Currently, the international money transfers of banks are relatively active. Many banks have allowed the transfers via Internet Banking from few years. Because this segment brings good revenue through fee collection, banks have implemented many promotions to attract customers.
According to World Bank (WB) data, remittances to Vietnam were estimated at $16.7 billion in 2019, a slight increase of 4.6 percent compared to the previous year. Thus, this year may be the third consecutive year that Vietnam is among the top10 receiving countries in the world. Most recently, in 2017 and 2018, Vietnam was on this list with remittances of $13.8 billion and $15.9 billion, respectively. Nguyen Hoang Minh, deputy director of the State Bank of Vietnam (SBV), HCM City branch, also said that the amount of remittances to the city after the first nine months reached about $3.8 billion, up seven percent over the same period. Expectedly, the year remittance of the city would reach about $5 billion.
At the same time, the demand for international remittances of Vietnamese people for purposes such as studying abroad, immigration, medical treatment, and transfer of family allowances are increasing rapidly, especially for studying when Vietnam is among the top countries in terms of the number of students studying abroad.
The transfer service through commercial banks with staff having good law knowledge, ensuring efficient and convenient transactions is the first choice. In addition, the abundant supply of foreign currencies and the rich range of foreign exchange products are the strengths making commercial banks the leading organisation to meet the diverse needs of customers.
Understanding the increasing demand for international money transfers, banks have also recently implemented more and more professional remittance services and attracted more customers through the simple procedure at counters, and quick process. Because this segment has a lot of development space, bringing good profits through fee collection, banks have also implemented many promotions to attract customers.
For example, Saigon Commercial Joint Stock BankSCB is implementing the promotion programme “International money transferTake back diamonds” from now until the end of December 31, 2019 with the total prize value up to over 600 million dong. When transferring money to make international payment during this time at all SCB’s transaction offices nationwide, customers will be given a lucky draw code (corresponding to each transaction). Attractive prizes include a diamond prize of 6.8 mm Round VVS1 Diamond worth 450 million dpmg; three Ruby prizes of iPhone11 Pro Max worth 40 million dong per phone; and10 Shapphire gold prizes of 24 gold coins for only 24K PNJ Phuc Loc Tai, worth 4.5 million dong per prize.
Highlights of the form of international money transfer via bank channels are simple procedures, many incentives and absolute safety. Moreover, many Vietnamese banks have allowed multi-currency remittance by buying foreign currencies from banks at competitive rates. Due to the direct transfer method, without intermediaries, customers can be assured of the security as well as the convenience of the above method. Currently, a number of Vietnamese banks have been recognised by the international partners with the standardised percentage of electricity treatment with the almost absolute rate of transparent electricity processing (STP), such as Vietcombank, BIDV, Agribank, and SCB. All have STP ratios above 90%. Most recently, SCB was recognised by the Bank of New York Mellontop10 banks in the worldup to 98%. This is a very high rate compared to the industry standard.
