Job Discussion Forums

Bold As Love · Joined: 27 Mar 2010 Posts: 39 Location: HCMC, Vietnam

I am moving to HCMC in July to start a new teaching job. My school charges student tuition in US dollars, but pays the staff (including me) in dong. I am sure that this is a nice little money spinner for the school as they are probably quite skilled at working the exchange rate in their favor.

As I look at available apartments on line, I see that they are valued in US dollars. I'll probably end up in D7, so we are talking about $600 per month. I hate to lose a few percent and go through the hassle of exchanging currency every month. Should I push to have the monthly rental expressed dong rather than dollars?

For you old VN hands, how do you pay the rent? Wink

Mushroom Druid · Joined: 19 Oct 2009 Posts: 91

Most of us are in the same situation.

We are paid in dong (but quoted a dollar rate that follow the banks exchange rate).

Almost all landlords want rent in USD, for some odd, bizarre reason.

It's illegal to pay rent in a currency other than the dong, but the law is, well.....

When landlords accept our payment in dong, lookout. They will almost always to try extort you for the black market rate, the higher rate.

At the time being (for now) the black market and bank rates are very similar.

Bold As Love · Joined: 27 Mar 2010 Posts: 39 Location: HCMC, Vietnam

OK, thanks Mushroomer ...

I think I am in same situation as my salary is denominated in dollars, so I guess there is no risk to pay in dollars. Just lose a few percent in transaction costs to exchange my salary dong into dollars.

By the way, can anyone recommend a Bank in HCMC? Ideally one that would allow foreign currency accounts and with branches around Asia in case I move. I'd actually like to start saving money again for a change. I wonder if HSBC is a good bank and if they have a presence in VN?

Ryan425 · Joined: 11 Mar 2010 Posts: 11 Location: Ho Chi Minh City

Hello:

I have always paid my rent in VND, and I've been here since 2007. It is news to me that some landlords are making their tenants pay rent in USD. My lease has the amount in dollars, but I pay in dong. The rate which my landlord uses is the exchange rate for Vietcombank and not a black market rate. I think you should insist that since you are paid in dong that you can only pay your rent in dong. Why put yourself through all of the hassle of having to exchange currency each month?

jb0072009 · Joined: 26 Feb 2009 Posts: 127 Location: Saigon

I guess I have a good landlord. He takes the rent in dong or dollar whichever I choose. I get paid in dollars so for a while I was paying in dong. Now that the black market rate is about the same as the bank I just pay him in dollars

cheezmonger · Joined: 21 Apr 2010 Posts: 5

i think it varies but if it is a verbal contract you can ask them to make it out for dong - mind you - i assume your salary is quoted in dollars so isn't that a bit of a double-standard?

most normal people will go by the bank rates. only the crooked yuppie types will ask for black market rate.

Oh My God · Joined: 31 Jan 2010 Posts: 273

This rental Contract in US Dollars thing started in PMH in D-7 a feww years ago and was quickly picked up by the rip-offs in PNL in D-1 right after that. The VN decided this was a great way to avoid the often devaluation of the Dong and a buffer to inflation.

But the truth is - only a contract written and quoted in VN Dong is legal and respected by other government agencies. I've ONLY paid and made contracts for housing in VND - any prospective landlord that tried the USD route was soon talking to the back of my head and if I did say anything to him, it would have been something like F@#$ YOU, YOU GREEDY LITTLE SON OF A B!*+~!!! Or perhaps some other explicatives along those lines...

Look around guys, MOST VN landlords do contracts in VND for other VN's - why not for you?

londo · Joined: 27 Apr 2010 Posts: 107 Location: District 7

I too pay in Dong, in fact I have just re-signed the lease with the same exchange rate as last year, $400 for D7,000,000, and yes, I live in Phu My Hung. Landlords in this part of town are suffering, many places been empty for over a year. No need to pay $600 unless you need something special like LCD TVs or communal pools.

csleeper · Joined: 30 Jun 2010 Posts: 12

When I got to VN in 2009 the exchange rate was 17000:1. When I left in 2010 it was 19200:1. It doesn't seem like the dong will be going down anytime soon. At this rate it's much better for you to get a quote in VND. I always paid my rent in VND and it never changed the entire time I was there. Some of my other friends were quoted rent in USD and were therefore constantly paying a different amount every month cause the landlord based it on the current exchange rate. Sure, you may only be saving a few dollars a month, but if you've lived in Nam you know that a few dollars go a long way.

vietexpat2008 · Joined: 08 May 2010 Posts: 18

Londo: 400? That makes me want to move to PMH (Although traffic to work would be murder). I pay that right now, but I do have a lot of space. How big is your place?

londo · Joined: 27 Apr 2010 Posts: 107 Location: District 7

two floors, two beds, kitchen, bathroom, sitting room/diner total about 80m2.

Another poster here just got a very nice 2 bed in Sky Garden (brand new) for $500-$550 and a place near me ( a little smaller) going for $300/$350.

Plenty around at the moment. PM me if you want number of good agent.

Trip to work? - 20 minutes to D10 or 30 minutes to D1 or D3 (Dak tao or Hai Ba Trung)