Question About Transferring Money Back Out of Thailand

[MichaelHunt]

I am planning to transfer some money into Thailand (where I live full time) to buy physical gold here. If I decide to sell the gold a few years from now, will I have any difficulty transferring the proceeds back out of Thailand? Bear in mind that the money will leave my bank account in Thailand for a few years and be re-deposited after I sell the gold in a few years. (I might never need to send the money back out of the country, but I would like to be able to if I need to.) And is there anything that I should write as the purpose for the inward transfer that would increase the chances of being able to send the money back out of the country someday? Thanks.

[Sparktrader]

Mike Hunt? 555

 

You can buy gold elsewhere. 

[MichaelHunt]

1 minute ago, Sparktrader said:

Mike Hunt? 555

 

You can buy gold elsewhere. 

But I want to buy physical gold here in Thailand - where I live - and keep it with me.

 

P.S. - Glad you got the joke of my name. I had to use Michael Hunt because somebody beat me to Mike Hunt.

[Sparktrader]

Isnt that risky to keep it?

[MichaelHunt]

If what I expect to happen happens, then I'd rather take my chances keeping physical gold (some in a safety deposit box at a bank and some in a safe at home) than keeping money in a bank.

 

Anyway, we're getting away from my original question, which was: If I transfer the money to Thailand from abroad, will I be able to send the money back out of the country some years down the road - even if the money has been taken out of my Thai bank account and redeposited there later?

[Sparktrader]

Yes

[patekatek]

My wife and I had a friend from the states buy some land in my wife's name.  When his relationship with another Thai lady ended, we sold the land for him.  We were able to transfer 1.3 million baht back to his U.S. bank via Bangkok Bank.  We did, however, have to split it into 2 wire transfers.  Apparently that help avoid scrutiny by others.  He received the funds without any issues.

[patekatek]

Actually we didn't send baht.  It was converted to U.S. dollars before sending.

[MichaelHunt]

Anybody else have experience with transferring money out of Thailand a few years after transferring it into the country? Thanks.

[Toolong]

14 hours ago, MichaelHunt said:

If what I expect to happen happens, then I'd rather take my chances keeping physical gold (some in a safety deposit box at a bank and some in a safe at home) than keeping money in a bank.

 

Anyway, we're getting away from my original question, which was: If I transfer the money to Thailand from abroad, will I be able to send the money back out of the country some years down the road - even if the money has been taken out of my Thai bank account and redeposited there later?

Sorry, I can't offer advice or info re your original query, but I am curious about your first sentence above: 'If what I expect to happen happens....'

 

Just genuinely interested to know what you expect to happen. ???? (You've got me worried now!????)

 

 

[MichaelHunt]

6 hours ago, Toolong said:

Sorry, I can't offer advice or info re your original query, but I am curious about your first sentence above: 'If what I expect to happen happens....'

 

Just genuinely interested to know what you expect to happen. ???? (You've got me worried now!????)

 

 

Given all the debt in the world that can in no way ever be paid back, I don't see how a collapse of the global financial system - or at least the dollar - can be avoided. I hope I am wrong (but I don't think I am), so I want to do at least something to prepare myself in case it happens. I'm betting that gold will form a part of the next monetary system - as gold has been used as money for thousands of years.

 

Worst case scenario, I end up holding too much gold, which has the downside of not paying a dividend, so there's definitely an opportunity cost. (I own a stock that pays me an 8% tax-free dividend, so that's the opportunity cost to me of holding gold.) There's also the risk that the gold could be stolen, but I also think that there's a risk that money in a bank account could be confiscated - if the worst case scenario plays out. (It's happened before, in Cyprus not so long ago, for example, if you recall.)

 

But I look at holding gold as insurance against the uncertainties facing the world now. There is also the advantage that it is very easy to buy physical gold in Thailand, unlike in most countries in the west. Here, I can buy gold bullion from a reputable dealer at my local shopping mall - with a very narrow spread between the buying and selling prices.

 

Anyway, that's the short answer to your question, and it is based entirely on what I see in the world. You might see things completely differently, in which case a different strategy might be more appropriate for you. Or you might see the same issues that I see - but have a different way of protecting yourself.

[lkn]

7 hours ago, MichaelHunt said:

But I look at holding gold as insurance against the uncertainties facing the world now

How much are you planning to buy? Are we talking tens of millions? Otherwise, it doesn’t seem like sufficient hedge against the imminent collapse of our world economy ????

 

Anyway, as for your questions: What you bring into Thailand in foreign currency, you can take out again. All you need here is the bank records. It doesn’t matter what you write when you transfer money into Thailand, that line is simply for AML screening. And if your bank is decent, you can go to your bank in five years or so, and ask them to please make a document with all the foreign money you have brought into Thailand. I did that when I needed documentation for the Land Office, I had transferred millions into Thailand, but over many years, from different sources, and into two different accounts, so it took half an hour or so, but they found enough incoming money to total the amount I needed for my condo purchase.

