Leaving 800K in a Thai Bank Account - Pros/Cons/Value to you

[Henryford]

12 hours ago, MeePeeMai said:

 

I don't know for sure (would like to though) but I believe that even with a will, there is a delay in your spouse gaining access to the funds in your account and this could easily be avoided by allowing us to leave our money in either a joint account or designate an account beneficiary.

 

A will is a must here and I plan on leaving my wife my P.I.N and ATM card with both written (and recorded video) instructions to take the money out of my account as soon as I die.  Hopefully she will be protected from prosecution that way for removal of my funds immediately after my death.  I don't know whether or not this is acceptable but I am hoping (for her sake) it will work. 

Yes just give your wife your account internet details. When you die she can quickly move all the cash to her account, or draw it in cash.

[Essex Reject]

Ooooh, I have more money than you.

 

800k is NOT a lot of money, so not sure why it's important how it may be used. What return would you get elsewhere on such a small amount?

[Emdog]

I just view the 800k as a teeter totter. When dollar down means baht in bank up and vice versa. Just set it and forget it til renewal time comes up.

[lagavulin1]

On 4/13/2019 at 9:15 AM, ballpoint said:

If you can afford it, then just leave the 800,000 there.  It's the simplest option by far.  

Mine is my burn party money for wifey when I shuffle off. Old fashioned? Probably but I've temporarily funded two uncle funerals (and been refunded) because Auntie's were waiting for Insurance pay outs. 

[sencelebi]

On ‎4‎/‎13‎/‎2019 at 10:21 AM, KittenKong said:

Same.

 

I am at about 50/50 for investments/savings and I expect to keep it that way forever now.

 

Not easy to get 7% on a sustainable basis without putting capital at risk. I would be more inclined to compare with the average FTSE100 return which is nearer to 4%. Then compare that with the 2.5% I get for my retirement deposit here and the difference is much smaller.

 

But the main issue for me is that the 800kB deposit is the only easy and practical way that I can get a retirement visa here. I have no regular retirement income and also I really dont want to fart around with costly embassy declarations or documented monthly transfers etc. Deposit the 800kB and forget about it seems simplest to me.

That's what I do. Deposited 50.000 US to the account and forgot it. My believe is if anyone don't have 25.000 US in savings shouldn't be retired. Just keep working, why would you want to retire and get stressed every time for an extension. Retirement mean is to have relaxed, worry free, financially stable life to enjoy the beauties of the life, enjoy your hobbies or just be lazy and do nothing. If anyone is not able to live like this then why retire? I don't get it. I met so many guys who are always in stress to worry about not to spend much money on food,drink etc. because their monthly budget is so low and worry about how to put 800 000 baht together to get an extension. Or even if they have 800 000 baht in the bank account they worry about how to get few thousand baht more interest end of the year. and keep track of the rates every other day. This is not a retirement for me. Retirement mean is just kick back,not worry about paying 300 baht for a Starbucks coffee or give yourself 800 baht steak dinner at the nice restaurant once in a while. Eating 30 baht street food everyday because it's cheap, not a retirement for me. This is how I feel and I thing how retirement should be. But of course some people can't live without stress and struggle to survive and they call it retirement. I stay away from those kind of people because I am retired and don't need headache or I don't want to hear problems.

[MadMuhammad]

21 hours ago, JimmyJ said:

 

I feel the same way.

 

Figuring one loses 1.5% on the 800k THB means losing $378.50 USD/year.

So (at least for now) I am looking at that as part of the annual cost of living in Thailand.

 

$378.50 USD is a lot of foot massages.

Of course I'd prefer if the cost was zero.

But it seems the option with the least stress and hassle.

Have you also calculated What you save living in Thailand compared to the US?

my living costs back in Oz in metro Melbourne, including groceries, insurances, house rates, utilities etc was approx $32Kaud a year and that was before I even set foot out the door. Entertainment, eating out and a few drinks a couple nights a week add maybe $20Kaud. 

Want a holiday? Add another $5Kaud minimum for a total of $60Kaud (rounded up)

 

My budget in Thailand all in with the added extra of eating out every day, tropical weather and cheap travel is about $40Kaud (round up). 

