Near Tet, illegal money exchange services explode, customers pay 300,000 VND/exchange

The "small change" for Tet lucky money is the new polymer banknotes, including small denominations of 10,000 VND, 20,000 VND, 50,000 VND, 100,000 VND and 200,000 VND. Near Tet, the demand for new money increases dramatically, causing the service of exchanging small change for a fee to explode, even though it has been banned for many years.

On the afternoon of January 30, 2024, on Dinh Le Street (Hoan Kiem District, Hanoi ), although the exchange of small change does not take place publicly, as long as customers express their need to exchange small change, the locals will direct them to Ms. T., a middle-aged woman who is always present at a coffee shop on this street.

Although the activity of exchanging small change is prohibited, it still takes place.

Ms. T. said that people who exchange small bills will be charged a fee depending on the denomination and the amount of money they want to exchange. This year, 20,000 VND bills are the rarest on the market, so the exchange price is also more expensive. The most common bills are 10,000 VND and 50,000 VND bills.

“20,000 VND bills are rare and very expensive. To exchange a bundle of 2 million VND bills for 20,000 VND bills, you will lose 300,000 VND (equivalent to 15% of the cut fee). To exchange 1 million VND bills for 10,000 VND bills, you will only lose 70,000 VND (equivalent to 7%),” said Ms. T.

Ms. T. added that, in addition to the 20,000 VND denomination which is currently scarce, new bills of all denominations are available. The 10,000 VND bill alone can be exchanged for tens of millions of VND immediately. However, the lowest amount is 1 million VND for Ms. T. to accept.

Seeing that the money changer only brought 500,000 VND, Mrs. T. suggested: "Go home and collect more and bring it here so I can exchange it for you. 5 million, 10 million are always available, if it's too little I won't exchange it. At least it has to be enough for a series of 500,000 VND."

The activity of exchanging small change for a fee is also taking place vigorously and openly on social networks. At the time before Tet, finding posts about this service is not difficult, just type in the keyword and there will be a series of addresses accepting small change for Tet lucky money.

Publicly exchanging small change on social networks. (Screenshot).

“I accept exchanging new money, cash in denominations of 10,000 VND, 20,000 VND, 50,000 VND, 100,000 VND, guaranteed price. Anyone who needs to send me a private message, guaranteed best price. The closer to Tet, the higher the fee. Anyone who wants to exchange for a cheap fee should exchange now,” Facebook account LB advertised.

An account named NN also offers: "It's almost Tet, everyone/1 Ms. N. accepts to exchange small bills for people going to the pagoda at the beginning of the year, giving lucky money with all denominations from 1,000 VND to 200,000 VND. The earlier you exchange, the lower the fee, the closer to Tet the higher the fee."

Contacting these people, the reporter learned that the fee for exchanging small change ranges from 10 - 30% depending on the type and amount of money to be exchanged. The transaction is also quite simple. If the amount is not much, the person who wants to exchange money only needs to transfer the amount to be exchanged plus an agreed fee, then the money exchanger will ship it to the place. For large amounts, you can meet directly to make the transaction.

Faced with the boom in small change exchange services, experts and management agencies warn people to be cautious with money exchange services on social networks because of the risk of exchanging counterfeit money.

Recently, the Governor of the State Bank of Vietnam (SBV) signed and issued Official Dispatch No. 01/CD-NHNN, requesting credit institutions and bank branches to strengthen coordination in inspection, promptly detect and strictly handle violations in buying and selling foreign currency, gold and exchanging money in violation of regulations.

The State Bank of Vietnam recommends that people be careful with the money exchange service taking place online because it not only violates the law but also poses the risk of encountering counterfeit money or having their deposit "skipped".

The State Bank of Vietnam has directed and requested bank officials not to directly or indirectly assist those who exchange new money to enjoy price differences. The State Bank of Vietnam will receive feedback and coordinate with relevant authorities to manage well, limit violations, ensure security and safety of currency, and strictly handle violations.

Decree 88/2019/ND-CP of the Government on administrative sanctions for violations in the field of currency and banking stipulates a fine of 20 to 40 million VND for acts of exchanging money not in accordance with the law.

Cong Hieu

Source