A guide to currency, payments and tipping in Vietnam

Vietnam, a land of captivating contrasts and vibrant culture, beckons travelers with its stunning landscapes, delicious cuisine, and rich history. As you plan your journey, understanding the country’s currency, payment methods, and tipping etiquette is crucial for a smooth and enjoyable experience.

Understanding the Vietnamese Dong (VND)

Vietnam’s official currency is the Vietnamese Dong (VND). While it’s important to be aware of the exchange rate, it’s also fascinating to delve into its history. The Vietnamese Dong has been the country’s official currency since 1946, going through multiple denominations and reforms throughout its existence. The current Vietnamese Dong, introduced in 1978, reflects the nation’s journey towards unity and progress.

The current exchange rate between the Indian Rupee (INR) and the VND fluctuates, so it’s essential to check the latest rates before you travel. As of 1 Indian Rupee (INR) is roughly equivalent to ~300 Vietnamese Dong (VND).

The Vietnamese Dong comes in various denominations, with the most common being: VND 1,000, VND 2,000, VND 5,000, VND 10,000, VND 20,000, VND 50,000, VND 100,000, VND 200,000, and VND 500,000.

Payments

• Cash: Cash is still prevalent in Vietnam, especially in smaller towns and rural areas. The Vietnamese Dong is widely accepted in most places, so it’s advisable to carry enough cash for everyday expenses, including meals, transportation, and souvenirs.
• Cards: Credit and debit cards are increasingly accepted, especially in major tourist areas and larger cities. Visa, Mastercard, and JCB are the most commonly accepted cards. Be aware of potential transaction fees and inquire about card acceptance beforehand, particularly for smaller establishments.
• Mobile Payments (QR codes): Mobile payment apps like MoMo and VNPay and QR code payments are gaining popularity in Vietnam, offering a convenient and secure payment option. They are widely accepted in various stores, restaurants, and cafes, especially in urban areas. You’ll need a local SIM card or a compatible international mobile payment app to use these services.
• Haggling: Haggling is a common practice in Vietnam, especially in markets and with street vendors. Practice polite negotiation skills, start with a lower offer and be prepared to compromise.

Tipping in Vietnam

• General guidelines: Tipping is not customary in Vietnam, but it is becoming more common in tourist areas. It is not expected, but appreciated for excellent service.
• Restaurants: Suggest tipping 5-10% for exceptional service or rounding up the bill.
• Hotels: Suggest tipping bellhops for luggage assistance and housekeeping for good service.
• Tours: Suggest tipping tour guides for excellent service and insights.

Where are the best places for Vietnamese currency exchange?

Exchanging your home currency for Vietnamese Dong is one of the first steps when arriving in Vietnam. You’ll find several options available, each with its own advantages and disadvantages:

• Airports: Currency exchange booths are readily available at most airports in Vietnam, providing a convenient option for travelers, especially those arriving late at night or early in the morning. However, airport exchange booths often have less favorable rates compared to other options.
• Banks: Banks typically offer the best exchange rates for Vietnamese Dong, but the process may take longer, requiring additional documentation like your passport or visa. It’s also important to note that bank hours may be limited, so it’s best to check in advance.
• Gold and jewelry shops: While more conveniently located than banks, gold and jewelry shops tend to have higher exchange rates and may include hidden fees. Always carefully review the fees associated with the transaction before exchanging your money.

To maximize your savings and avoid hidden costs, it’s recommended to research and compare exchange rates and fees among different options before exchanging your currency. Taking the time to find the best deal can save you money and ensure you have the necessary Vietnamese Dong to fully enjoy your travels.

READ MORE: Exploring Vietnam: A Transportation Guide for Indian Tourists

Other useful tips

Here are some key tips to help you navigate payments and currency exchange in Vietnam:

• Budgeting: Create a realistic travel budget and factor in currency exchange rates and potential transaction fees.
• Scams: Be aware of potential scams, such as fake money changers or inflated taxi fares.
• Exchange rates: Check current exchange rates and compare different options before exchanging money.
• ATMs: Before you travel, check with your bank to ensure your debit or credit card is compatible with local ATMs in Vietnam.
• Counterfeit money: Counterfeit banknotes, particularly the 500,000 VND note, can be a problem in Vietnam. To avoid falling victim to counterfeit money, only exchange currency at reputable places like banks or authorized exchange bureaus.
• Keep small bills handy: Many vendors and small businesses may not have change for larger denominations, so it’s helpful to have a mix of smaller bills on hand for everyday transactions.
• Notify your bank: If you plan to use your credit or debit card in Vietnam, inform your bank in advance. This will help avoid any issues with your account being flagged for suspicious activity when you’re making international transactions.

Conclusion

Navigating the Vietnamese Dong, currency exchange practices, and payment methods is crucial for a smooth and enjoyable travel experience in Vietnam. Be prepared to use cash, credit cards, or mobile payment apps, and be mindful of tipping etiquette. Enjoy the vibrant culture and beautiful landscapes of Vietnam, knowing you have the financial tools to navigate your journey with confidence.

READ MORE: A Culinary Tapestry: Embracing The Flavors Of Vietnam