For me 800Kthb would have to be earning around 45% per annum just to make up for the difference in living costs. 

 

I’m actually looking forward to making it to retirement age 555

[malibukid]

the political outlook for Thailand and much of SE Asia is grim.  Chinese economic power is playing a major part and as a result Democracy or what could be called flawed Democracy in on the wane.  the recent elections in Thailand and the out come are also in doubt and may lead to political uncertainty.  

[PAWNEESE]

I had thoughts that I really did not want 800,000 baht in Thailand to be missed out on by my family heir. I believe even with a will .. he would have to travel here .. employ lawyers and it goes to court and takes time and effort.  It wont happen. Hes like me .. a sensitive soul ???????? who may be would not want to visit the town his poor old dad had recently popped his clogs in.  Not a fun holiday trip is it.

 

Then .. I realised if it (that sum of money) was in the UK it would be subject to 40 percent inheritance tax anyway.

 

So said money lost to my son is "only" 480,000 baht.

 

Or in real money ... £12,000 is lost not £20,000. Plus time, travel, hotel and legal costs saved. It will cost thousands of pounds to travel here.

 

So the "problem" is well over 40 percent less now and can be ignored easier in my mind. I can ignore the loss .. a parting tip to LOS.

 

Its a much more positive thought than Kbank is getting 800,000 baht that is being lost to my son

 

Much much less than my accumulated Lady Drink bills.

 

????????????????????????.

 

 

[malibukid]

25k to an agent. no worries and keep a cash reserve and not worry about the future political outlook EZPZ, no lines

[Jen65]

The whole point in having/leaving the required minimum 800,000baht ( or sterling in a sterling deposit account ) is that the money is still readily accessible in emergency whereas in fixed interest savings / deposit account the money is placed for a fixed period of time ie minimum 12 months and not accessible .   The difference in interest and tax deducted is marginal anyway .  

[Krataiboy]

On 4/13/2019 at 9:30 AM, NCC1701A said:

no worries with money in the bank.

 

here, there and everywhere.

 

i have been meaning to bring in another million baht and open another account at a different bank but i am so lazy i have not done it yet. 

Know exactly what you mean. I'm going to shfit a few more million quid here once the lousy exchange rate improves.

 

(Then I woke up!)

[sfokevin]

1 minute ago, Jen65 said:

The whole point in having/leaving the required minimum 800,000baht ( or sterling in a sterling deposit account ) is that the money is still readily accessible in emergency whereas in fixed interest savings / deposit account the money is placed for a fixed period of time ie minimum 12 months and not accessible .   The difference in interest and tax deducted is marginal anyway .  

Under the new rules just hope any medical emergency doesn’t happen from two months before or three months after your extension date... 

[Sheryl]

It is ridiculous that the 800k cannot be used. (except 50% for a few months). The whole original point of it was to show that you had enough money to live in Thailand for the next year.

 

[mention=306267]MeePeeMai[/mention] Many farangs living in Thailand are elderly retirees and it is a fact that many die in Thailand. I'm sure the authorities will have thought about this when setting this rule. For the many who have not made a will in Thailand, where does that 800k go?

To the statuatory heirs assuming they come forward/can be identified. Through a more difficult and time consuming process than if you had a will

 

 

Sent from my SM-J701F using Thailand Forum - Thaivisa mobile app

 

 

 

[Sheryl]

The whole point in having/leaving the required minimum 800,000baht ( or sterling in a sterling deposit account ) is that the money is still readily accessible in emergency whereas in fixed interest savings / deposit account the money is placed for a fixed period of time ie minimum 12 months and not accessible .   The difference in interest and tax deducted is marginal anyway .  

Actually no, you cannot use it in an emergency without forfeiting your extension and if the emergency results in your death no one can get that money quickly, even with a will it needs a court order.

Fixed deposit account funds can be withdrawn at any time, you just forfeit the interest -- but same issue as above.

The whole thing is poorly thought out. Would be better to set up a bond to be posted which allowed naming of beneficiary. Then at least the money would be available to setyle final hospital bills and funeral/cremation costs.

