Daveroc

I'm not a Thai Accountant / financial genius, but Ms. bino is. She mostly agrees with your accountant. According to her:

Your customer invoices are subject to VAT, and that money must come to Thailand. If you want to open an account in another country to simplify the payment process for your customer, that is fine. However, the total value of your Thailand issued invoices would have to be transferred to a Thai Bank. You are effectively making the transfer same as your customer would have to do.

You will run seriously afoul if you collect Thai issued invoices overseas, and then use that money to pay overseas expenses / suppliers without repatriating it first because both of those transactions are subject to VAT.

Unless of course - you have some special arrangement / BOT status where they will examine and approve your overseas transactions (and trust you to pay the taxes due on the transactions!)

Hi Bino, thank you and Ms. Bino for verifying this requirement.

Understood regarding the requirement to transfer the funds to a Thai bank.

I should add that this foreign account is entirely for managing our business (as mentioned above, a service business with an export component) and is in no way for getting around the Thai revenue department. We collect and pay VAT as required. If we can get the account open, all transactions involving the account will be audited by our Thai auditor. If there's other reporting requirements for the BoT, we'll of course comply with them.

Now to figure out how to get the approval. As Old Man River suggests, will start with our Thai bank manager when she's off vacation next week.

Cheers, Darwin

Hi another maybe stupid question. Can a foreign company establish a THB bank account in Thailand to receive local payments which then will be transferred in USD to the headoffice bank abroard? Any good websites on import fanancing options you know of? Many times I feel like talking to a brick wall when discussing very specific banking requirements. Or I never found the right person to talk to.

Please PM me thanks

It is possible for overseas registered companies to open Bank accounts in Thailand.

Attached is the link to Bangkok Banks website outlining the documents required and the certification needed as these documents cannot be verified inside Thailand.

http://www.bangkokbank.com/Bangkok%20Bank/Business%20Banking/SMEs/Operating%20Accounts/THB%20Account%20for%20Company%20Registered%20Overseas/Pages/default.aspx

Whenever i do transfers they do say its going through a third party, but it just seams strange its quicker through one than the other.

I used the same bank for all my transfers, its only the receiving bank that has changed. So its got to be the same third party.

Not necessarily. If your remitting Bank does not have a correspondent arrangement with the receiving bank, they need to find a third pary that has a relationship with both the remitting and the final receiving Bank to complete the transfer. i.e Bank A remits to Bank B but may need to use Bank C to be the intermediary.

If you change the receiving Bank, the Remitting bank may have to find a different third party that has that relationship. Because Bank C does not have a relationship with your new receiving Bank they may have to find another Bank to complete the transaction.

4 days is certainly excessive and if this is the norm, you would need to discuss with Bank of A. why it is taking so long. possibly your remitting Bank does not have a direct relationship with Bank of A. and it is being routed tyhrough a third organisation.

A further example in timing is my own today. I requested a transfer from my Bank in New Zealand to Bangkok Bank in Bangkok. My NZ Bank called at 9.30am Thai time to confirm the instruction and I received notification through the BBL SMS alert facility that the funds were being lodged to my account aqt 11.10am

Have just checked it and website/Internet Banking working OK.

Useful information thanks. Those rates are equivalent to about the best you can get in the UK right now - i.e. poor, but worthwhile if you just want to park short/medium term money that you dare not invest in riskier assets.

I suspect that Thai bank deposits come with no, or a much lesser, guarantee than those in Europe (currently 100% guaranteed by the state through regulatory bodies up to Euros100,000 (GBP £85,000).

Anybody know if there is any deposited funds guarantee in Thailand? Don't laugh!

Currently the Deposit Protection Agency in Thailand will fully protect Bank deposits to 50 million baht (GBP 1million approx.) per customer. This will be reduced to 1 million baht in august 2012.

Don't you have to have an account with the Bangkok Bank London before you can transfer to the Bangkok bank in Thailand.

Absolutely definately NOT, the receiving account needs to be with Bangkok Bank thats all.

