U.S. topic -- Is there any reason to keep Bangok Bank account open now that ACH transfers are gone?

[Jingthing]

Obviously if BB is your only Thai bank account, you would want to keep it open.

 

But I currently have three Thai bank accounts.

 

That means three accounts to file on FBAR, three IRS interest amounts to report, and dealing with three ATM cards, etc.

 

The only reason I opened the BB account in the first place was when I learned about the ACH transfer scheme. I've been using that every year but never used the BB account as my retirement extension 800K qualifying account.

 

My understanding is that Social Security can transfer into ANY Thai bank and not limited to BB although I am using a U.S. bank for that anyway.

 

So now as we are near the end of the year, I think closing the BB makes sense. Can anyone suggest a good reason to keep the BB account open?

 

All I can think of is that Thai bank accounts can be difficult to open when you need them later. But as I said, I already have two other ones. 

[cmarshall]

BB is still a US bank with an ABA number.  Your US bank or credit union will charge you the domestic wire transfer rate to transfer to your BB account, which will be a little lower than the international wire transfer rate.  State Dept Federal Credit Union offers charges a much lower rate of $6 per transfer to BB if you qualify for Emeritus Status, i.e. have you SS or pension amounts direct deposited in your SDFCU account automatically each month.

 

 

[Pib]

^^^^Me Too.  Several months ago I did a SDFCU domestic wire to Bangkok Bank NY....wanted to test it out...initiated the transfer shortly after sundown in Thailand.....SDFCU sending fee $6....then the two Bangkok Bank fees charged just like for an ACH transfer....next morning/around 12 hours later the funds posted to my Thailand Bangkok Bank acct....International Transfer/FTT coding just like doing an ACH or Int'l Wire/SWIFT transfer.

 

Also, for people who prefer not to use (or simply can't) International Direct Deposit (IDD) for their US govt payments such as SSA, then they will still need a Bangkok Bank Direct Deposit acct in order to receive the US govt payments made via ACH "IAT."   No other Thai bank can receive ACH payments, whehter ACH Domestic format or ACH IAT format.

 

But I think it's obvious that one reason that the majority of American Expats in Thailand have a Bangkok Bank acct was in order to do low cost ACH transfers and receive US govt payments.  Now with the ACH IAT policy change and IDD being available for SSA/VA and maybe DFAS (mil ret) payments, Bangkok Bank is just another Thai bank....doesn't have anything special to entice an American to be customer.

 

Edit: well, they do have one special thing...as one of Transferwise three Thai partner banks (Bangkok Bank, K-bank, and TMB) that provides a positive in getting International Transfer coding for visa/extension of stay purposes.

 

Edited December 19, 2019 by Pib

[AAArdvark]

3 hours ago, cmarshall said:

State Dept Federal Credit Union offers charges a much lower rate of $6

I have had an online SDFCU membership application in the works for 13 days now and it is still pending.  I have submitted all required documents.  Even phoning them does not help.

[AAArdvark]

The answer is no.

[Pib]

Why didn't phoning help?   I expect they may have doubts about your identity/docs submitted to date.

 

[madmen]

Banks are making it harder to open new account's. Why would you want to close it 

[Pib]

@Jingthing

 

And if completely disregarding the ACH receiving capability that only Bangkok Bank has (no other Thai banks have this capability) what makes your other two Thai bank better than Bangkok Bank?

[Jingthing]

1 hour ago, Pib said:

@Jingthing

 

And if completely disregarding the ACH receiving capability that only Bangkok Bank has (no other Thai banks have this capability) what makes your other two Thai bank better than Bangkok Bank?

Not sure they are better but I've got them set up for my personal use. One is setup for automatic bill paying (phone and electricity) and the other is for my 800K visa qualifying account. 

[Jingthing]

3 hours ago, madmen said:

Banks are making it harder to open new account's. Why would you want to close it 

Because in my case the only reason I had it was to use the ACH scheme. I've got two others so I don't see why I need three at this point and no need to open any new ones either. 

Edited December 19, 2019 by Jingthing

[Pib]

Heck, the entry of one more bank entry on your FBAR and tax return is minor stuff...minimal time to collect/enter the data.  An unloved ATM card can live unused in your hiding place/safe....no care or feeding required other than the annual card fee which is probably 200-300 baht....if not wanting to pay that fee then just cancel the card.  Then you still have a bank acct costing you nothing each year which might come in handy in the future if Bangkok comes out is a product/service you desire....and as mentioned earlier it is getting harder to open Thai bank accts.   But two bank accts is usually enough for most people.  

