Foreign Currency Accounts In Thailand

[Sunny Valentine]

I am researching the opportunities for holding an Account in Thailand, especially one in western currency (Euro, Dollar, Pound). Ideally I would like to hold an Account at a Thai Branch of an international Bank. I had an informative talk at HSBC Bank in Bangkok, where they in general offer such accounts, but I have been told that this opportunity (holding your money in Thai Baht or western Currency, with the possibility of switching between the currencies (switching for a fee, of course) is limited to Non-Residents only. As a Non Resident you can have Dollar, Pound etc. accounts (with ok Interest), also have the opportunity to invest in a variety of international Funds, but the Baht Account is subject to a 500 Bt a Month " Government reporting Fee", also no interest paid. In case you are Thai Resident, you are not allowed to hold foreign denominations, but no more fees in Baht, alos Interst is paid.

So far so good, but no one there could tell me what the term "foreign resident" really means in this case.

Does it mean, you have a Thai Residency (applying after 3 Years, paying 192 000 Bt, and all that as written somewhere else on this forum), or are you considered a resident already when you have a work permit, or any one Year Visa?

Somebody can shed a light on this topic, please? Also, All suggestions for opening and holding Accounts for Foreigners foreigners living in Thailand in General would be appreciated. (Where to go? Which Bank? Is it a Bad Idea to open this kind of Account at HSBC Thailand?)

Some Background: I have a European Union Passport, will move to Thailand soon, will start with a 1 Year Multi-Entry Non-O B Visa, and will start my own Busines in Thailand within 1 Year or so, going the way of a 49% share of Thai Company.

And, no, I do not want to leave my money wihin the European Union. Definitely not.

Sunny

[dr_Pat_Pong]

I suspect that the banks will consider that any extended non-immigrant visa will constitute permanent residency. Why not use a bank in Singapore, where you will get interest, and as a non resident of the Republic, no tax on earnings. Easier I think.

[12call]

http://www.scotiabank.com/cda/content/0,16...7_LIDen,00.html

[Digger]

What is wrong with the Isle Of Man or Jersey, Switzerland etc. Easy to move money around and considerably safer in MHO than depositing in Thailand (albeit in other currencies than the baht).

[Sunny Valentine]

I definitely will consider Singapore. Jersey, Switzerland and the likes are (for me oldfashioned snob who sometimes just want to smell where his money is - i.e. have an eye contact to the Bank - just too far away.

Any Website for a Singapore Bank who does Offshore Banking?

Sunny

[12call]

Jessica Lee

Senior Relationship Manager

Personal & Private Bank

Dir: (65) 6539-6018

Fax: (65) 6539-6008

Email: [email protected]

Rep-Office:

Ms Boonyahansa, Achara

ANZ Bank

9th Floor, Diethlm Towers A (next to Concord Hotel)

93/1 Wireless Road

Bangkok 10330

Tel: 662-256-6350

http://www.ocbc.com/me/accounts/accforeign.shtm

http://www.dbs.com/sg/personal/deposit/foreigncurrent/

http://info.maybank2u.com.sg/personal/depo...me_deposit.htm#

Account Opening Appication:

https://www.ocbc.com/me/offshorebank/appform.shtm

[dr_Pat_Pong]

Jessica Lee

Senior Relationship Manager

Personal & Private Bank

Dir: (65) 6539-6018

Fax: (65) 6539-6008

Email: [email protected]

Rep-Office:

Ms Boonyahansa, Achara

ANZ Bank

9th Floor, Diethlm Towers A (next to Concord Hotel)

93/1 Wireless Road

Bangkok 10330

Tel: 662-256-6350

http://www.ocbc.com/me/accounts/accforeign.shtm

http://www.dbs.com/sg/personal/deposit/foreigncurrent/

http://info.maybank2u.com.sg/personal/depo...me_deposit.htm#

Account Opening Appication:

https://www.ocbc.com/me/offshorebank/appform.shtm

Jeez 12. You are a serious mine of information on the Republic's banking system. Thanks for that

[12call]

Jessica is a personal friend and comes to Bangkok every month to visit Private Clients and new Potentional Clients.

Give her a buzz to arrange a meeting.

[Sunny Valentine]

Thanks one3call, I checked some of the links.

These are different Banks, right?

So, is Miss Jessica Lee something like a Private Banking Broker?

A Person / Organisation with relations to several Banks in the Aera?

If not, do you have a Link to the Bank she represents, too?

Or am I missing something?