Thanks for info because my Bangkok bank a/c received money from UK bank and it was 700 baht less.

So to clarify :- Go online UK bank, go transfers, send to Bangkok bank London branch with your Thailand Bangkok bank details and they take £20 and send it as pounds and you change, when it arrives at your Thailand branch.

I see that you must be friends with " Naam " so can I ask another question please.

My Thailand Bangkok bank is a Thai baht account, do I have to open a Stirling account with them.?

No you do not need to open a Sterling account to complete this transaction.

If you request your UK Bank, which appears to be a major one to make a SWIFT transfer to your account here it should be availabe within 48 hours. Friday is a holiday in the UK and there is the time diff. but if they action it tomorrow it should be with you in Thailand by Friday. On the amount you are talking about the costs will be around 20 pounds at the UK end and a maximum of 500 baht at the Thai end.

If you are looking to set up a permanent arrangement you may care to look at Bangkok Banks website that sets out the approach.

http://www.bangkokbank.com/Bangkok%20Bank/Personal%20Banking/Transfering%20Funds/Transferring%20into%20Thailand/Receiving%20Funds%20from%20UK/Pages/Receiving%20Funds%20from%20UK.aspx

It is common practice to remit EUR into Thailand. IBAN numbers are pretty much limited to european countries. Bangkok Banks SWIFT address is BKKBTHBK

To summarize information spread through the various posts. Bangkok Bank can offer Depsit accounts in 13 currencies. The accounts can be opened at a number of Branches around the Nation. Minimum opening deposits are the equivalent of USD1000. There are no account fees for operating the account unless the balance falls below USD250 when a USD10 charge will apply.

Fees charged for depositing funds depend on the method used. A SWIFT transfer cost will be .25% with a Minimum THB200 and a Max. 500Baht

Withdrawal fees range from .25% for USD, .5 for EUR, GBP, JPY and slightly higher for other currencies. In all cases the minimum 200 baht maximum 500 baht applies.

There is no charge if the funds are withdrawn and placed into a Thai Baht account.

Access to the account can be through the Internet Banking facility if you have it, or a call to the Branch. ATM cards cannot be connected to these accounts. Account balances are visible through the internet Banking facilty.

Documentation required to open the accounts is the same as per a Thai Baht account.

Just tried to log onto internet banking, and was told the server was busy. BKK bank is usually prettty good.

Please PM me if you get this "server busy" message as that really should not be happening. Thank you.

I received a transfer and was notified early am today via telephone message , so perhaps before problems started ,but did notice all ATM's , not only Bangkok Bank , not working around 9.30 am .

One thing that frustrates me about Bangkok Bank is their lack of ATM's compared to other banks - and often the ATM's they do have are out of service - For instance in Nathon - Koh Samui there is only 1 Bangkok Bank ATM - any reason ? The local manager says I must phone Bangkok to complain .................

Around the Nation Bangkok Bank has close to 7000 ATMs. On Koh Samui, in addition to the machines located at the 5 Branches, there are a further 37 machines spread about.

Bangkok Bank branches will be closed from Wednesday and will reopen on Monday. However the micro branches found in many shopping malls around the country will remain open throughout.

Daveroc.....can we all...or at least me....hit you up for some info re Bkk Bank and getting stuff done ??

Happy to assist where i can. As these issues are likely to be of a personal/confidential nature please PM me.

Daveroc

"tor por 3 letter"

Thanks for it's name, I will ask them to ring head office to give the branch staff advice on ow to do their job !

Anyone know the name of the letter in Thai writing?

Haveaniceday, if you wish to PM me I will endeavor to sort the matter for you. As previously advised I work for BBL.

While not quite on the topic of the current thread, be aware that a number of holidays will take place in the UK over the next 3 weeks. If you are reliant on particular transfer dates there could be delays.

