Money

The East Asian financial crisis is now a distant memory, and Vietnam is generally gaining economic clout in the world; but the rate of exchange, not to mention the price of most goods and services, means that travel in Vietnam and throughout the region is very budget-friendly. Especially in smaller towns, you'll find that you can live quite well on very little, and Vietnam's resort destinations and luxury accommodations in general come at a fraction of what you might pay in your home country.

ATM service is good in most cities, but if heading off into the countryside, bring cash. Note that the U.S. dollar is used widely in both Vietnam and Cambodia: In fact, the dollar is the de facto currency in Cambodia, and packing some U.S. greenbacks will come in very handy. Traveler's checks, an anachronism elsewhere in the world, are still not a bad idea, though expect to pay a 2% or 3% commission to exchange them into U.S. or Vietnamese currency. All hotels can do business in U.S. dollars. In some parts, everybody down to the smallest shop vendor quotes prices in U.S. dollars, and particularly the big-ticket items are best handled with greenbacks instead of large stacks of local currency.

While dealing in U.S. dollars can make things less complicated, always keep in mind local currency values so that you know if you're being charged the correct amount or are given the correct change (usually in Vietnamese currency). In this book, we've listed hotel, restaurant, and attraction rates in whatever form the establishments quoted them -- in U.S. dollars (designated by the dollar sign: $) where those were quoted, and in local currencies (with U.S. dollar and British pound equivalents) where those were used.

Be sure to check the currency's current status. CNN's website has a convenient currency converter at www.xe.com/ucc.

Currency

The main unit of Vietnamese currency is the dong (noted as VND), which comes in notes in denominations of 200, 500, 1,000, 2,000, 5,000, 10,000, 20,000, 50,000, and 100,000, as well as the new 500,000 note. There are now also 200-dong coins. Most tourist venues accept dollars, and even in small towns you will at least be able to exchange greenbacks, if not use dollars directly. The exchange rate is approximately 15,000 VND to $1 (£0.55).

It's unlikely that you'll be able to get your hands on any Vietnamese currency in your own country when planning for departure to Vietnam, but it's easy to get started with a handful of U.S. dollars or traveler's checks that you can easily cash at an airport kiosk upon arrival. ATM service in the larger cities and towns is growing exponentially.

ATMs

The easiest and best way to get cash in Vietnam is from an ATM (automated teller machine) and you'll find an increasing number of machines throughout the country. Most tour centers at least have a branch of Vietcombank with an international ATM (for a fee, of course) and the number of international banks is growing year by year.

The Cirrus (tel. 800/424-7787; www.mastercard.com) and PLUS (tel. 800/843-7587; www.visa.com) networks span the globe. Go to your bank card's website to find ATM locations at your destination. Be sure you know your daily withdrawal limit before you depart. Note: Many banks impose a fee every time you use a card at another bank's ATM, and that fee can be higher for international transactions (up to $5/£2.75 or more) than for domestic ones (where they're rarely more than $2/£1.10). In addition, the bank from which you withdraw cash may charge its own fee. For international withdrawal fees, ask your bank.

Note: Banks that are members of the Global ATM Alliance charge no transaction fees for cash withdrawals at other Alliance member ATMs; these include Bank of America, Scotiabank (Canada, Caribbean & Mexico), Barclays (U.K. and parts of Africa), and Deutsche Bank (Germany, Poland, Spain, and Italy), and BNP Paribas (France).

Credit Cards

Credit cards are another safe way to carry money. They also provide a convenient record of all your expenses, and they generally offer relatively good exchange rates. You can withdraw cash advances from your credit cards at banks or ATMs but high fees make credit-card cash advances a pricey way to get cash. Keep in mind that you'll pay interest from the moment of your withdrawal, even if you pay your monthly bills on time. Also, note that many banks now assess a 1-3% "transaction fee" on all charges you incur abroad (whether you're using the local currency or your native currency).

Visa and MasterCard are the most commonly accepted cards throughout Vietnam; American Express is often taken as well at more high-end spots.

Traveler's Checks

Rural stops in Vietnam are less likely to have ATM service, so carrying some traveler's checks as a backup isn't a bad idea. Most retailers don't accept traveler's checks in Vietnam, which means you'll have to pay a commission to exchange them.

You can buy traveler's checks at most banks. They are offered in denominations of $20, $50, $100, $500, and sometimes $1000. Generally, you'll pay a service charge ranging from 1% to 4%.

The most popular traveler's checks are offered by American Express (tel. 800/807-6233 or 800/221-7282 for card holders -- this number accepts collect calls, offers service in several foreign languages, and exempts Amex gold and platinum cardholders from the 1% fee.); Visa (tel. 800/732-1322) -- AAA members can obtain Visa checks for a $9.95 fee (for checks up to $1,500) at most AAA offices or by calling tel. 866/339-3378; and MasterCard (tel. 800/223-9920).

Be sure to keep a record of the traveler's checks' serial numbers separate from your checks in the event that they are stolen or lost. You'll get a refund faster if you know the numbers.

American Express, Thomas Cook, Visa, and MasterCard offer foreign currency traveler's checks, useful if you're traveling to one country or to the Euro zone; they're accepted at locations where dollar checks may not be.

Another option is the new prepaid traveler's check cards, reloadable cards that work much like debit cards but aren't linked to your checking account. The American Express Travelers Cheque Card, for example, requires a minimum deposit, sets a maximum balance, and has a one-time issuance fee of $15 (£8.35). You can withdraw money from an ATM (for a fee of $2.50/£1.40 per transaction, not including bank fees), and the funds can be purchased in dollars, euros, or pounds. If you lose the card, your available funds will be refunded within 24 hours.