Fixed Term Deposit Accounts: 5mil in One Bank or 1mil in 5 Banks?

[Thomas J]

2 hours ago, Chris.B said:

I'd keep quiet about being a former banker if I was you. It is nothing to brag about. ????

Well I was on the other side of the wall as they say in banking.  I was in the Trust Dept and we managed peoples money for a fee.  My area was for corporations.   Traditional banking takes deposits from people and loans to individuals and companies and makes it money on the spread.  Trust charges a fee and tries to make money for its clients.  Of the two areas I preferred the Trust area. 

Banks are like attorneys.  Everyone hates them until you need one. 

[G Rex]

2 hours ago, macahoom said:

"did he know that there is a limit of $200,000 baht per day"

 

Can you explain what this means, please?

 

Yes - please clarify what you mean here. I have a daily withdrawal limit here from my Krungsri account of 2 million Baht . Nothing special about. My account.  Not sure where you get your info from..

[shortstop2]

On 6/30/2021 at 1:51 AM, JetsetBkk said:

Which banks would you choose, and why, if you had 5,000,000 Baht to salt away?

 

 

I'm not a fan of fixed term deposits especially if I can get a better interest rate without the commitment.   One of my choices would be SCB EZ savings which currently pays 1.5% interest.  Just opened this account a coupe of weeks ago and everything is going smoothly/

 

Googling around, I just discovered Krungthai Next which also appears to have a 1.5% account non-passbook account.

 

https://krungthai.com/en/personal/deposits/218/427

 

Does anyone have this account or know of any downsides to this account?

 

Neither the SCB and Krungthai accounts have passbooks.  Are these non-passbook accounts valid for retirement visa purposes?

 

One idea is to have very small accounts at various banks that have low interest and at the first sign of trouble transfer the money to these other accounts.  That could be too late though.  Or go to cash and put in your safe.   When Covid fist hit, I went to cash for a couple months except for 800K in the account I need to maintain for my visa..

 

 

[JetsetBkk]

15 hours ago, shortstop2 said:

 One of my choices would be SCB EZ savings which currently pays 1.5% interest.  Just opened this account a coupe of weeks ago and everything is going smoothly

 

I've got an SCB Term Deposit account. The rate started at about 1.5% 6 years ago. 

I find it difficult to understand the entries in the Pass Book - 

A lot of the early entries state "Rate 1.15% Due: {6 months later}".

Others say "Rate 1.65% Due: {12 months later}". All very confusing.

The last entry on March this year was "0.45% due March 2022"!  

 

15 hours ago, shortstop2 said:

Krungthai Next which also appears to have a 1.5% account non-passbook account.

 

 

I have a Krung Thai account for my daily ATM cash. Used to use it for the 800K until it nearly went under 800K, so I put it in the SCB and left it alone.

I've heard of the "Next" account, but that's about it. They keep pushing it at me with adverts. I'd need a good English speaking Krung Thai bank assistant to explain it to me. 

 

15 hours ago, shortstop2 said:

Neither the SCB and Krungthai accounts have passbooks.  Are these non-passbook accounts valid for retirement visa purposes?

 

Both of my SCB and KT accounts do - I wouldn't be surprised if they were Thai or "Farang+Work Permit" only accounts.

One day I'll ask them or Google it. Not today.

[shortstop2]

On 7/2/2021 at 11:49 PM, shortstop2 said:

Googling around, I just discovered Krungthai Next which also appears to have a 1.5% account non-passbook account.

 

https://krungthai.com/en/personal/deposits/218/427

 

 

Went to Central Festival Branch and the rep said this account is for Thais only.  The best they can do for farang is 1%.

 

Also popped into Krungsri to inquire about the 1.5% up to 100K Mee Tae Dai account and was told this was also for Thais only.  Mee Tae Dais are available with the farang interest rate though.

[userabcd]

The product fact sheet for mee tae dai krungsri indicates:

 

the interest rate for individual depositors 0 to 100000 baht is 1.5%, 100000 baht to 5000000 baht is 1%. (June 2021)

 

It shows only Thai citizens are elegible for the mee tae dai product.

Edited July 5, 2021 by userabcd

[JetsetBkk]

5 hours ago, shortstop2 said:

the rep said this account is for Thais only.  The best they can do for farang is 1%.

 

4 hours ago, userabcd said:

It shows only Thai citizens are eligible for the mee tae dai product.

 

TIT!  

I wonder if any banks in the "West" are allowed to discriminate like this?  

 

 

Edited July 5, 2021 by JetsetBkk

[userabcd]

11 hours ago, JetsetBkk said:

 

 

TIT!  

I wonder if any banks in the "West" are allowed to discriminate like this?  

 

 

Some countries may restrict certain deposit bank account products to citizens and permanent residents only.

 

Interestingly,

 

- The Krungsri March 2021 product fact sheet for the Mee tae Dae does not discriminate and only refers to depositor. The top interest rate at that time was 1.1%.