[Jingthing]

22 minutes ago, Pib said:

Heck, the entry of one more bank entry on your FBAR and tax return is minor stuff...minimal time to collect/enter the data.  An unloved ATM card can live unused in your hiding place/safe....no care or feeding required other than the annual card fee which is probably 200-300 baht....if not wanting to pay that fee then just cancel the card.  Then you still have a bank acct costing you nothing each year which might come in handy in the future if Bangkok comes out is a product/service you desire....and as mentioned earlier it is getting harder to open Thai bank accts.   But two bank accts is usually enough for most people.  

All good points. From my POV it's doesn't seem like a big deal whether I open it or close it. It's not like having extra U.S. accounts (which I encourage) where there is always a threat of them being closed because of expat hostile policies. I don't see any threat that any of my existing Thai accounts would close my accounts against my will. 

[cmarshall]

It's also possible that at some time in the future the US banks will support the IAT format and ACH transfers to BB will again be possible.

[Pib]

3 hours ago, cmarshall said:

It's also possible that at some time in the future the US banks will support the IAT format and ACH transfers to BB will again be possible.

Anything is possible but since ACH IAT came into effect in 2009....ten years ago....when US banks were able "receive" ACH IAT but decided they did not want to "send" using ACH IAT....I wouldn't hold my breath it's going to happen anytime soon.   Seems US banks just don't want to get involved in "sending" ACH IAT transfers which means the funds are leaving the US.  Because when funds are leaving the US the banks incur additional US Treasury and NACHA additional regulatory/liability requirements.  Plus, very few overseas banks have ACH interface capability.  So, US banks rely on the tried and true, worldwide-reach SWIFT system which also racks in handsome fees and regulatory/liability requirements they are comfortable with.  

[mokwit]

I find BBL very clunky and "Freudian" retentive from a transfer of funds out etc point of view. This last makes it probably the best for storing large sums but least desirable for day to day use.

[TallGuyJohninBKK]

18 hours ago, Pib said:

Now with the ACH IAT policy change and IDD being available for SSA/VA and maybe DFAS (mil ret) payments, Bangkok Bank is just another Thai bank....doesn't have anything special to entice an American to be customer.

 

Pib, it seems like you're contradicting yourself in the above post.

 

In the first pgh, you quite correctly point out that BKKB is the only Thai bank that Americans can use to send much lower-cost domestic wire transfers (vs. pricey international wires) as a means of getting funds to Thailand (because BKKB is the only TH bank via its New York branch that accepts U.S. domestic wires for routing to Thailand).

 

And then in the final paragraph again correctly point out BKKB's relationship with Transferwise (and its ability to have Transferwise transfers from the U.S. be reliably coded as "international" to meet Immigration's monthly foreign funds transfer requirement for extensions of stay.

 

But then turn around and say -- "Bangkok Bank is just another Thai bank....doesn't have anything special to entice an American to be customer."  It seems to me your earlier and very correct comments exactly prove the point to the contrary.

 

...despite the recent loss of the relatively convenient and inexpensive BKKB U.S. domestic ACH transfers method...due to U.S. regulatory tightening.

 

Edited December 20, 2019 by TallGuyJohninBKK

[lopburi3]

1.  BBL is the current (running 100%) method to make international coded transfers via Transferwise if using income method for immigration extensions.

2.  BBL has the ACH option for international coded transfers (which SSA can use and may become more common in future).

3.  BBL has a decent online and voice access system in Thailand.

4.  BBL has one of the largest ATM networks and allows 25k per withdrawal.

5.  BBL has a branch just about everywhere.

6.  As mentioned better to have more accounts than no accounts.

7.  As mentioned easier to close an account than open.

8.  The reporting requirements are minimal and passbook/Google map provide data for that once a year requirement.  If you have to do one FBAR several others will only take seconds longer.  IRS reportings is also just a line item type entry.  Card not being used can be kept in drawer - always good to have a valid extra account in case one gets messed up or funds emptied.  

9.  As above keep money in different account to avoid any temporary 'no funds' due to someone getting access to one account or other factors.

[Tracyb]

22 hours ago, AAArdvark said:

I have had an online SDFCU membership application in the works for 13 days now and it is still pending.  I have submitted all required documents.  Even phoning them does not help.

