clarification on bank account protection of only 1 million baht per account.

[david555]

1 hour ago, unblocktheplanet said:

I'm no economist (ask my wife!) but this sure smells like a run on the banks--all of them--to me. Every Thai I know is talking about this.

 

Govt (if you can call it that) is waaay overextended due both to Covid & the economy. The fatcats are still filling their pockets. So how do they keep their money safe?

GOLD... !....  they (Government's)  can't print gold.....

[couchpotato]

2 hours ago, unblocktheplanet said:

I'm no economist (ask my wife!) but this sure smells like a run on the banks--all of them--to me. Every Thai I know is talking about this.

 

Govt (if you can call it that) is waaay overextended due both to Covid & the economy. The fatcats are still filling their pockets. So how do they keep their money safe?

So in your opinion who is actually making a run on the Banks?...  please be clear who and how!

[Venom]

What's the purpose of this? 

On 8/7/2021 at 3:36 PM, In Full Agreement said:

As the DPA will reduce insu-rance protection from Bt50 million per bank account to only Bt1 million from August this year, it will also bring fund flows to the GSB, a |state-run bank that provides 100-per-cent protection to customers, he said."

Why and for what purpose? They forgot to mention the purpose. 

[RocketDog]

On 8/7/2021 at 4:54 PM, Havefunme said:

https://www.bangkokbank.com/en/Personal/Tips-and-Insights/Save-and-Invest/Practical-advice-on-deposit-protection

That clarifies what the law was until August 2021.

From what I've read the rules still hold but the limit is reduced to 1 m/bank/depositer (not per account)

[NoshowJones]

16 hours ago, Knocker33 said:

Not being funny . But I rarely take any notice of what my wife thinks on money matters .

I would always take my wifes advice on money and banks as she uses banks all the time, in the 15 years we have been together, I have always had my money and she hers, she knows more about the banks and money systems than I do and she has never been wrong.

[shambo]

I have a stock account at MayBank Thailand with shares in CAD and US dollars. Any change here, what do you think, thank you.

[userabcd]

7 hours ago, shambo said:

I have a stock account at MayBank Thailand with shares in CAD and US dollars. Any change here, what do you think, thank you.

It is not on the list of protected institutions and being a stock trading account with Maybank, one would say it is not protected.

 

If the deposit money is held in your name in one of the protected institutions banks then those deposits would be protected up to 1 million baht.

 

You could always email them and their institution could clarify for you.

Edited August 9, 2021 by userabcd

[TigerandDog]

On 8/8/2021 at 2:20 PM, blackcab said:

 

You are wrong. Please read the second sentence from this page from the Deposit Protection Agency website:

 

https://www.dpa.or.th/en/articles/view/who-is-protected

 

The DPA website states:

 

"Protection is based on a per depositor per institution basis, meaning that all of an individual’s deposit accounts across all branches of that financial institution will be aggregated into a single amount."

 

As I stated earlier, deposit protection is on a per depositor, per institution basis.

Don't tell me I'm wrong when I did not actually make the statement. I posted what the DPA had said in a press statement. Either way the press statement that I referred to, shown here again. " for your benefit:

From an earlier link:

"As the DPA will reduce insu-rance protection from Bt50 million per bank account to only Bt1 million from August this year" is contradictory to the information in your link.

 

So it would appear, as usual, those in authority are posting conflicting information. Perhaps THEY should be reported for fake news.  

 

BTW, I checked with my bank and they say it's per account NOT per depositor, BUT who the hell knows which is correct. Just more confusion created as usual.

[userabcd]

1 hour ago, TigerandDog said:

Don't tell me I'm wrong when I did not actually make the statement. I posted what the DPA had said in a press statement. Either way the press statement that I referred to, shown here again. " for your benefit:

From an earlier link:

"As the DPA will reduce insu-rance protection from Bt50 million per bank account to only Bt1 million from August this year" is contradictory to the information in your link.

 

So it would appear, as usual, those in authority are posting conflicting information. Perhaps THEY should be reported for fake news.  

 

BTW, I checked with my bank and they say it's per account NOT per depositor, BUT who the hell knows which is correct. Just more confusion created as usual.

It is not the bank offering the deposit protection but the government appointed Deposit Protection Agency.