Sunny

[12call]

Yes your missing someit.Check her email address out and all will be revealed.

http://www.anz.com/singapore/singapore.asp

[Sunny Valentine]

Thanks!

That was a tricky one!

So she has ANZ in her pants, sotosay ?

Sunny

[Sunny Valentine]

dr_Pat_Pong Posted on Sat 2004-07-03, 07:51:55

I suspect that the banks will consider that any extended non-immigrant visa will constitute permanent residency. Why not use a bank in Singapore, where you will get interest, and as a non resident of the Republic, no tax on earnings. Easier I think.

I got just this confirmed now by HSBC Bangkok.

> Dear Mr. Valentine

>If you would like to use the Work Permit, One-Year Visum or similar, you

>will be able to open only Thai Baht Resident Account. Resident customer is

>not allowed to open a foreign currency account.

When I was there in Person some weeks ago, they said something different ....

Now, I still have two Questions:

1.) Is it legal to have a foreign account under these circumstances while liveng / working in Thailand? I guess it is, as there are lots of rules insisting proof that money comes from abroad. But in Thailand, you never know. This is a land where a) you are not allowed to open an account as a tourist, and you can apply for retirement Visa as a Tourist providing evidence of funds in your account .....

So for me, nothing is granted just because it is logic.

And Does anyone know and / or suspect as to why foreigners are not allowed to hold farang currency in Thai Banks? This just puts Thai Banks out of the business, or?

Any ideas what wisdom is hidden behind this rule?

Sunny

[Dutchy2]

dr_Pat_Pong Posted on Sat 2004-07-03, 07:51:55

I suspect that the banks will consider that any extended non-immigrant visa will constitute permanent residency. Why not use a bank in Singapore, where you will get interest, and as a non resident of the Republic, no tax on earnings. Easier I think.

I got just this confirmed now by HSBC Bangkok.

> Dear Mr. Valentine

>If you would like to use the Work Permit, One-Year Visum or similar, you

>will be able to open only Thai Baht Resident Account. Resident customer is

>not allowed to open a foreign currency account.

When I was there in Person some weeks ago, they said something different ....

Now, I still have two Questions:

1.) Is it legal to have a foreign account under these circumstances while liveng / working in Thailand? I guess it is, as there are lots of rules insisting proof that money comes from abroad. But in Thailand, you never know. This is a land where a) you are not allowed to open an account as a tourist, and you can apply for retirement Visa as a Tourist providing evidence of funds in your account .....

So for me, nothing is granted just because it is logic.

And Does anyone know and / or suspect as to why foreigners are not allowed to hold farang currency in Thai Banks? This just puts Thai Banks out of the business, or?

Any ideas what wisdom is hidden behind this rule?

Sunny

And, no, I do not want to leave my money wihin the European Union. Definitely not.

Interesting Mr Valentine, this is actually the first time I've heard someone communicate this. I do hope you are aware of the interest rates on Thai bank accounts at the moment, this wouldn't encourage putting any money in local accounts. There are also restrictions on moving money out of the country, I and all my farang friends do have funds abroad and they will remain abroad as the returns that can be made abroad are simply higher than what can be achieved in Thailand.

This indeed puts Thai banks out of business in this aspect, on the other hand, Thai banks happily charge extraordinary fees for transactions of one's own money and pay 1% on accounts to the people who have no choice, the Thais. We still can choose our banks.

Good luck

Dutchy

[Sunny Valentine]

Maybe you got me wrong.

I considered an offer from HSBC Thailand, which gave the usual rates on Baht, but offer foreign currency accounts as well as Dollar, Pounds etc. Bonds at competitive rates.

Problem turned out I cannot maintain these Accounts once I have Work Permit or other long term residency.

So, now I could keep my existing Austrian Account (Have my reasons not to) or transfer the money abroad, that's what I am gonna. do. And, no, I will not maintain a Thai Baht Account in Malaysia ,_)

Just wondering why foreign Thai Residents are allowed to hold Dollar/Pounds/Euro/etc. accounts everywhere in the World but in Thailand?

Sunny

[Dutchy2]

Just wondering why foreign Thai Residents are allowed to hold Dollar/Pounds/Euro/etc. accounts everywhere in the World but in Thailand?

Sunny

Ask the bank this question, they will answer TIT, this is Thailand. It's not relevant what they do elsewhere.

[Davidcharles]

I have just opened a Nationwide Off Shore Account with good interest and instant access.

Why don't you think about doing likewise?

Nationwide Debit cards used in ATMs are free of charges......