 

- In June 2021 Krungsri seem to have introduced on their product fact sheet the requirement that the mee tae dae is only available to Thai citizens.

Edited July 6, 2021 by userabcd

[JetsetBkk]

22 minutes ago, userabcd said:

Some countries may restrict certain deposit bank account products to citizens and permanent residents only.

 

Interestingly,

 

- The Krungsri March 2021 product fact sheet for the Mee tae Dae does not discriminate and only refers to depositor. The top interest rate at that time was 1.1%.

 

- In June 2021 Krungsri seem to have introduced on their product fact sheet the requirement that the mee tae dae is only available to Thai citizens.

 

I wonder what happened to the accounts of foreigners who paid in to Mee Tae Dae in April?  

[macahoom]

57 minutes ago, JetsetBkk said:

 

I wonder what happened to the accounts of foreigners who paid in to Mee Tae Dae in April?  

 

I don't know about April, but I've had a Mee Tae Dai account for several years. I'm not Thai.

[Pib]

1 hour ago, macahoom said:

 

I don't know about April, but I've had a Mee Tae Dai account for several years. I'm not Thai.

Ditto.  And many times (but not always) with Thai savings accts the advertisement/fact sheet may say for Thais only but a farang can still open an acct.   I guess they say for Thais only in hopes it will keep a farang from knocking on the door but if the farang does knock they still let him in.

 

Additionally, there are two ways to open/two versions of a MTD acct....online and by visiting a branch.   Seems according to the Krungsri Apr 2021 interest rate sheet it's when opening an acct "online" that it's limited to Thai citizenz...I expect a Thai ID card vs a passport is required to open an acct online.  But if opening a MTD in person at a branch a Thai ID or foreign passport would work.  And an online MTD acct does not come with a debit card nor passbook like an acct you open in person at a branch.  Yeap, two different versions of a MTD....one opened online and one opened at  a branch....different opening requirements.

https://www.krungsri.com/Krungsri2020/media/Banking-Rate/deposit-rates/en/deposit-rates-01042564-en.pdf

Quote

 

5. Savings Mee Tae Dai Deposit

 

5.1 Opening an account via a branch office

5.1.1 For individual customers (Joint accounts, account “for” or “by” are not permitted).

 

Opening an account online

5.2.1 For Individual Thai nationality customers age between 15-70 years old and allowed to open only one account (Joint accounts, account “for” or “by” are not permitted).

5.2.2 Mee Tae Dai online is special savings account with no passbook and debit card with no minimum initial deposit required.

 

 

Edited July 6, 2021 by Pib

[shortstop2]

1 hour ago, Pib said:

Seems according to the Krungsri Apr 2021 interest rate sheet it's when opening an acct "online" that it's limited to Thai citizenz..

 

I was told at a branch that to get the 1.5% interest rate, one must open the account online.

[Pib]

17 minutes ago, shortstop2 said:

 

I was told at a branch that to get the 1.5% interest rate, one must open the account online.

That is correct, but that 1.5% is only on deposits of less than or equal to Bt100K.  Amounts over Bt100K earn the same interest rate as a MTD acct opened in person at a branch..

 

So, let's say you open an online MTD acct and deposit Bt800K.   Right now the 1st 100K would earn 1.5% and the remaining 700K earns 1.0%.

 

To get full/more details on the differences between the opened online vs at branch MTD details a person needs to select "Thai" language at the Krungsri website and then let Google Translate do the translation.  If a person selects English language at the website details provided may be a lot less. 

 

Below is a partial quote/snapshot of a Krungsri webpage talking MTD but I've set it to display in Thai and then let Google Translate do the translation....this way you get all the details.  But if selecting to display the webpage in English then Krungsri has prepared a greatly slimed-down version of details.  Not uncommon for Thai websites to have more robust/detailed webpage when displaying in Thai vs if displaying in English.  

 

https://www.krungsri.com/th/personal/deposit/savings-account/mee-tae-dai/online

[Scouse123]

If you have substantial funds such as 10 million plus in a Fund with the bank and not on fixed deposit, would it be different? Would money in funds be classed as ' bank assets? '

 

I am not suggesting panic or that KTB, SCB, or BB are in financial strife in any shape or form but how would a KTB Fund be treated in such a happening as a bank ceased trading?

[macahoom]

4 hours ago, Scouse123 said:

If you have substantial funds such as 10 million plus in a Fund with the bank and not on fixed deposit, would it be different? Would money in funds be classed as ' bank assets? '

 

I am not suggesting panic or that KTB, SCB, or BB are in financial strife in any shape or form but how would a KTB Fund be treated in such a happening as a bank ceased trading?

 

Your fund would not be included in the Deposit Protection Agency's one million baht guarantee, starting August 11th. Only baht cash accounts are covered.

Edited July 6, 2021 by macahoom

[Pib]

5 hours ago, Scouse123 said:

If you have substantial funds such as 10 million plus in a Fund with the bank and not on fixed deposit, would it be different? Would money in funds be classed as ' bank assets? '

 

I am not suggesting panic or that KTB, SCB, or BB are in financial strife in any shape or form but how would a KTB Fund be treated in such a happening as a bank ceased trading?