Good luck with that.  I applied online too and after 30 days they told me my application was denied and gave no reason.

[Jingthing]

Believe it or not this thread has probably persuaded me to keep it open even though I don't really feel it would much of a loss for me to close it. I don't use the income method. I suppose someday I might want to try the combo method but at this point I think it's too problematic with immigration.

 

Another reason I like it is as a travel card to avoid spending or security issues on my 800k account. I could use my utility bill paying account for that also but this is a little cleaner. 

 

A negative of having multiple accounts is if you move away from Thailand you will need to gather data on more accounts for tax purposes while not in Thailand any more. 

[Jingthing]

13 minutes ago, Tracyb said:

Good luck with that.  I applied online too and after 30 days they told me my application was denied and gave no reason.

Surely you must have a clue about what the problem might have been? 

[lopburi3]

12 minutes ago, Jingthing said:

A negative of having multiple accounts is if you move away from Thailand you will need to gather data on more accounts for tax purposes while not in Thailand any more. 

If and/or when that happens expect you will not be keeping FBAR reporting amount in accounts here and suspect you can use ATM cards or online access to obtain current balance of outstanding accounts for yearly tax reporting of a few baht interest income.  Admit was not thinking of leaving as a factor as you seem to have changed your photo again and did not notice the name but expect you might want an easy return option being available and having accounts would surely help and only cost tying up a few thousand baht.  

[Jaybott]

On 12/19/2019 at 3:42 PM, Pib said:

 

 

Now with the ACH IAT policy change and IDD being available for SSA/VA and maybe DFAS (mil ret) payments,

 

I'm a US Dept of Defense employee and I have a $100.00 allotment per pay period going to Bangkok Bank.  Just for emergency baht if I wind up at DMK or BKK with none.  Anyway this last pay period; 13 December my allotment went thru posted as an International Transfer.  I also transferred $1000.00 from Navy Fed, same day and it bounced back.  So it looks like DFAS will still work.

 

On 12/19/2019 at 3:42 PM, Pib said:

 

 

[AAArdvark]

1 hour ago, Tracyb said:

Good luck with that.  I applied online too and after 30 days they told me my application was denied and gave no reason.

I got it, took 14 days.

[The Theory]

On 12/19/2019 at 3:42 PM, Pib said:

Bangkok Bank is just another Thai bank....doesn't have anything special to entice an American to be customer.

And the “fees” And exchange rate are the same as other banks ?!!!

[George Aylesham]

'Though I have always found BB to be efficient with courteous staff one problem is that, as I belatedly discovered on a visit to Japan, the BB debit Mastercard doesn't work abroad. In contrast the SCB Mastercard works perfectly.

[Pib]

1 hour ago, AAArdvark said:

I got it, took 14 days.

Congrats.  And SDFCU has a Visa "2%" cash back on everything, no foreign transaction fee, no annual fee credit card.  Spend $3K within 3 months of your card approval date and get a $200 cash bonus.

[wwest5829]

Knew it was coming but today I received my first rejection of accepting my deposit at BBK NYC via EFT from Fidelity. I already had TransferWise set up as the backup. Both Fidelity and BBK NYC had been contacted previously confirming that Fidelity would not use IAT format and that BBK NYC then would not accept.

[ifmu]

On 12/18/2019 at 9:16 PM, cmarshall said:

BB is still a US bank with an ABA number.  Your US bank or credit union will charge you the domestic wire transfer rate to transfer to your BB account, which will be a little lower than the international wire transfer rate.  State Dept Federal Credit Union offers charges a much lower rate of $6 per transfer to BB if you qualify for Emeritus Status, i.e. have you SS or pension amounts direct deposited in your SDFCU account automatically each month.

 

 

Question ..do you mean SS auto pay credit union transfer to BB in new york which goes to BB thai .. ?

[how241]

Keep the account open. If in the past you have used them to transfer money Into Thailand  and later you want to transfer that money back Out,  you will need them to supply you with the necessary paperwork. I can see no good reason to close the acct.  

[Max69xl]

On 12/19/2019 at 7:15 PM, Jingthing said:

Not sure they are better but I've got them set up for my personal use. One is setup for automatic bill paying (phone and electricity) and the other is for my 800K visa qualifying account. 

You don't quit an account at the biggest bank in Thailand. Keep the account alive.