Sending Money To Thai Bank To Buy Condo

[FoundationEngineer]

Ive been told that I need to send Pound Sterling to Siam Commercial Bank (develepers account) as proof that I am buying the condo with foreign money. However I want to use a FX company (Smart Currency Ltd) so I can get a better exchange rate. I buy Bhat from the FX company and they then wire the Bhat to the Siam Commercial Bank.

If I send them the contract note showing Ive bought Bhat with Streling will they give me the Tor Tor Sam or not.

[Sophon]

Ive been told that I need to send Pound Sterling to Siam Commercial Bank (develepers account) as proof that I am buying the condo with foreign money. However I want to use a FX company (Smart Currency Ltd) so I can get a better exchange rate. I buy Bhat from the FX company and they then wire the Bhat to the Siam Commercial Bank.

If I send them the contract note showing Ive bought Bhat with Streling will they give me the Tor Tor Sam or not.

The TT3 (Tor Tor Sam) form has been replaced by the Foreign Exchange Transaction form. The form is issued by receiving bank confirming that they received foreign currency and exchanged it into THB. In your set-up that would not be the case, so I can't imagine Siam Commercial Bank issuing what would be a fraudulent Foreign Exchange Transaction form.

And are you sure you could get a better exchange rate from Smart Currency Ltd that you would from a Thai bank? Thai banks actually give very competitive exchange rates on major currencies.

Sophon

[wpcoe]

Click here: SCB current exchange rates

When I transferred funds for my condo, I was satisfied with the exchange rate that SCB used. And, these days, there have been some wide variances on off-shore and on-shore exchange rates, with the latter being favorable to the foreigner. At one point a few weeks ago www.xe.com was showing an off-shore B33.5 (to the US$) when SCB was still giving over B35.

I just took a look at www.xe.com and they are showing B34.7 to the US$, and the above SCB page shows them giving B35.7. What is the rate that Smart Company Ltd is giving? Odd that they don't display their exchange rates on their web site.

[edited to add 2nd paragraph]

Edited February 5, 2007 by wpcoe

[FoundationEngineer]

Click here: SCB current exchange rates

When I transferred funds for my condo, I was satisfied with the exchange rate that SCB used. And, these days, there have been some wide variances on off-shore and on-shore exchange rates, with the latter being favorable to the foreigner. At one point a few weeks ago www.xe.com was showing an off-shore B33.5 (to the US$) when SCB was still giving over B35.

I just took a look at www.xe.com and they are showing B34.7 to the US$, and the above SCB page shows them giving B35.7. What is the rate that Smart Company Ltd is giving? Odd that they don't display their exchange rates on their web site.

[edited to add 2nd paragraph]

I am aware of the difereces between onshore and off rates and in that respect it is better to send Sterling to SCB, but my next installament is in March and I want the flexibilty to choose if the offshore onshore rate intregrates back to one rate again. If not I will defo go for the onshore rate.

However my understanding of being issued a TT3 is that the foreign money is used to buy a condo. It shouldnt matter that the foreign money has bought onshore or offshore! and as such if I have bought offshore then deposited into SCB with a contract note to state thta I have bought THai Bhat with sterling, then I should be issued a TT3.

What im asking is whether the issuing of a TT3 is down the the decision of the bank or is there a law stating that it has to be issued if there is proof of purchase.

[backflip]

"What im asking is whether the issuing of a TT3 is down the the decision of the bank or is there a law stating that it has to be issued if there is proof of purchase. "

An earlier poster mentioned that the Tor Tor 3 has been replaced by a Foreign Exchange Transaction form, and it's the truth.

[danone]

as said, the TT3 doesnt exist anymore since well over two years.

transfer must be done in foreign currency to a thai bank:

http://www.soho-properties.com/bangkok_property_forum/?p=125

i really doubt you can get a better offshore rate over the next few months at least.

and even if you save a few satang: go the official way, in legal manners concerning property purchase and transfers my experience is that the officials stick to the written word.

you may lose it all by having not-so-official receipts. you may even be requested to pay the 30 percent witholding tax.

[twix38]

yes do it the proper way and don't risk it. They want foreign currency coming into Thailand, so don't convert it before you send it.

Not only simply and safe to keep to the rule, but a better rate anyway at the moment and for a while at least.

It's not really a worthwhile question to continue with, when you have the answer. Just send the currency and get it converted in Thailand.

[Ground Engineer]

yes do it the proper way and don't risk it. They want foreign currency coming into Thailand, so don't convert it before you send it.

Not only simply and safe to keep to the rule, but a better rate anyway at the moment and for a while at least.

It's not really a worthwhile question to continue with, when you have the answer. Just send the currency and get it converted in Thailand.

Thanks chaps, great advice I will be seding sterling on the remainder of the installments.

[twix38]

Make sure it states the the funds are to buy a Condo.

The transfer to Thai bank MUST state that the funds are to purchase a Condo.