Credit Card Approval For Foreigners

[RHCP]

Could someone confirm or clarify the rules for foreigners with work permits applying for premium credit cards.

It seems that every financial institution I enquire with has a significantly higher minimum income requirement for a foreigner than a Thai for these cards.

For example a new premium card offered by HSBC requires a minimum salary of 40,000 baht per month for a Thai but 84,000 baht for a foreigner. On more than one occasion I have been told it is a Bank of Thailand regulation. Is this true? If the reason is based on the risk of turning into a bad debt then what is the logic in this since many foreigners say on 50,000 baht per month salary have as much ability to pay as Thais on the same salary.

[taxexile]

logic doesnt even get a look in.

i was told , and i dont have a work permit , that i could have a visa credit card from bangkok bank if i maintained 200,000 in my account.

[singa-traz]

Could someone confirm or clarify the rules for foreigners with work permits applying for premium credit cards.

It seems that every financial institution I enquire with has a significantly higher minimum income requirement for a foreigner than a Thai for these cards.

For example a new premium card offered by HSBC requires a minimum salary of 40,000 baht per month for a Thai but 84,000 baht for a foreigner. On more than one occasion I have been told it is a Bank of Thailand regulation. Is this true? If the reason is based on the risk of turning into a bad debt then what is the logic in this since many foreigners say on 50,000 baht per month salary have as much ability to pay as Thais on the same salary.

Thais are less likely to fly out of the country in case of bad dept?

[tuky]

logic doesnt even get a look in.

i was told , and i dont have a work permit , that i could have a visa credit card from bangkok bank if i maintained 200,000 in my account.

Tax is correct, I have a Bangkok Bank "Gold" credit card with a 100,000 baht limit, but I needed to give them a 200,000 baht deposit. I wanted to keep it in a fixed interest type of arrangement but they wouldn't allow that, so they have my 200,000 baht in their interest bearing account, I get nothing.

[toybits]

If you have a substantially large bank account with the bank, they may consider processing and approving your credit card. Worked for me.

I just don't know if that will entitle you to a platinum card or not.

logic doesnt even get a look in.

i was told , and i dont have a work permit , that i could have a visa credit card from bangkok bank if i maintained 200,000 in my account.

[bkkmick]

I have a couple of credit cards. I was just asked for a work permit no deposit in any account (it was about 3 years ago).

My cards are with SCB and UOB (previously Asia Bank).

[mpdkorat]

I used to have a Gold Card with HSBC, with a 50,000 credit. I had to keep 500,000 on a fixed deposit account. Crazy but true.

[bendix]

I have a HSBC Visa gold card with a 775,000 credit limit. I also have an American Express gold card.

I didnt have to maintain any deposit account; they processed my application in the normal way and approved it easily.

I think we assume that if we meet certain stated income levels then we automatically should be entitled to a card. Not so. It is purely up to the individual lending institution's discretion to issue a car or not. Up to them. It's the same as any loan arrangement - you are under no obligation to loan money to a friend, even if you know he or she can repay them.

And why is it harder for foreigners?

Obvious - we can up and leave at the drop of a hat.

[RHCP]

I have a HSBC Visa gold card with a 775,000 credit limit. I also have an American Express gold card.

I didnt have to maintain any deposit account; they processed my application in the normal way and approved it easily.

I think we assume that if we meet certain stated income levels then we automatically should be entitled to a card. Not so. It is purely up to the individual lending institution's discretion to issue a car or not. Up to them. It's the same as any loan arrangement - you are under no obligation to loan money to a friend, even if you know he or she can repay them.

And why is it harder for foreigners?

Obvious - we can up and leave at the drop of a hat.

I Take your point about being at the institutions' discretion but typically they apportion responsibility onto someone else, i.e. Bank of Thailand.

However leaving the country as an excuse doesn't come into it when determining minimum salary requirements. It doesn't make any difference whether one's monthly income is 50,000 or 100,000 baht if the institutions are worried about foreigners disappearing out of the country. If anything this has more to do with the amount of credit limit they would risk granting.

[steveromagnino]

I Take your point about being at the institutions' discretion but typically they apportion responsibility onto someone else, i.e. Bank of Thailand.

However leaving the country as an excuse doesn't come into it when determining minimum salary requirements. It doesn't make any difference whether one's monthly income is 50,000 or 100,000 baht if the institutions are worried about foreigners disappearing out of the country. If anything this has more to do with the amount of credit limit they would risk granting.

