How to get maximum interest for your money?

[CanadaSam]

The weirdest possible scenarios occur when dealing with almost anything in Thailand!

 

GSBank yesterday, girl tells me that if I put 10,000 baht every month for 24 months, I will get 6,360 baht interest at the end, and then can take the money out.

 

I asked her, how about if I put the total 240,000 in a fixed deposit right now, how much interest will I get at the end of 2 years, she said "less".

 

I simply could not believe it, because if I go her route of 10k per month, the bank has very little of my money for quite a few months, but if I deposit the entire amount immediately, the bank (technically & also logically) should give me a much better return at the end of 2 years.

 

I asked to see the Manager, and she confirmed what the girl said!

 

Sorry for the lengthy post, but my mind is totally blown, and therefore I humbly ask all of you learned people, where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

[PJ71]

Interest rates in Thai banks are barely worth the hassle.

[Mike Lister]

The BOT lists the interest rates of all the banks and updates it daily. But they don't report the specials that the banks run which means you have to do the rounds of the banks to ask or check. It helps to have a large mall nearby so you can make one quick pass at lots of them. Don't expect great things, with a central bank rate as low as it is, no Thai bank is going to offer you anything truly interesting.

[Lacessit]

Banks in Thailand pay 1-2% in interest, then lend the depositor's money out at 6-7%. It's a sweet deal for the banks.

 

I use peer-to-peer lending in Australia for a decent interest rate. Or buy shares in good dividend stocks there.

 

Perhaps the OP should investigate the dividends Thai banks pay to their shareholders.

[freeworld]

It's something they do to entice people to think they are putting a little bit of money away every month and then receive a lump sum payment at the end of 24 months. In reality they are only offering basic savings interest rates. I'm sure they catch a lot of people with this.

 

In reality the interest return on the total investment would only be 1.3% per year. May as well just keep the money in a normal savings account paying the equivalent interest rate or more.

 

All the savings deposit products interest rates info is available on banks web sites.

 

Someone mentioned higher interest rates on L&H bank some months ago. Maybe have a look on their website.

Edited May 21 by freeworld

[OneMoreFarang]

Did you ask her how much commission she will get? 

[KhunHeineken]

One thing is for sure, the answers from the bank staff certainly got your "interest." 

[jaywalker2]

27 minutes ago, freeworld said:

It's something they do to entice people to think they are putting a little bit of money away every month and then receive a lump sum payment at the end of 24 months. In reality they are only offering basic savings interest rates. I'm sure they catch a lot of people with this.

 

In reality the interest return on the total investment would only be 1.3% per year. May as well just keep the money in a normal savings account paying the equivalent interest rate or more.

 

All the savings deposit products interest rates info is available on banks web sites.

 

Someone mentioned higher interest rates on L&H bank some months ago. Maybe have a look on their website.

Look, the bank understands the Thai mentality. People will sign up enticed by the amount of interest but few of them will actually put in 10,000 a month for two years. So they'll lose all the interest and whatever money they do deposit the bank will get to use for free.

 

 

[topt]

3 hours ago, CanadaSam said:

where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

Start here 

https://www.bot.or.th/en/statistics/interest-rate.html

 

Then look at individual sites as they may have specials not shown on that list.

[KannikaP]

4 hours ago, CanadaSam said:

The weirdest possible scenarios occur when dealing with almost anything in Thailand!

 

GSBank yesterday, girl tells me that if I put 10,000 baht every month for 24 months, I will get 6,360 baht interest at the end, and then can take the money out.

 

I asked her, how about if I put the total 240,000 in a fixed deposit right now, how much interest will I get at the end of 2 years, she said "less".

 

I simply could not believe it, because if I go her route of 10k per month, the bank has very little of my money for quite a few months, but if I deposit the entire amount immediately, the bank (technically & also logically) should give me a much better return at the end of 2 years.

 

I asked to see the Manager, and she confirmed what the girl said!

 

Sorry for the lengthy post, but my mind is totally blown, and therefore I humbly ask all of you learned people, where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

Similar to buying say a vehicle on HP, where the total interest is added on at the start no matter how much you still owe them.

Most of the answers I have read are nothing to do with the OPs question.