A fund is an investment vs a deposit; therefore, it's not covered/protected by the Thailand Deposit Protection Program.  See below from the Thailand Deposit Protection Agency.

 

https://www.dpa.or.th/en/articles/view/protected-deposit-products

[Scouse123]

Thank you guys.

[itsari]

Putting all your eggs in one basket has never been a good idea . 

[JetsetBkk]

On 7/6/2021 at 12:44 PM, Pib said:

Ditto.  And many times (but not always) with Thai savings accts the advertisement/fact sheet may say for Thais only but a farang can still open an acct.   I guess they say for Thais only in hopes it will keep a farang from knocking on the door but if the farang does knock they still let him in.

 

Additionally, there are two ways to open/two versions of a MTD acct....online and by visiting a branch.   Seems according to the Krungsri Apr 2021 interest rate sheet it's when opening an acct "online" that it's limited to Thai citizenz...I expect a Thai ID card vs a passport is required to open an acct online.  But if opening a MTD in person at a branch a Thai ID or foreign passport would work.  And an online MTD acct does not come with a debit card nor passbook like an acct you open in person at a branch.  Yeap, two different versions of a MTD....one opened online and one opened at  a branch....different opening requirements.

https://www.krungsri.com/Krungsri2020/media/Banking-Rate/deposit-rates/en/deposit-rates-01042564-en.pdf

 

From your link: (my emphasis)

 

"Definition of Customer Type (1) - (8) as specified in the above table: (1) Individuals refer to Thai citizens; or individuals of other nationalities and their spouses with foreign passports who are authorized to stay in Thailand for at least three months or who have work permits and are residing or conducting businesses in Thailand in accordance with the Bank’s criteria"

 

So doesn't that include retirees with one year extensions of stay?  

 

Today I went to Central Festival banking section and asked about fixed term deposit accounts. Krung Thai (my current account/ATM card bank) is definitely out - "0.0% for foreigners" she said, although I did have a fixed term deposit account with them a few years ago that paid interest and the bank teller confirmed that that was the case before.

 

I also went to the Bangkok Bank where I was told I could get 0.5% with a 2 mil. guarantee: "From August 11, 2019 Thai Baht Deposits are protected under the Deposit Protection Agency Act up to a maximum of 5 million baht per one depositor per financial institution until August 10, 2021."  -  https://bit.ly/3yVIrG7

 

Tomorrow I'll go to Krungsri and ask about the Mee Tai Dee account. I'll print out the "Definition of Customer Type" (as above) and take it with me in case they put up a fight.  

 

If I can open one, I'll ask them to wait while I pop over to Krung Thai and relieve them of 1 mil. 

 

One thing I forgot to ask was whether the accounts allowed instant withdrawal. I assumed they all did because my SCB account does - I just lose the interest if I withdraw early. Also, the SCB account is fine with Immigration where I keep the 800k for retirement extensions.

 

[Pib]

Good luck on your visits to the banks.  And I'm sure I'm preaching to the choir when I say certain branches of banks don't follow--or seem to know--the rules published on their bank's website.   Seems each branch can have its own interpretation of company rules/policies as different branch managers seem to come up with their own rules....kinda like different immigration offices. 

Edited July 14, 2021 by Pib

[JetsetBkk]

23 hours ago, Pib said:

Good luck on your visits to the banks.  And I'm sure I'm preaching to the choir when I say certain branches of banks don't follow--or seem to know--the rules published on their bank's website.   Seems each branch can have its own interpretation of company rules/policies as different branch managers seem to come up with their own rules....kinda like different immigration offices. 

Well, it wasn't too hard! I went to Krungsri bank in Central Festival, Phuket and showed them page 2 of the "Deposit Interest Rates" document that I had downloaded from here:   https://www.krungsri.com/en/rates/deposit 

 

I had highlighted the "Mee Tae Dai" line (section 5.) that showed the 1.00% interest rate.

 

Opening the account with a 1,000 baht deposit took just under 30 minutes and I got a Pass Book.

I was curious about how the account name was pronounced so asked the girl, and she obliged:

 

Then I went over to Krung Thai and relieved them of 1 mil. which took less than 4 minutes (didn't realise how heavy a block of one thousand 1,000 baht notes were) and then back to Krungsri to deposit them. Of course, they had to count them all, which took a few minutes and then wrap them up again in their own security bands - about 6 minutes in all.

 

Maybe next week I'll do the same with Siam Commercial bank who are giving me 0.4% 

 

[YT3k72Em]

It looks like these all of these "online-only" accounts are Thai only as they require a Thai ID card and it's security features.

And most of the promotional high interest rates are only for the online-only accounts, so we'll have to make do with the regular bank books and interest rates.

[villageidiotY2K]

Is the money in stock market be covered? (Stock exchange of Thailand)