If there is one common request that unites all of our customers it’s the desire to get value for money from their money transfer. There are many factors which can help you achieve this goal and choosing Small World is a good starting point.
In this blog we want to concentrate on one specific element which will benefit you next time you send money to Vietnam, and that is the role of exchange rates.
The reason why this is particularly important at the moment is that earlier this year, as reported to Bloomberg, Vietnam’s central bank cut interest rates in an attempt to bolster economic growth during the Covid-19 pandemic.
What is the impact of low interest rates?
Lowering interest rates will impact an economy in several ways including:
1. It is cheaper to borrow: Cheaper borrowing encourages both consumers and businesses to take out loans, which in turn helps to stimulate the economy.
2. Saving is less profitable: Lower interest rates mean less of a return on savings and therefore encourages spending rather than locking money away in banks for little reward.
3. Exchange rates will depreciate:
Lower interest rates lead to a reduction in savings and therefore there will be less demand for the country’s currency. That drop in demand will lead to a drop in value of that currency or exchange rate and will encourage foreign investment.
This drop in the exchange rate is also good news for anyone who wants to transfer money to Vietnam because it means that your USD will be worth more when converted into Vietnamese Dong.
So, your recipient will receive more money when the exchange rate is lower. Therefore, if you are contemplating sending money internationally to your friends and family, now might be the ideal time.
How to send money to Vietnam?
There are several different ways that you can send money to Vietnam allowing you to support your beneficiary in the way that is most appropriate for them. These include:
Home delivery: Money is delivered directly to a home address in Vietnam.
Bank deposit: Dong or USD can be deposited directly into a bank account in minutes.
Cash pick-up: Send money to be collected at any of our 14,998 locations in Vietnam.
Cash card reload: A pre-paid cash card can be topped up with money.
Mobile wallet: The digital equivalent of a physical wallet into which money can be deposited.
Sending money with Small World
As well as there being the different types of transfer outlined above, there are different options available to you, the sender.
Depending on your preference, you can choose to send money online through our website or via our cell phone app. Our blogs will take you through the easy steps needed to create an account with us so that you start sending money.
In just a few minutes you can be setup with an account and ready to take advantage of the favourable exchange rates.
It is worth remembering that you will be charged a transfer fee every time you send money to Vietnam, therefore you should prioritize sending a small amount of large transfers over many small transfers.
Also, don’t forget that your first transfer with Small World is transfer-fee free, meaning that 100% of your first send will go straight to your recipient in Vietnam. Combined with the appealing exchange rates, now really is a great time to ensure value for money. The most popular ways to send money to Vietnam are:
- Bank deposit: Send money direct to a bank account
- Cash pick-up: Send money for cash pick-up - click here to see all the collection locations
- Home delivery: Your transfer is delivered straight to a home address