3 Ways to Transfer Money from South Korea to Vietnam Quickly, Safely, and Reliably

Every year, hundreds of thousands of Vietnamese people living, studying, and working in South Korea need to send money to their families back home. However, not everyone knows how to transfer money from South Korea to Vietnam quickly, cost-effectively, and securely. This article provides an overview of popular transfer channels, selection criteria, and practical considerations to help you make an informed decision.

1. 3 Popular Channels for Transferring Money from South Korea to Vietnam

Method 1: Transferring Money from South Korea to Vietnam via International Interbank Transfers (SWIFT Network)

This method is carried out through the international banking network. The sender can visit a transaction counter or use the Mobile Banking app of banks in South Korea (KB Kookmin, Shinhan, Woori, NH Nonghyup, IBK, etc.) to initiate a transfer.

• Advantages: High security, suitable for large transfers (such as property purchases or payments under high-value contracts), and provides complete legal transaction documentation.
• Disadvantages: Higher transfer fees (including fees charged by the sending bank, intermediary banks, and receiving bank); processing may take several business days.

Required information the sender must provide to the bank in South Korea:

• Recipient’s full name (without Vietnamese diacritics, matching their identification documents).
• Recipient’s bank account number in Vietnam.
• Receiving bank’s name and SWIFT Code/BIC.

Method 2: Transferring Money through Money Transfer Apps

In addition to banking channels, several licensed online financial service providers, such as Hanpass, Sentbe, and CrossPay, currently offer money transfer services from South Korea to Vietnam.

• Advantages: Transactions can be completed on a mobile phone, with Vietnamese-language interfaces and relatively fast crediting times.
• Disadvantages: The amount that can be received per day or per transaction depends on each provider’s policies. Recipients may also incur significant foreign exchange rate differences, depending on the time of the transaction.

Process:

• Download the app, register an account using your Alien Registration Card (ARC), and verify your bank account in South Korea.
• Enter the recipient’s information in Vietnam (account number and receiving bank name).
• Confirm the exchange rate and fees, then complete the transfer on your phone.

Method 3: Transferring Money through International Remittance Companies (MoneyGram, Western Union, ...)

Senders in South Korea can deposit money directly at remittance agent locations or make transfers through the online apps of MoneyGram or Western Union.

• Advantages: Processing is generally faster, with many locations supporting almost instant cash pickup.
• Disadvantages: Service fees and exchange rates may be higher than those of standard SWIFT transfers. Users should carefully check that the service provider is legally licensed in Vietnam to avoid potential scams.

Process:

• The sender deposits money in Korean Won (KRW) and receives a Money Transfer Reference Number (Reference Code / MTCN) consisting of 8–10 digits.
• The sender provides this reference number to their family member in Vietnam.
• The recipient brings their Citizen ID Card (CCCD) or passport, along with the Money Transfer Reference Number, to an agent bank location in Vietnam (such as SeABank) to collect cash, or uses the "Receive Remittance" feature directly on the SeAMobile app to have the money credited to their account 24/7.

2. Legal Regulations and Transfer Limits from South Korea to Know

Before sending money to Vietnam, you should understand the following Foreign Exchange Transaction Regulations and basic transfer limits in South Korea.

• Foreign nationals can transfer an amount equivalent to up to USD 50,000 per year through a designated foreign exchange bank without providing separate supporting documents. If the amount exceeds this limit, you must submit supporting documents such as payslips, income certificates, or foreign currency purchase certificates.
• Transfers involving income earned from employment in South Korea, social insurance benefits, welfare payments, and pensions also require supporting documents when sending money overseas.
• You must designate a specific foreign exchange bank to carry out these money transfers.

Note: Transactions involving the transfer or exchange of amounts exceeding the equivalent of 10,000 USD per transaction will be reported to the National Tax Service and Korea Customs Service.

3. Important Considerations for Secure Transactions and Avoiding Risks

• Choose Official Channels: Prioritize banks or credit institutions licensed to conduct foreign exchange activities. Avoid unofficial money transfer methods (such as third-party transfers or personal arrangements) to reduce the risk of violating foreign exchange regulations or losing your funds.
• Calculate the Total Actual Cost: This includes Fixed Fees + Exchange Rate Differences. Compare the actual amount in Vietnamese Dong (VND) that your family member will receive in their account rather than looking only at the initial transfer fee.
• Verify Recipient Information Accurately: Carefully check the recipient’s full name (without Vietnamese diacritics), account number, and the beneficiary bank’s SWIFT Code to avoid transaction inquiries or delayed crediting.

4. Frequently Asked Questions (FAQ)

1. How long does it take to transfer money from South Korea to Vietnam?
The processing time depends on the transfer channel. Transfers through the SWIFT banking network generally take several business days. Transfers through remittance services or online apps linked to digital banking services such as SeAMobile are usually processed faster and may be completed within the same day.

2. How can my family member in Vietnam receive remittances at the best exchange rate?
You should monitor fluctuations in the KRW/VND exchange rate and consider receiving money through a domestic bank account with competitive exchange rate policies, such as SeABank, to maximize the amount received.

3. What documents do I need to prepare for each transfer from South Korea to Vietnam?
Generally, you need to prepare your passport or valid identification documents, along with the recipient’s full information in Vietnam (full name, account number, receiving bank name, and SWIFT Code). Additional documents may be required depending on the transfer channel. You should contact the bank or money transfer service directly to confirm the required documents.

4. How can I check whether the recipient in Vietnam has received the money?
After completing the transaction, you will receive a receipt or transaction reference number. You can use this number to track the transaction status directly through the bank’s or money transfer service’s app or website. The recipient in Vietnam will also receive a notification from their bank when the money is credited to their account.

5. How much does it cost to transfer money from South Korea to Vietnam?
Transaction fees depend on the transfer channel, amount sent, and transaction time. In addition to fixed fees, you should also consider exchange rate differences, which can often account for a much larger cost than the listed transaction fee. Compare the total actual costs (fees + exchange rate) across different channels before making a decision.

Choosing the right way to transfer money from South Korea to Vietnam helps ensure that the money sent to your family is processed securely and on time. You can learn more about convenient bank-based receiving solutions through SeABank’s Money Receiving Service in Vietnam.