Holiday dates are

Friday, 22 April 2011: Easter holiday

- Monday, 25 April 2011: Easter holiday

- Friday, 29 April 2011: Royal Wedding

- Monday, 2 May 2011: May bank holiday

- Monday, 30 May 2011: Spring bank holiday

Confirm that if you arrange to have funds remitted by SWIFT (wire) the rate used will be the TT Buy Rate to convert when they arrive

Correct, it is not quite that simple. Bangkok Bank London is not designed to hold personal accounts. Nor would you be able to access them through a global system if they did have them. You will need to instruct your UK Bank to remit the funds to your Thailand account through Bangkok Bank UK using the BACS system. It is cheaper than a standard transfer. Attached is a link to Bangkok Banks website giving full instructions of the procedure.

http://www.bangkokbank.com/Bangkok%20Bank/Personal%20Banking/Transfering%20Funds/Transferring%20into%20Thailand/Receiving%20Funds%20from%20UK/Pages/Receiving%20Funds%20from%20UK.aspx

The Bangkok bank now charge 50 baht per month handling fee if your balance falls below 2,000 baht

Bangkok Bank does charge 50 baht per month if your account falls below 2000 baht. However the account must be inactive for one year before the charge is implemented.

The amount sending overseas without documents on one day was 1000 us dollars (in Thai Baht) , this maybe changed as one other poster said maximum 20 k.

Each amount bigger then this needs a document declaring sourse of income with supporting documents.

Most banks you can down load this form from there website.

so you transfer from Baht into Dollars then transfer 20k? I guess it's possible just to go to an exchange and transfer from Baht to GBP or USD and walk out with it OR send by Western Union but I really wanted it in my UK bank account.

If your objective is to get it back to your UK account, front up at the Bank with your proof that you brought it into the country and ask them to remit. Probably 40 minutes of your time. Yes there will be some fees, possibly 400 baht at this end and 20 pounds at the UK end. You have peace of mind and security that the funds will be in your account by the time you reach home. Do a comparison of fees between Western Union and your Bank to ensure you get best option

Leaving the security issues around carrying that amount of cash aside yes you can bring it into the country. You will need to declare it at customs. It is likely that should you lodge it to your account in one amount the Bank will be required to fill out forms which will at some point, maybe, matched to the customs forms.

Should you be wishing to take the money out at some time in the future, you will need to produce evidence that you brought it into the country. Make sure you receive a

Exchange Transaction form from the Bank for this purpose. They will be issued for amounts over 20k.

The rate you will receive is not the most attractive of those available. For example note buying on Bangkok Banks website is currently 29.86 versus the TT buy rate of 30.11, a difference of 7500 baht (USD250) which would more than cover bank fees and provide better security for you should you decide to send the money through the Banking system.

There will no doubt be further comments as to where you can get better rates should you wish to use other Exchange dealers to convert your cash.

Adding to the original question can anyone direct me to websites that outline legal requirements in Hong Kong relating to the seeking of start up capital for a small IPO?

Pib, post 47 , is correct. Where money comes directly from your Bank overseas to Bangkok Bank it will be directed to any place in Thailand for the fee structure of .25% with a Min 200 baht and Max. 500 baht.

If however funds come to Bangkok Bank via a third party Bank in Thailand, for example HSBC, with instruction to credit an account it becomes a domestic currency transfer and additional fees apply.

A work permit is definitely not required to open an account. It is often asked for because it is one of the easier options in the list of documents that can be asked for.

The requirements have been set out in another post so will not repeat them. They are listed on the website.

Should you have difficulties when you visit another branch, refer them to the website. Alternatively PM myself and I will arrange for an introduction to a Branch of your convenience.

We can confirm that charges relating to International transfers into Bangkok Bank attract the fee of min 200 baht, Max 500baht no matter which part of the country the funds are destined for.

This is over an above charges applied by the overseas Bank.

The Branch would appear to be quoting the cost of transferring domestic funds internally between regions.

Bangkok Bank does have these devices available. As is usual with the allocation of the terminals, details on type of business, expectant sales volumes etc will be asked for. Contact at one of our larger branches should direct you to the correct division or alternatively you can PM myself and i will establish contact for you.

Dave