Transfer to purchase a property

[max72]

I am interested to buy a property in Thailand (i am still abroad). The problem is my money will come from my account with the broker Interactive Brokers, so they say it is not possible to add a reason for the transfer.

The transfer sender will be myself and the receipient in Thailand also myself, but i heard that the reason "for property purchase" is necessary but IB told me they can't add the reason for the transfer. Very annoying. 

Anyone know if this is ABSOLUTELY necessary or  having my name in both sender and recipient and tell the bank before, they can still issue my the letter necessary for property office ?

[Langsuan Man]

What Thai Bank is the money being sent to ?

 

With all my Swift Wires transfers to SCB, they always called once the money arrived and at that time I would insure that the Foreign Exchange Certificate, written and issued by them,  had the term "for purchase of condo" listed on the certificate

 

Talk to your receiving bank for this time and in the future consider a broker who is more customer friendly 

[allane]

My banks have never phoned me when I had an incoming transfer, so relying on that is too risky.

This is important. If you don't have that FEC, you won't be able to transfer your money out of Thailand eventually. Instead of trying to save a few dollars, you need to have IB transfer your funds to a bank, then have that bank transfer the funds to your Thai bank. There is nothing wrong with discount brokers, foreign exchange companies and the like. But, they are cheap for a reason.

[topt]

On 11/9/2018 at 9:16 AM, allane said:

My banks have never phoned me when I had an incoming transfer,

Which is why LangsuanMan asked which bank. I have also always had this with SCB but I think however that it may also depend on the amount being transferred.

If I was the OP I would go to his bank and ask - or get them to give him the number of the banks forex department who will certainly know.

 

Edit - maybe harder if abroad but hopefully someone can go and ask for you. Or post the bank name and rough transfer amount and someone can give a more definitive answer.

Edited November 10, 2018 by topt

[khunPer]

If it's a larger sum – equivalent to $50,000+ – you'll need to declare the transfer. I think you have a time gap to do that – I had it a number of years ago, when I transferred funds, a week I believe it was; at that time the limit was $20,000 – you'll later get an approved copy of the form back from the bank (might need to pick it up in your branch), which you need to keep as proof for the foreign transfer, and if you later wish to transfer similar amount out of Thailand. I cannot remember the name/number of the form, but the bank should know, and be able to prepare it for you.

 

Hope some poster that is more up-to-date on large foreign transfers can give you better details...????

[max72]

On 11/9/2018 at 1:03 AM, Langsuan Man said:

What Thai Bank is the money being sent to ?

 

With all my Swift Wires transfers to SCB, they always called once the money arrived and at that time I would insure that the Foreign Exchange Certificate, written and issued by them,  had the term "for purchase of condo" listed on the certificate

 

Talk to your receiving bank for this time and in the future consider a broker who is more customer friendly 

 

I have accounts in both SCB and Kasikorn.

The transfer will be for more than $100 000. I asked IB and they told me it's not possible to write a reason for the transfer. I need to be sure not to have problems to get the T3 form otherwise what i would do with all that money in Thailand if i can't buy the property ?

[Na Lee]

Don 't buy renting is better or buy a condo that you can do in your own name.

[max72]

7 minutes ago, Na Lee said:

Don 't buy renting is better or buy a condo that you can do in your own name.

 

Sure i buy a condo in my own name. This doesn't answer my question.

[Peterw42]

OP, why not have Interactive Brokers send your money to a personal account outside Thailand and do the transfer to Thailand yourself. (takes 1 minute with online banking and you can add a reason). The "reason" for the transfer is a Bank of Thailand requirement as a money laundering check, if left blank the local transfer desk probably just adds a generic reason. The reason is not usually a requirement of the land office for the property purchase. Land office will want to see an FET from bank showing funds from outside thailand to a Thai account in your name (receiver).

Its always good to have a clear record of funds to buy a condo if/when you go to export the money later if you sell etc.

Edited November 10, 2018 by Peterw42

[topt]

2 hours ago, max72 said:

I have accounts in both SCB and Kasikorn.

The transfer will be for more than $100 000.

It does not matter that IB cannot give a reason. I have never told my foreign bank from which I make regular transfers what the transfer is for.

If you transfer to your SCB (and my guess would be Kasikorn as well) account they will ring you to ask what the transfer is for as they need to know for the BOT regulations. 

 

Once it is done you can get the forms from the bank without any issue. I do not believe you have anything to worry about.

[Langsuan Man]

7 hours ago, topt said:

It does not matter that IB cannot give a reason. I have never told my foreign bank from which I make regular transfers what the transfer is for.

If you transfer to your SCB (and my guess would be Kasikorn as well) account they will ring you to ask what the transfer is for as they need to know for the BOT regulations. 

 

Once it is done you can get the forms from the bank without any issue. I do not believe you have anything to worry about.

Agreed

 

And one more thing, so you will know and not freak out when it happens.  The original of the Foreign Exchange Certificate will be attached to the Chanote kept on file at the Land Office, you will receive an original Chanote but only a copy of your Exchange Certificate.  This is perfectly normal and is just part of the process 

[Mavideol]

I used BB to transfer around 200K USD (2x100K) to buy condo and each time they called to confirm the money was to purchase property, there's a report about the transfer and a letter certificate was issued, I don't have it but if my memory doesn't fail me it should be at the land department, BB bank also said they could provide copy of certificate when needed