Feasibility Analysis and Operational Guide for Accepting KRW Remittances in Hong Kong Accounts

Can Hong Kong Accounts Receive Won Remittances Smoothly? A Deep Dive and Practical Guide

In recent years, with the increasing frequency of cross-border trade and tourism, more and more people have begun to pay attention to issues related to international currency transfers. Among them, Hong Kong, as one of the world's most important financial centers, has attracted a large amount of capital flow from all over the world. However, for those who want to receive won remittances through a Hong Kong account, this process is not always straightforward. This article will analyze from multiple perspectives the possibility of receiving won remittances in Hong Kong accounts, common problems, and solutions, providing readers with a practical operational guide.

I. Background and Current Situation

Hong Kong is one of the most open economies in the world, with a highly developed banking system and foreign exchange market. According to data from the Hong Kong Monetary Authority HKMA, by the third quarter of 2025, the Hong Kong dollar remains the main trading currency in the region, but other major currencies such as the US dollar, euro, and renminbi also hold significant positions. In contrast, the won holds a relatively low proportion in Hong Kong dollar transactions. However, this does not mean that the won cannot be legally exchanged or transferred in Hong Kong.

It is worth noting that although the won has high liquidity in the international market, due to its status as a non-mainstream currency, it is not widely accepted as a direct settlement currency within Hong Kong's banking system. Most of the time, the won needs to be converted into US dollars or other more common settlement currencies before it can smoothly enter a Hong Kong account.

II. Key Steps for Receiving Won Remittances in Hong Kong Accounts

1. Choosing the Right Bank

When opening an account in Hong Kong, the first consideration should be whether the selected bank supports won-related services. Currently, some large commercial banks in Hong Kong, such as HSBC and Standard Chartered, usually handle won-related transactions. However, these services often rely on the US dollar or renminbi as an intermediary bridge. It is recommended to consult with bank customer service in advance to confirm specific processes and support situations.

2. Ensuring Complete and Accurate Account Information

Before receiving any international remittance, it is necessary to ensure that the recipient's account information is accurate and error-free. This includes but is not limited to name, account number, bank name, and SWIFT code. For won remittances, due to currency conversion, it is particularly important to fill in the correct currency type and avoid errors that could lead to returned funds.

3. Understanding Related Fees and Exchange Rate Differences

International remittances typically involve handling fees and exchange rate differences. For example, due to the lower liquidity of the won compared to the US dollar or renminbi, higher costs may be incurred during the conversion process. Different banks may also have significant differences in their buying and selling prices for the won. Therefore, before proceeding, you should fully compare quotes from multiple banks and choose the most cost-effective solution.

4. Adhering to Anti-Money Laundering Regulations

According to Hong Kong's regulations on combating money laundering and terrorist financing, all financial institutions must strictly enforce customer identity verification procedures. This means that both individual and corporate users must submit necessary documents to prove their identities when receiving won remittances and cooperate with banks to complete due diligence. Failure to meet requirements may result in failed transfers or even legal sanctions.

III. Real Case Analysis

Recently, there have been media reports of a real case where a won remittance failed. A South Korean businessman attempted to transfer part of his company's income to a friend's account in Hong Kong but, because he did not verify beforehand whether the recipient's bank supported direct won deposits, he ultimately had to complete the transaction via US dollar intermediation. This not only increased additional costs but also delayed the arrival of funds. This incident serves as a reminder that we must carefully plan every step when handling cross-border remittances.

IV. Practical Suggestions

In light of the above issues, the following points can help you manage won remittance matters more efficiently

Early Communication Whether domestically or internationally, you should communicate clearly with bank staff early on, clarifying the materials needed and any restrictions.

Leveraging Fintech Tools Nowadays, many third-party payment platforms like PayPal and TransferWise offer convenient international transfer services, which usually provide lower rates and faster service experiences.

Diversifying Risk If the amount is large, consider making multiple smaller transfers instead of a single concentrated operation. This can reduce the risk of each transaction while better controlling losses caused by exchange rate fluctuations.

V. Conclusion

Overall, although it may be challenging for Hong Kong accounts to directly receive won remittances, this goal can be achieved through reasonable planning and meticulous preparation. With the acceleration of economic integration in the Asia-Pacific region, the status of the won in Hong Kong's market is expected to gradually improve. It is hoped that the information provided in this article will help you successfully complete won remittance operations while avoiding potential risks.