What happens with money in the bank when the farang dies?

[Equatorial]

Are there any steps that one needs to take to ensure that the wife gets the money in the bank (e.g., the 400k or 800k financial requirements for visa), in case of husband's death? 

[blaze master]

That's an easy question to answer......

 

 

 

Ps please allow this light hearted vid to stay up.

 

 

 

 

[omegaman]

Its complex.  Thai inheritence and succession law is incomprehensible, even for the Thai.

 

In a perfect situation, she has access to the account, and there is no interferance from her family, then its all relativly safe.  She just draws the money and done.

 

But if she does not have access to the acoount, and she needs to get the bank to open access as the widowed spouse then its gets complicated.  Thailand has no concept of a Public Trustee, and relies heavily on the departed nominating the Executor of the estate/will prior to death.  If she is not the nominated executor on the notorised will, then she is screwed.  Thai buearacry will hold the funds indefinitly.

 

A common storey is that Bill leaves a condo and cash to Thai girl Nong.  At the funeral, Nongs older brother steps in and takes everything in the family name.  Then gambles and drinks it all away.  Thai succession and inheritence law still favours older male siblings over females.  Remember its an absolute monarchy.  Even if she has legal rights, duty to family often makes her silent.  

 

So the plan is to ensure she, and only she gets the estate.

 

My advise is;

1.  Put the bulk of the money off shore in your home country, and register a will there.  Delegate a solicitor in your home country to hold account details, and instructions to release the details to the wife on your death.  This is assuming you home country has sensible succesion and inheritance laws, and is not as bad as Thailand.  Why your home country?  In 99% of countries, being a citizen gives protection.

2. If you trust her sufficiently, place the funds in either an off shore or onshore joint (dual access) account.  Make sure she knows to wipe the account as soon as you pass.  There is a risk here that if its a Thai account, family can still make a claim and the account is frozen.  So an offshore account is better.

3. If option 1 or 2 are not suitable, then ensure you have a formal Thai marriage certificate, notorised and translated copies of your birth certificate and appropriate ID (passport), a registered official Thai will that names her as the executor, and a decent Thai lawyer she can contact immediatly.  In thailand, the goverment does not offer her any protection or fair due process, she has to protect herself.  So many unscrupulous people (usually family) take advantage of the grieving widow.

 

However, if you are not 'of good character' (loose translation) at time of death (i.e. over staying your visa, past Thai criminal history, open warrants or pending police charges, or other civil claims against you) all bets are off, and the Thai Goverement has the right to seize all funds and assets, pending resolution, which never happens.

 

Everything I have said refers to cash.  Property is a whole different matter.  As generally only Thai nationals can own land outright (I mean dirt not the building). During probate all sorts of quirky Thai historical land owner rights, charges, leans and claims can pop up.  I had a mate's widow that lost the willed condo to the land owner as he had not paid 'water well' fees since purchase.  They seized $US200k of condo for what was maybe US$20k of water fees over 10 years.  If land is in the equation, my advise is just put 100% it in her name, and take the risk.  Make sure she is the principal name in the 'House Book', not her parents or siblings, and not joint.

 

If its a condo/appartment (in the case of a multiple dwelling on onw site), usually the building is yours outright and the actual land is owned by a corporation or body corporate (sic), and you are a shareholder in that entity. In the case of a single dwelling you again own the building outright but have a 90 year lease construct on the land.   Remeber this, regardless of what the law states, EVERYTHING is subject to the interpretation of the court and its decision.  It often doesnt matter what Thai law (or any law in any country for fact) the court decision is what you (or your widowed wife) will have to deal with.  Appeals are a complicated lengthy process in Thailand.  I will probably get flamed for that statement, but the law says this or that. If it goes to court, everyone looses.

 

Option 1: above is the safest, depending on where you call home.  So many ferrang avoid this option to avoid home country death and or capital gains taxes.  Its better she gets 90% of something rather than 100% of nothing.

 

Consider all outcomes (bad family, corrupt magistrate etc), play it safe.  You need to protect her from not only the goverment, corrupt officials, but also her family.

 

I am not a lawyer, just a wise and scared ferrang.  Do your reasearch. 

[ThreeCardMonte]

What happens?

 

Bank staff has a party and the branch manager gets a new car.

[Equatorial]

1 hour ago, omegaman said:

In a perfect situation, she has access to the account, and there is no interferance from her family, then its all relativly safe.  She just draws the money and done.

 

Thanks, @omegaman, for the very comprehensive answer! My question was really only concerning the money that is tied up in Thailand because of the EOS financial requirements, but I appreciate your taking the time to draw the big picture. Lots of stuff to think about! 

 

You refer to, "she has access to the account." I assume that is an arrangement I have to make with the bank, so that my wife, who is not a joint owner (and cannot be because of the financial requirement restrictions) can have access to the funds. How does one refer to that type of arrangement (and if you know the Thai equivalent that would be even better)? When I go to the bank I'd like to be able to tell them exactly what I want. Thanks! 

 

Also, I am not well versed in financial matters - what do you mean by onshore and offshore accounts? (By the way, my home country is U.S.A., and my wife is a dual Thai and U.S. Citizen, in case it changes the picture.) 

 

Finally, for option (2) you wrote, "Make sure she knows to wipe the account as soon as you pass." Why? If it is a joint account and one of the owners passes, the other owner retains full ownership and access, and I was under the impression that the account doesn't even go through probate. What am I missing?