[motdaeng]

do not fall for ads from banks (or car finance) ; there is usually a catch ...

 

where you get a good interest for your money,eg. ibank:

24 months at 2.25% (minus 15% tax)

240'000 thb x 2.25% x 2 years = 10'800 thb 

 

https://www.ibank.co.th/th/promotion/2020-01-27-19-48-47

 

 

 

Edited May 21 by motdaeng
spelling

[CanadaSam]

Thank you all for your valuable info and advice!

 

Tomorrow, a visit to Land & Housing Bank, thanks to FreeWorld's input!

 

And a last question for anybody still reading this, what about if I consider other options rather than banks, would you think Gold, or the Stock Market would be better?

[mania]

15 hours ago, PJ71 said:

Interest rates in Thai banks are barely worth the hassle.

True at this time better rates in other countries. But 2012-2014 Thai banks were quite good. Especially Bank of Ayudhya Mee Tae Dai savings accounts. But yeah right now money needs to be elsewhere 😉 Capital One is 4.25% which is about what Ayudhya was back then

[PJ71]

7 hours ago, mania said:

True at this time better rates in other countries. But 2012-2014 Thai banks were quite good. Especially Bank of Ayudhya Mee Tae Dai savings accounts. But yeah right now money needs to be elsewhere 😉 Capital One is 4.25% which is about what Ayudhya was back then

Yeah, i can get 5.5% in a 1 year fixed bond in my home country bank which is pretty good.

[Satcommlee]

It is not weird, Goverment bank may be actively encouraging regular savings and the interest under this scheme may fall under a tax-exemption.

 

I just locked 1 mil away for 10 months for my son with Krungsri at 2% with  1400 baht interest paid monthly. (This is a 'Special' as mentioned by previous poster)

 

 

 

 

[Rumpelstilskin]

Altria stock on NYSE pays more than 9% and they are well positioned in the 'smokeless' market. They continually command higher prices with Marlboro in the US. Phillip Morris sells Marlboro outsife the US.  KPR, another + 9% dividend interest payer is an oil lease drilling company.  Charles Schwab opens international accounts where you can pretty much control your $$$.

[fittobethaied]

I brought all of my USD's here and put them in a USD Foreign Currency Fixed Deposit account for one year at 6/10ths of 1% interest at Bangkok Bank. With Thai Baht accounts the Thai equivalent of the FDIC in the US will guarantee and insure deposits up to 1 million Baht, but Foreign Currency deposit account have NO guarantees. It's one of the biggest rip-offs of all times, but I'm banking on the Thai Baht weakening drastically at some point in time, then I will exchange my USD's for Thai Baht and make my profits. If the Baht goes the other way, I'm screwed. I could send my money back to the US and make 5.5% interest at my credit union, but at my age I could kick the bucket at any time, and my wife would have one heck of a time getting that money back to Thailand. It would be a major chore for her, and she would wind up paying some "shark" to advise/help her and get scammed into paying him a large percentage for his trouble. It's just not worth the hassle. 

[Mason45]

I'm currently getting 4.85% for 9 months, Australian Government Guaranteed.

[rwill]

They didn't try and talk you into doing the lottery shares instead of normal interest account?

[jaideedave]

13 hours ago, CanadaSam said:

Thank you all for your valuable info and advice!

 

Tomorrow, a visit to Land & Housing Bank, thanks to FreeWorld's input!

 

And a last question for anybody still reading this, what about if I consider other options rather than banks, would you think Gold, or the Stock Market would be better?

I've always been a bit of a gold bug in LOS. It's instantly convertable to cash and it has appreciated in value since I arrived full time in 2004. I've also had a good dividend stock (CPNRF) previously thru Bualuang Securities.I've rarely left any larger amounts in savings accounts. Thats just me, there are a myriad of other ways to invest.I've been lucky I suppose. 

[khunPer]

On 5/21/2024 at 6:48 AM, CanadaSam said:

The weirdest possible scenarios occur when dealing with almost anything in Thailand!

 

GSBank yesterday, girl tells me that if I put 10,000 baht every month for 24 months, I will get 6,360 baht interest at the end, and then can take the money out.

 

I asked her, how about if I put the total 240,000 in a fixed deposit right now, how much interest will I get at the end of 2 years, she said "less".

