Asia - Vietnam and Foreign Currency

I'm heading to Vietnam in a few weeks, with a trip south to north.

Does anyone have advice on the best way to finance the trip. Basically there are four options: Credit Card, ATM, US dollars cash, US dollars travellers cheque. Once there, will I need to have plenty of Vietnamese Dong, or will US dollars be fine? And should I convert money before I go, or just use ATMs or Credit Cards?

Thanks for your help!

US dollars cash are accepted pretty much universally at a rate of 1 to VND 15000 and you'lll get all the dong you need as change, but this is around 5% below the bank rate so there's a small price to pay for the convenience. International ATMs that can give you dong can be found in the bigger cities. I'd be picky about the places where I choose to pay with a credit card, it's all too easy to clone it...

I'd second taking US dollars and make sure you have some before you reach Vietnam. The local taxi drivers will take them instead of dong.

Amazingly this was a topic of dinner conversation this past weekend.

Advice was take US dollars, that is what is prefered. Change is often given in dong, as even the Vietnamese don't want it.

Someone mentioned that exchange rates varied on size of bill. 1-20 had one rate, while larger bills got a better rate. Try not to change too much, as no-one wants it back.

We then moved on to the ug-boot topic!

.....

I was there 2 years ago so things might have changed but I would not rely on ATM's. In Hanoi there were only 2 banks that had ATM's that worked with Plus or Cirrus. I think it was an ANZ bank. They also charged hefty transaction fees of $10USD for withdrawal. Interestingly enought my Canadian bank cards were not charged that extra. Something about the fact that there isn't a warning screen programmed in the teller warning you about the charge so the Canadian banks will not charge you that extra fee. I have noticed that too with some US banks that charge that extra fee too. Some have explicited said that they can't charge Canadian bank cards the extra fee.

This is good advice.

I bring crisp new US$100 dollar bills plus some $5's and $1s for incidentals and departure tax. They can be very fussy about the bills. $100's get the best rates but they will reject bills for even tiny tears, excessive wear, or for being 1996 or earlier. Often the gold shops give the best exchange rates. Look for the open storefront shops with a bunch of gold chains laying out in glass cases. They almost all can cash a $100 into dong no problem.