Are Some Banks More Risky Than Others?

[JacknDanny]

Why did you pick Siam, BB and Kasikorn? What about Bank Ayuthya (sic)? Siam won't give me an account. They want a work permit. They'll take a residence permit but I haven't gotten around to getting up early enough to go to Immigration to get one.

Or do I need one for each bank and the drivers license?

I originally opened my accounts without residence or work permit. Each branch has its own rules, so if one turns you down there will probably one down the road that will allow you to open one.

As to why those 3. In my opinion they are probably amongst the 3 biggest, and if there was to be a real serious problem, then I feel these 3 particularly BB would be the least likely affected.

[Old Man River]

So may I assume my money is safer in banks such as Siam, BB, K-Bank - Ayuttya etc ..

I can't answer that question. Currently, Thailand has no deposit insurance program in place. Foreign banks in Thailand also have no such deposit guarantees for deposits inside Thailand, regardless of whether they have it in their home countries. Therefore, If we see a 1997 situation returning at some point then best would be to move the majority of your funds out of Thailand and not take any local country risk. If you have to take country risk, then know your bank.

Post 1997, large depositors at Thai banks had to wait for up to 3 years to get access to their funds under a Thai government program in force at that time. Should we ever get back into a similar situation in Thailand (hopefully not), it is not known whether all depositors would be made good next time. In 1997, foreign banks paid immediately, but it was discussed at that time that not all foreign banks pay all the time.

Best to keep aware and if you get uncomfortable, move the funds out.

[Heng]

Post 1997, large depositors at Thai banks had to wait for up to 3 years to get access to their funds under a Thai government program in force at that time.

Bangkok Metro, First Bangkok City Bank.... both failed banks cleared our funds within a week. I don't recall any news or talk of anyone having to wait years. Large depositors as in... institutions/listed companies?

[mbkudu]

When was the last time a Thai Bank went under?

In 1997 the Bangkok Bank of Commerce went down the toilet along with a couple others. Siam Commercial Bank was artificially resuscitated because it had/has share holders in Thailand who are extremely influential.

Edited January 12, 2007 by mbkudu

[m02]

This observation may not be relevant to your needs but I haven't seen any comments about the level of professionalism in regards to fund transfers at the various banks. When I first came to Thailand a long time ago my experience with Thai Farmers Bank was bad, it hadn't improved the last time I had dealings with them three years ago. Bangkok Bank was my bank of choice back then, and I don't have anything bad to say about them. However, more recently, I have had very good experiences with Siam Commerical.

Some banks deliberately hold off crediting your account with funds sent through international wire transfers. They put these funds into their overnight investment accounts (or whatever they are called) and earn interest on them. Sometimes this will go on for weeks, or until you bring in confirmation from the sending bank and get in their face.

Siam Commercial on the other hand has always seemed to have an excellent reputation in this regard - and no I have no connection with the bank outside of the fact our in-country bank account is with them.