 

I simply could not believe it, because if I go her route of 10k per month, the bank has very little of my money for quite a few months, but if I deposit the entire amount immediately, the bank (technically & also logically) should give me a much better return at the end of 2 years.

 

I asked to see the Manager, and she confirmed what the girl said!

 

Sorry for the lengthy post, but my mind is totally blown, and therefore I humbly ask all of you learned people, where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

A 12-month fixed account pays around 1.30% p.a. right now, so 240,000 x 1.30% is 3,120 baht, two years deposit gives a gain of 6,280 baht with interest's interest.

[ravip]

On 5/21/2024 at 10:21 AM, PJ71 said:

Interest rates in Thai banks are barely worth the hassle.

Where in the world do banks pay where the hassle is worth it? ...and your money is safe.

[fonzo]

Forget about bank's interest rates.  Instead ask the banks about '' foreign investment funds,'' especially indian funds.

Edited May 22 by fonzo

[GreasyFingers]

3 hours ago, Mason45 said:

I'm currently getting 4.85% for 9 months, Australian Government Guaranteed.

CBA are offering 4.9% for 11 months. Trouble is when you hit the icon to accept the site says not found. This was this morning.

[mrwebb8825]

On 5/20/2024 at 11:48 PM, CanadaSam said:

The weirdest possible scenarios occur when dealing with almost anything in Thailand!

 

GSBank yesterday, girl tells me that if I put 10,000 baht every month for 24 months, I will get 6,360 baht interest at the end, and then can take the money out.

 

I asked her, how about if I put the total 240,000 in a fixed deposit right now, how much interest will I get at the end of 2 years, she said "less".

 

I simply could not believe it, because if I go her route of 10k per month, the bank has very little of my money for quite a few months, but if I deposit the entire amount immediately, the bank (technically & also logically) should give me a much better return at the end of 2 years.

 

I asked to see the Manager, and she confirmed what the girl said!

 

Sorry for the lengthy post, but my mind is totally blown, and therefore I humbly ask all of you learned people, where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

Because 24 months of business is worth more than 30 minutes of business?

[Yme]

Go to Cambodia. Convert your money to Khmer Riel. Or transfer and deposit US$ directly. Deposit in someone like Woori Bank or LOLC and get decent interest rates. Depends on how much effort you want to go to to get resident tax (6%) on interest or non-resident (14%). If you have the interest paid monthly use the banks app to transfer it to Wing and from there to yourself at a Kasikorn account with no fees on the last day of each month. 
To open the account you will need a Cambodia E type visa (possibly with an extension to qualify for resident rates).
A local rental agreement (guest house, serviced apartment, etc)

Letter from the local Sangkat saying you are resident in their area.

Rates have come down about 0.50% in the last couple of months. 

[KhunHeineken]

On 5/22/2024 at 6:56 AM, Mason45 said:

I'm currently getting 4.85% for 9 months, Australian Government Guaranteed.

Yes, but some interesting tax implications are on their way, both in Australia, and in Thailand. 

[4MyEgo]

On 5/21/2024 at 2:48 PM, CanadaSam said:

where can I deposit a million or so baht for the maximum interest, for a year, renewable each year.

 

Money in the bank is dead money, i.e. you receive low interest, while they lend it out to others for a higher rate.

 

Then you have the cost of goods and services which have risen at least 15% over the last couple of years, thanks to governments for printing more and more money, due to let's say Covid....LoL

 

Invest your money into hard core assets and reap the rewards, that said, you need to do your home work.

 

A simple hint would be Bitcoin or Ethereum, I have been making an absolute killing since January, now if you think these legally approved ETF's are a scam, please carry on earning your interest from the banks, while I continue to make anywhere from 5% to 30% on these two Cryptocurrencies, which will continue to grow.

 

Now you did ask where you could get the best interest, to me interest is a % of money invested, not in banks, that is the last place I would invest my money as it is a loss after you take inflation into account.

 

Good luck anyways.

[noobexpat]

In the UK i have a 6% 1 year term deposit maturing soon.

New rate about 4.5%

 

Got too much already invested in the markets so i'll probably stick with declining interest rates. By no means ideal.