It matters to me. Min income of 100,000b suggests someone who is not of the parttime english teacher/part time alchoholic so typical of the farang with work permit here, but rather a professional at the upper end of the income scale.*

The risk of flight is lower; and additionally it means that the effort of managing processing them is worth it, because to be honest, as a bank why bother processing 5 english teachers no 30,000b a month, when you could just find one expat with 350,000 income, and give them a bigger limit. Chances are, they would use it.*

Not all banks set the same limits, and some banks would rather not have to deal with foreigners at all, because they are time intensive due to language issues, and in the too hard basket in some cases.

* based on my own knowledge consulting to a CC company about acquisition.

[onzestan]

A couple of years ago (2001) I was told that foreigners cannot get Thai bank credit card.

I had my Thai wife apply, and then I applied for second card as family member in my name.

There is 100.000 Baht blocked on my normal bank account and I do get interest on this amount.

Cheers

Onzestan

[A_Traveller]

I have a HSBC Visa gold card with a 775,000 credit limit. I also have an American Express gold card.

I didnt have to maintain any deposit account; they processed my application in the normal way and approved it easily.

I think we assume that if we meet certain stated income levels then we automatically should be entitled to a card. Not so. It is purely up to the individual lending institution's discretion to issue a car or not. Up to them. It's the same as any loan arrangement - you are under no obligation to loan money to a friend, even if you know he or she can repay them.

And why is it harder for foreigners?

Obvious - we can up and leave at the drop of a hat.

However, if memory serves you are here working for an organisation which qualifies for government 'privileges' and I would anticipate that any institution would take that into consideration within the application. I agree that, if an individual is not 'sponsored', using the term loosely, then it is not unreasonable for the institution to require a greater level of security than for a Thai citizen.

Regards

PS How did you get on at the book shop, I was still underwhelmed, and would disagree with their usage of the term foxing.

[steveromagnino]

A couple of years ago (2001) I was told that foreigners cannot get Thai bank credit card.

I had my Thai wife apply, and then I applied for second card as family member in my name.

There is 100.000 Baht blocked on my normal bank account and I do get interest on this amount.

Cheers

Onzestan

simply no longer the case; there are several foreigners on this board I have referred to various banks with loans and credit cards.

High income; work permit and so on are enough to get things done :_)

[A_Traveller]

It matters to me. Min income of 100,000b suggests someone who is not of the parttime english teacher/part time alchoholic so typical of the farang with work permit here, but rather a professional at the upper end of the income scale.*

* based on my own knowledge consulting to a CC company about acquisition.

Pardon?

[Furbie]

Interesting. I have a K-Bank Credit Card. I have an account with them for my paycheck to be deposited, but the money is moved out almost as fast as it goes in. One item of note, the card was supposed to have a limit that was double my monthly income, but I received a limit of 75% of my monthly income .

Given the experience of Western friends and colleagues, it always seems to me as if the banks do not want to extend credit, especially a lot of credit. Although I don’t know their personal financial situations, I have met western company directors who have been required to carry deposit balances in order to receive a credit card, as well as senior people who have been turned down. On the flip side, I have met people with some questionable levels of income who have received credit cards.

My colleague, who makes roughly the same amount I do, had an actual visit from AMEX offering him a platinum card, even though he has no credit history in Thailand. While I have a perfect credit history, and they never sent me anything – makes no sense.

[Soju]

I've got a HSBC Thailand Gold Visa which is secured against a time deposit. I only had to deposit about 5% over the credit limit in the secured account. I don't even live in Thailand and even signed up for the card and the account with a foreign address. They did want all the details about my foreign income / job. My income is significantly more than the stated minimum income requirements by the OP, so don't know what the situation would have been if my income was less than that.

[lazeeboy]

I used to have a Gold Card with HSBC, with a 50,000 credit. I had to keep 500,000 on a fixed deposit account. Crazy but true.

i have a gold visa card with 100000b limit have to leave 125000 in my account just got a gold mastercard 300000b credit limit unsurcured with same bank ayudaya had visa 2 years needed all papers company proof address etc for master card only needed passport and copy of visa card they offered mastercard ididnt apply maybe they now trust me a bit more than before i do use the visa a lot mind and always clear it every month so maybe that helped 10 years ago applied for visa card and they almost fell over lauthing a credit card for a farang how things have changed .. by the way im not married to a thai and have no gaurentour not right spelling but....