Sent from my SM-J701F using Thailand Forum - Thaivisa mobile app

[MJKT2014]

I've no objection to the 800K but want pees me off is having the rules changed at short notice by some jumped up wannabe IO star who's now been transferred to an inactive post and having them changed at all for existing retirers who have done sod all wrong beforehand and were following the previous rules they agreed to. I am married with kids, and simply do the retirement route as its easier, I work overseas anyway. It no longer feels easier with sudden rule changes, and my welcome here feels less so likewise.

[malibukid]

4 minutes ago, Sheryl said:

Actually no, you cannot use it in an emergency without forfeiting your extension and if the emergency results in your death no one can get that money quickly, even with a will it needs a court order.

Fixed deposit account funds can be withdrawn at any time, you just forfeit the interest -- but same issue as above.

The whole thing is poorly thought out. Would be better to set up a bond to be posted which allowed naming of beneficiary. Then at least the money would be available to setyle final hospital bills and funeral/cremation costs.

Sent from my SM-J701F using Thailand Forum - Thaivisa mobile app
 

and i might add that FDA are not insured

[Pib]

34 minutes ago, malibukid said:

and i might add that FDA are not insured

Thai baht Fixed Deposit Accounts "are" insured..  

 

Now if you are talking Foreign Deposit Account as in GBP, USD, AUD, EUR, etc., then yes, they are not insured.

[malibukid]

2 hours ago, sencelebi said:

That's what I do. Deposited 50.000 US to the account and forgot it. My believe is if anyone don't have 25.000 US in savings shouldn't be retired. Just keep working, why would you want to retire and get stressed every time for an extension. Retirement mean is to have relaxed, worry free, financially stable life to enjoy the beauties of the life, enjoy your hobbies or just be lazy and do nothing. If anyone is not able to live like this then why retire? I don't get it. I met so many guys who are always in stress to worry about not to spend much money on food,drink etc. because their monthly budget is so low and worry about how to put 800 000 baht together to get an extension. Or even if they have 800 000 baht in the bank account they worry about how to get few thousand baht more interest end of the year. and keep track of the rates every other day. This is not a retirement for me. Retirement mean is just kick back,not worry about paying 300 baht for a Starbucks coffee or give yourself 800 baht steak dinner at the nice restaurant once in a while. Eating 30 baht street food everyday because it's cheap, not a retirement for me. This is how I feel and I thing how retirement should be. But of course some people can't live without stress and struggle to survive and they call it retirement. I stay away from those kind of people because I am retired and don't need headache or I don't want to hear problems.

it's not the money nor the bank. it may be a first world bank, but it's in a third world country.  that's what scares me. btw, i retired when i was 20

[marcusarelus]

1 minute ago, malibukid said:

it's not the money nor the bank. it may be a first world bank, but it's in a third world country.  that's what scares me.

Trust me kid.  I been here since 68.  Banks are better than US or UK. 

[gamb00ler]

1 hour ago, PAWNEESE said:

I had thoughts that I really did not want 800,000 baht in Thailand to be missed out on by my family heir. I believe even with a will .. he would have to travel here .. employ lawyers and it goes to court and takes time and effort.  It wont happen. Hes like me .. a sensitive soul ???????? who may be would not want to visit the town his poor old dad had recently popped his clogs in.  Not a fun holiday trip is it.

Set up a DeeMoney account for your heir to use to transfer your 800K ฿.  Do test runs to ensure that they can access it remotely.  They may need a VPN to do so.  Make sure they are kept updated on the correct procedures for transfers.  Give some trusted family and friends the contact information so they can keep your heir informed if you become unwell.

 

Does anyone see potential problems with this approach?

[Thingamabob]

On 4/13/2019 at 9:15 AM, ballpoint said:

If you can afford it, then just leave the 800,000 there.  It's the simplest option by far.  

Agreed. So simple.

[Jaxxper]

On ‎4‎/‎14‎/‎2019 at 6:32 AM, Sheryl said:

 

Cons: ties up money at low rate of return.  Money will not be quickly available on your death, and cannot be used for anything while you are alive without forfeiting next extension. 