 

They (DPA) have clarified on their website that it is per depositor per institution (not per account)

 

From Bangkok bank website they seem to have provided information in line with the information of the DPA:

Deposit Protection News and Updates

The Deposit Protection Institution Act took effect on August 11, 2008. Since then, the initial full-coverage protection limit of 100 million Baht per depositor per financial institution has been continuously reduced, to 50 million Baht on August 11, 2012 and to 15 million baht on August 11, 2016. From August 11, 2021, the Deposit Protection Agency will lower the deposit coverage limit to 1 million baht. To provide assurance to investors, the Deposit Protection Agency has continuously collaborated with Thai commercial banks to publicize information about the deposit protection limit and update the changes to depositors, so that they have ample time to make decisions.

 

 

Managing Risks

Depositors can distribute their deposits among different banks, which is one of the methods in which they can manage risk under the Deposit Protection Institution. However, if depositors are confident in the stability and health of their financial institutions and are satisfied with the level of service they receive, then they do not need to make such distributions.

 

Don't know with whom you discussed this at the bank but as it stands with the deposit protection agency and their written worded website they are quite clear it is per institution per depositor (multiple accounts in each institutions branches aggregated and then protected up to 1 million baht)

 

Extract from a Thailaw website explaining the Thailand deposit insurance act 2008:

''The concern is going forward from 11 August 2012, just a little over a year away, when only 1 million baht will be covered by government protection. The implications of this change are significant, especially when one looks at how the coverage will apply. Multiple branches of the same bank will count as one deposit and will be lumped together. Though married couples will receive protection on a per person and per account basis of up to 1 million, separately, in the event of their owning a joint account, protection will not be separated out for that account. In most cases, the money will be split and counted against the individual account of each spouse. This means that management of funds across varied institutions may become a need for many depositors. The chart below illustrates this.''

Edited August 9, 2021 by userabcd

[blackcab]

4 hours ago, TigerandDog said:

On 8/8/2021 at 2:20 PM, blackcab said:

 

You are wrong. Please read the second sentence from this page from the Deposit Protection Agency website:

 

https://www.dpa.or.th/en/articles/view/who-is-protected

 

The DPA website states:

 

"Protection is based on a per depositor per institution basis, meaning that all of an individual’s deposit accounts across all branches of that financial institution will be aggregated into a single amount."

 

As I stated earlier, deposit protection is on a per depositor, per institution basis.

Expand  

Don't tell me I'm wrong when I did not actually make the statement. I posted what the DPA had said in a press statement. Either way the press statement that I referred to, shown here again.

 

You are wrong.

 

You stated, "So it's per account, NOT per depositor." Those were your words, not the words of a quote. Your words were and still are factually incorrect.

 

The previous links in this topic all link to the Bangkok Bank website, not to the Deposit Protection Agency. Bangkok Bank is not the authoritative source in this matter. If you want an authoritative answer please contact the Deposit Protection Agency.

 

4 hours ago, TigerandDog said:

So it would appear, as usual, those in authority are posting conflicting information.

 

The Deposit Protection Agency has not posted any incorrect information.

 

4 hours ago, TigerandDog said:

...BUT who the hell knows which is correct. Just more confusion created as usual.

 

I am completely certain that the Deposit Protection Agency is correct in this matter and that you are incorrect.

 

If you are confused please call the Deposit Protection Agency on 1154 or 1159 and they will further explain matters to you.

[userabcd]

And just to add, this reasoning of per depositor per bank (institution) seems to be in line with the deposit protection in the UK.

Edited August 9, 2021 by userabcd

[In Full Agreement]

On 8/8/2021 at 12:57 PM, nickmondo said:

not correct.

you cannot have five accounts with Bkk Bank (eg) each with 1 million, you would be protected for only 1 million

but you can have 1 million in various banks, ie, Kasikorn, Krungsri, BKK, SCB. 

Is there any official link available inEnglish explaining your claim of having to have accounts in different banks if the  deposit amount is over one million baht?

 

That was the very crux of my OP.

[blackcab]

2 hours ago, In Full Agreement said:

Is there any official link available inEnglish explaining your claim of having to have accounts in different banks if the  deposit amount is over one million baht?

 

That was the very crux of my OP.

 

You do not have to have accounts at different banks. Nobody is forcing you to do this, however:

 

"If a member financial institution’s license is revoked, depositors of that institution will receive their deposits from the Deposit Protection Agency up to the coverage limit. The coverage is based on a per depositor per institution basis (not one account per institution), meaning that depositors with multiple accounts across all branches of that institution will have those deposits - both principal and interest - aggregated into a single amount.