 

That said, if you are transferring it all in in one go, better get the Foreign Exchange Transaction form from your bank, so you won’t have to bother them in five years and hope they are as service minded, as they were with me.

 

As for any profit you make on your gold, that will be a problem to get out, because that is “sort of” money made in Thailand, so you can’t transfer them out with proper documentation for how it was made. But don’t worry, I think your profit will be below the amount you can just take out with you in cash, if you actually make any profit ????

 

And good luck with your gold!

Edited November 18, 2022 by lkn

[Pmbkk]

 

Without specifying how much it's difficult to say. I'm sure many of us have transferred many, many millions in.

 

Depending on amounts we transfer monies out using DeeMoney

[nigelforbes]

When you transfer the funds into Thailand you have to state the purpose. If you say investment to buy gold, you'll have to pay tax when you export those funds, but at least you should be able to make the transfer problem free. How easy it all is, hinges on the reason you use for transferring the money into Thailand in the first place. If you say, living expenses, the money will be deemed to have been spent.

[Toolong]

13 hours ago, MichaelHunt said:

Given all the debt in the world that can in no way ever be paid back, I don't see how a collapse of the global financial system - or at least the dollar - can be avoided. I hope I am wrong (but I don't think I am), so I want to do at least something to prepare myself in case it happens. I'm betting that gold will form a part of the next monetary system - as gold has been used as money for thousands of years.

 

Worst case scenario, I end up holding too much gold, which has the downside of not paying a dividend, so there's definitely an opportunity cost. (I own a stock that pays me an 8% tax-free dividend, so that's the opportunity cost to me of holding gold.) There's also the risk that the gold could be stolen, but I also think that there's a risk that money in a bank account could be confiscated - if the worst case scenario plays out. (It's happened before, in Cyprus not so long ago, for example, if you recall.)

 

But I look at holding gold as insurance against the uncertainties facing the world now. There is also the advantage that it is very easy to buy physical gold in Thailand, unlike in most countries in the west. Here, I can buy gold bullion from a reputable dealer at my local shopping mall - with a very narrow spread between the buying and selling prices.

 

Anyway, that's the short answer to your question, and it is based entirely on what I see in the world. You might see things completely differently, in which case a different strategy might be more appropriate for you. Or you might see the same issues that I see - but have a different way of protecting yourself.

Michael, thank you so much for taking the time to type this very interesting reply. ????

 

I must say it is rather the answer I had expected and I suppose I just wanted to confirm that.

I have to say that your answer makes very good sense to me, both in terms of what could potentially happen, and how purchasing gold is something that those who can afford to do so might consider.

 

I should say I speak in simple, general terms, as I am definitely no expert about these matters! 

Hence my appreciation for your very clearly outlined personal opinion & insight. (Even though it's all somewhat scary in many ways!????)

 

Thanks. Have a great weekend. ????????

[MichaelHunt]

7 hours ago, lkn said:

How much are you planning to buy? Are we talking tens of millions? Otherwise, it doesn’t seem like sufficient hedge against the imminent collapse of our world economy ????

I'm not trying to protect the whole world by buying gold. Just myself. So the way I see it, any amount of gold is better than none.

[MichaelHunt]

On 11/19/2022 at 6:39 AM, nigelforbes said:

When you transfer the funds into Thailand you have to state the purpose. If you say investment to buy gold, you'll have to pay tax when you export those funds, but at least you should be able to make the transfer problem free. How easy it all is, hinges on the reason you use for transferring the money into Thailand in the first place. If you say, living expenses, the money will be deemed to have been spent.

What if I say that I'm going to use the money to buy a condo - but I don't buy a condo?

[nigelforbes]

3 minutes ago, MichaelHunt said:

What if I say that I'm going to use the money to buy a condo - but I don't buy a condo?

My guess is that they will look at how long the money remained here unused and what other money you imported to support yourself. If you didn't bring any other funds into the country the purported condo funds that were never used, may be deemed living expenses.....I can't say for sure. Thailand is however becoming more and more joined up, it would be a mistake to think they are completely dense. 

[lkn]

8 hours ago, MichaelHunt said:

What if I say that I'm going to use the money to buy a condo - but I don't buy a condo?

Most likely, no-one cares. As I have said before, this line is just for some superficial AML screening.

 

I have sent millions of baht to Thailand, and only when I send relatively small amounts via Wise, do I actually have to provide this “reason for funds”.

 

And none of the money which did actually end up funding my condo, did I provide any “line” about them being for a condo purchase.

 

There is however one caveat: Money for condo must be from abroad. If you use a money transmitter like Wise, there is a chance that you just receive money into your Thai account from their account in Thailand and then it does not count as being from abroad. Therefore in this case, it would be important to select “Purchase of property” as Wise should then ensure they don’t just do a domestic transfer, although I have not tested this myself.