Why would it be more difficult for your wife to get access to it than any other liquid assets you might have in Thailand? Its still your money. Just interested.

[marcusarelus]

4 minutes ago, Jaxxper said:

Why would it be more difficult for your wife to get access to it than any other liquid assets you might have in Thailand? Its still your money. Just interested.

If it is a direct deposit account set up another one that you can withdraw with debit card and no problem if you know when you will die if not make a will dealing with bank accounts not a complicated process.

[jwdub]

2 hours ago, Sheryl said:

Actually no, you cannot use it in an emergency without forfeiting your extension and if the emergency results in your death no one can get that money quickly, even with a will it needs a court order.

Fixed deposit account funds can be withdrawn at any time, you just forfeit the interest -- but same issue as above.

The whole thing is poorly thought out. Would be better to set up a bond to be posted which allowed naming of beneficiary. Then at least the money would be available to setyle final hospital bills and funeral/cremation costs.

Sent from my SM-J701F using Thailand Forum - Thaivisa mobile app
 

Question on the FDA funds withdraw - Do you lose interest on just the amount you withdraw or the entire 800K plus balance in the account thus rendering it the same as a regular savings account? 

[sfokevin]

33 minutes ago, gamb00ler said:

Set up a DeeMoney account for your heir to use to transfer your 800K ฿.  Do test runs to ensure that they can access it remotely.  They may need a VPN to do so.  Make sure they are kept updated on the correct procedures for transfers.  Give some trusted family and friends the contact information so they can keep your heir informed if you become unwell.

 

Does anyone see potential problems with this approach?

My Thai partner can not even remember his Facebook password 

[marcusarelus]

21 minutes ago, Thingamabob said:

Agreed. So simple.

It cost me $16,000 (800,000 baht) when I moved here and have been withdrawing interest every year since. 

[marcusarelus]

5 minutes ago, sfokevin said:

My Thai partner can not even remember his Facebook password 

Give the information to the executor of your estate.  Not partner as would be too complicated.  Executor may be a bit of a complicated chore. 

[55Jay]

I'm probably a bit off with memory here but the primary refrain was always about Thai banks being "unsafe", the 1997 Thai bank meltdown was the oft cited evidence. 

 

The investment experts came out of the woodwork when the income affidavits went away (for some) and they had to put up or shut up, or pay an agent to get around it.  That's when the "you guys are financially illiterate" rants seemed to kick in.

 

The 400k no spend rule does annoy the hell out of me, same as the new/old 24 hour report thing.  But, 800k is here, seasoned, untouched.... there's no meat on that bone for some I/O to pick at.

 

[Sheryl]

58 minutes ago, Jaxxper said:

Why would it be more difficult for your wife to get access to it than any other liquid assets you might have in Thailand? Its still your money. Just interested.

 

Other assets, bank account etc can be in both names.

[khunPer]

On 4/13/2019 at 3:34 AM, Mike Teavee said:

Minus 20,000 you'd pay to an Agent to get you a visa

That is "illegal", so I think you should leave that option out.

 

Summing up accordingly to the new rules, the questions is about leaving 400k baht somewhere else in 7 month, instead of a 12-month fixed account, which gives you around 5,000 baht in interest after withholding tax.

 

400k baht 5 month only, or preferably 6 month to use a 6-month fixed interest for better interest, and 6 month invested in something else – probably with a risk level, if higher interest than the around 1.5 percent that a 12-month fixed account could pay – is what the talk is about.

 

On top, you concerns about having the top up to 800k baht again in due time, two month before applying for extension of stay.

 

In my opinion, its really not worth it, if you can afford the 800k baht. Just keep them in a 12-month fixed account, and cash out around 10k baht in annual interest after tax – the money is guaranteed at least 1 million baht in a Thai bank, so no risk – and sleep well at night.

 

If you wish to speculate, do it for extra savings – you can begin with the yearly 10k interest, if you don't have other available savings – take the risks and win, or loose, without affecting you extension of stay.

????