 

The current coverage limit is 5 million baht until 10 August 2021. From 11 August 2021 onward, the coverage limit will be 1 million baht."

 

 

https://www.dpa.or.th/en/articles/view/protection-limit

[TigerandDog]

14 hours ago, userabcd said:

It is not the bank offering the deposit protection but the government appointed Deposit Protection Agency.

 

They (DPA) have clarified on their website that it is per depositor per institution (not per account)

 

From Bangkok bank website they seem to have provided information in line with the information of the DPA:

Deposit Protection News and Updates

The Deposit Protection Institution Act took effect on August 11, 2008. Since then, the initial full-coverage protection limit of 100 million Baht per depositor per financial institution has been continuously reduced, to 50 million Baht on August 11, 2012 and to 15 million baht on August 11, 2016. From August 11, 2021, the Deposit Protection Agency will lower the deposit coverage limit to 1 million baht. To provide assurance to investors, the Deposit Protection Agency has continuously collaborated with Thai commercial banks to publicize information about the deposit protection limit and update the changes to depositors, so that they have ample time to make decisions.

 

 

Managing Risks

Depositors can distribute their deposits among different banks, which is one of the methods in which they can manage risk under the Deposit Protection Institution. However, if depositors are confident in the stability and health of their financial institutions and are satisfied with the level of service they receive, then they do not need to make such distributions.

 

Don't know with whom you discussed this at the bank but as it stands with the deposit protection agency and their written worded website they are quite clear it is per institution per depositor (multiple accounts in each institutions branches aggregated and then protected up to 1 million baht)

 

Extract from a Thailaw website explaining the Thailand deposit insurance act 2008:

''The concern is going forward from 11 August 2012, just a little over a year away, when only 1 million baht will be covered by government protection. The implications of this change are significant, especially when one looks at how the coverage will apply. Multiple branches of the same bank will count as one deposit and will be lumped together. Though married couples will receive protection on a per person and per account basis of up to 1 million, separately, in the event of their owning a joint account, protection will not be separated out for that account. In most cases, the money will be split and counted against the individual account of each spouse. This means that management of funds across varied institutions may become a need for many depositors. The chart below illustrates this.''

The person I spoke to at my bank was the branch manager. So as I said, who the hell knows which is correct. My Thai wife and her sisters have also spoken with their respective bank branch managers ( different banks to me ) and they were also told it was per account. So it would appear that the usual individual interpretations of law are looking applicable in this instance from bank to bank & branch to branch.

 

The whole thing is pretty poor actually reducing the cover this way. That means we will have less than the equivalent of US $30k guaranteed cover. The international standard from what I've ascertained seems to be similar amounts: Europe is 250k euro, USA is $250k, Australia $250k. Those amounts equate to between 5 - 6 million baht depending on exchange rates.

[TigerandDog]

14 hours ago, blackcab said:

 

You are wrong.

 

You stated, "So it's per account, NOT per depositor." Those were your words, not the words of a quote. Your words were and still are factually incorrect.

 

The previous links in this topic all link to the Bangkok Bank website, not to the Deposit Protection Agency. Bangkok Bank is not the authoritative source in this matter. If you want an authoritative answer please contact the Deposit Protection Agency.

 

 

The Deposit Protection Agency has not posted any incorrect information.

 

 

I am completely certain that the Deposit Protection Agency is correct in this matter and that you are incorrect.

 

If you are confused please call the Deposit Protection Agency on 1154 or 1159 and they will further explain matters to you.

They may have been my words BUT they were predicated on  the press release that I posted which clearly stated per account. Irrespective of who that press release came from, it clearly shows that already there is confusion in the banking industry as to how it is going to apply. My Thai wife and here sisters made enquiries with their respective bank branch managers and they were also told per account.

 

I repeat DO NOT TELL ME I'M WRONG when my post, and summary is based solely on a press release that clearly stated per account. It was NOT my personal opinion on the topic.

 

That arrogant approach reminds me of an ar**hole aussie who takes the same approach to everything he disagrees with, even when he is wrong and proven to be so.

[userabcd]

47 minutes ago, TigerandDog said:

The person I spoke to at my bank was the branch manager. So as I said, who the hell knows which is correct. My Thai wife and her sisters have also spoken with their respective bank branch managers ( different banks to me ) and they were also told it was per account. So it would appear that the usual individual interpretations of law are looking applicable in this instance from bank to bank & branch to branch.

 

The whole thing is pretty poor actually reducing the cover this way. That means we will have less than the equivalent of US $30k guaranteed cover. The international standard from what I've ascertained seems to be similar amounts: Europe is 250k euro, USA is $250k, Australia $250k. Those amounts equate to between 5 - 6 million baht depending on exchange rates

Well good luck if you follow what the branch manager of the bank says if that bank fails or has lost its bank trading license and then trying to claim more than 1 million baht from the government deposit protection agency.

 

As has been stated before the

deposit protection agency is the one providing deposit insurance protection, not the banks.

 

Which bank is stating that it is per account?

 

Lets surmise for eg. you have 50million baht in 50 different accounts with that institution, what that bank manager is stating is the account holder will get 50 million baht back from the deposit protection agency?

 

It is stated and clarified quite clearly on the governments deposit protection agency who and what deposits are insured by them.

 

For clarification each countries government in the world sets its own deposit protection max amount and they vary all over the world. For all EU countries deposit protection is limited to eur 100000 not 250000 usd.

 

Can you provide a link to the press release to which you refer.

 

 

Edited August 10, 2021 by userabcd

[TigerandDog]

8 hours ago, userabcd said:

Well good luck if you follow what the branch manager of the bank says if that bank fails or has lost its bank trading license and then trying to claim more than 1 million baht from the government deposit protection agency.

 

As has been stated before the

deposit protection agency is the one providing deposit insurance protection, not the banks.

 

Which bank is stating that it is per account?

 

Lets surmise for eg. you have 50million baht in 50 different accounts with that institution, what that bank manager is stating is the account holder will get 50 million baht back from the deposit protection agency?

 

It is stated and clarified quite clearly on the governments deposit protection agency who and what deposits are insured by them.

 

For clarification each countries government in the world sets its own deposit protection max amount and they vary all over the world. For all EU countries deposit protection is limited to eur 100000 not 250000 usd.

 

Can you provide a link to the press release to which you refer.

 

 

Firstly I already reposted the press release TWICE, so go back and find the original the same way I did.

Secondly. the google search I did showed EU countries as being 250k deposit protection, and that was the basis of me stating that. If the google search resulted in wrong data, I'm not to know that especially when that amount is similar to other countries.

Thirdly. every one of you that has attacked me on this issue has failed to understand that my summarised comment was predicated on the press release that was posted in TVF and then reposted by myself, when the question was raised about whether it was per account holder or per account. IT WAS NOT ME MAKING A STATEMENT.

Fourthly, People need to read and understand an entire post, not just selectively pick 1 part of it and go on the attack. Any person with half an ounce of intelligence would have realised that my summary was based on the press release that I reposted, and I'm not just referring to this particular topic. It occurs far to often in this forum.

 

[userabcd]

1 hour ago, TigerandDog said:

Firstly I already reposted the press release TWICE, so go back and find the original the same way I did.

Secondly. the google search I did showed EU countries as being 250k deposit protection, and that was the basis of me stating that. If the google search resulted in wrong data, I'm not to know that especially when that amount is similar to other countries.

Thirdly. every one of you that has attacked me on this issue has failed to understand that my summarised comment was predicated on the press release that was posted in TVF and then reposted by myself, when the question was raised about whether it was per account holder or per account. IT WAS NOT ME MAKING A STATEMENT.

Fourthly, People need to read and understand an entire post, not just selectively pick 1 part of it and go on the attack. Any person with half an ounce of intelligence would have realised that my summary was based on the press release that I reposted, and I'm not just referring to this particular topic. It occurs far to often in this forum.

 

OK the press release was one from a news article in 2012 and seems to refer to deposits in the government bank - GSB.

 

Today 10th Aug 2021, in a few news articles it seems to be clarified that savings in GSB are wholly guaranteed.

 

1) part extract from regulationasia dot com

''Deposits at Government Savings Bank, established by the Government Savings Bank Act in 1946, are not affected by the change, as the bank’s deposits are wholly guaranteed by the Ministry of Finance.''

 

2) reference newsdirectory3 dot com

"Government Savings Bank informs Deposit Protection Agency announces reduction of protection limit does not affect customers''

Edited August 10, 2021 by userabcd