British Government Can Now Pay Pension Direct To Thai Bank

[personchester]

The key to this is whether you will be paid in Sterling or Thai Baht, if they convert to Thai Baht in the UK expect a large loss on the transaction.

Why should you assume that this will automatically be the case ?

I would 'trust' the Pension Service (rather than a UK bank) )to apply a fair rate. I am also sure that GBP to Thailand would be an option if you wanted it.

Simply because foreign currency exchange rates in the UK, from every source I have ever seen, incur huge margins - high street banks, building societies and forex services such as Travelex all rely on making a substantial profit when converting currency. Whilst I would like to think that the Pension Service might wish to be fair in this respect I doubt that they actually want to be in the forex business hence the conversion will likely be outsourced to a bank or similar and margins will be a factor. For me personally I would much rather have GBP and be in a position to convert it as, when and where I see fit.

Yes, I agree with the above, but your last sentence depends on peoples financial position, if the position is such that the depend on their monthly pension income then they do not have that option as they must convert the pension into THB on a monthly basis no matter what the exchange rate might be, very disadvantages of course, particularly now after Sterling has dropped substantially.

Those with more financial freedom however should keep their income in GBP preferably in offshore bank accounts (better interest payments & tax free) compared with banks in Thailand where 15% tax is deducted automatically

[prakhonchai nick]

Those with more financial freedom however should keep their income in GBP preferably in offshore bank accounts (better interest payments & tax free) compared with banks in Thailand where 15% tax is deducted automatically

The 15% tax is deducted only from the interest in Thailand (which is abysmally small). I believe there is also a minimum amount that is allowed tax free. Some years ago the Government Housing Bank permitted interest up to 20,000bt to be tax free, but if you went just 1 baht over, the whole amount (example 20,001) was taxed. Maybe this scheme is still in force.

[Bagwan]

I applaud you Bagwan. A man after my own heart. I have used implied threats in the past and they do bring results.

Obtaining the NI number usually takes 8-12 weeks, and then you should receive the benefit.

Since "her indoors" is from Prakhonchai should you ever find yourself there do pop into to Coffee Corner on the edge of the bus station. It is the local farang meeting point, and was heaving last night.

The light of my life hails from Ban Boo, (or something like that), a village about 7 clicks south from Prakhon Chai. Our country estate is now Ban Nam Duk, outside Lomsak in Petchabun along the Khon Khen road. Positively idyllic and great mates with all the neighbours. My Nirvana.

Too much Chang makes me heave too.

[billd766]

AFAIK in order for the benefit to be paid your wife requires a National Insurance number which requires you to send her original birth certificate to the Department of Pensions in the UK. I used the EMS post.

They will get it translated and return the original to you by a courier company.

When they have done some work on it the send it to the Department of National Insurance (sorry but I am not sure of the correct name) and they take 8 to 10 weeks to complete their part.

/

They then confirm your wife's NI number to the DoP who then come back to you and it will be backdated to the date you receive your pension OR depending on how long you left the claim for a period of time that they determine.

I started mine off in June myself and I am still waiting so don't hold your breath for an instant fix.

My documents, and those of others I have assisted were all returned through normal postal channels. One set of documents reached the pensions dept (I have proof of this) but have become lost within the pensions office complex in Newcastle. New certified copies have had to be provided adding to the normal delay. Once the pension is sorted I propose claiming compensation for lost documents.

Stick to certified copies! THEY WILL ACCEPT THEM! Costs more at the outset but worth it.

The problem with certified copies for me at least is that I have to go to BKK to get it done and I am having problems getting my yellow tabien ban due to the guy asking for a translation only and then changing his mind and wanting certified copies of everything in sight. He also wanted everything stamped by the UK embassy but the only deal with UK documents.

I hope you have good luck in claiming compensation but I wouldn't hold my breath on that one either.

Cheers

[prakhonchai nick]

The problem with certified copies for me at least is that I have to go to BKK to get it done and I am having problems getting my yellow tabien ban due to the guy asking for a translation only and then changing his mind and wanting certified copies of everything in sight. He also wanted everything stamped by the UK embassy but the only deal with UK documents.

I hope you have good luck in claiming compensation but I wouldn't hold my breath on that one either.

Cheers

Most translators are able to certify documents. Acceptable to the pension people. Notarised documents are something entirely different in that the notar is witnessing a signature. I have only been asked for these when making a Power of Attorney.

[billd766]

I claim hero status as recently the Pension Service finally got their act together and transferred 5860 GBP to my offshore bank as they finally acknowledged I had been underpaid. My 4 weekly payment has also been upped by 120 GBP. It has taken 2 1/2 years to get a result and I guess that they only stepped on the gas because I stated that if the matter was not resolved by 1st November I intend to make a complaint to the Pensions Ombudsman.

Two events are worth recalling. The morons that inhabit the Newcastle HQ lost the copy of my marriage certificate and asked for another. I provided this and a translation certified by my lawyer. Asking by telephone why there was a total lack of action I was told that they were having the document verified and translated. I pointed out that they had been given a translation and I was told very tartly they they preferred to use their own translators. I expressed the wish that the translator was more motivated and efficient than the other staff appeared to be.

As part of the delaying process all the required documents are not requested at the same time but piecemeal. Although they had verified copies of my wife's ID card (they ask for the original but I pointed out that in Thai law she must carry it at all times - surely they must know that by now), they wanted verified copies of her birth certificate. Herself said she didn't have a clue where it was so off we went to Pattaya City Hall to see if we could get a replacement. We were directed to Banglamung Amphur who, helpful as ever directed, us to Prakhon Chai Amphur. Apparently online computers and/or telex hasn't reached local government yet. At Prakhon Chai they said that they had no record of her birth (part of election fraud?) and we would have to bring before them two close relatives and the local Headman to verify that she was in fact herself. What purpose does an ID card serve you might ask. The two relatives were rounded up but the local Headman was in BKK on business. His deputy said that he would only attend if he was paid 5K baht and I refused to pay up. All this was related to the Pensions Service and I asked if they really wanted me to put myself at risk of imprisonment for bribery to satisfy their over zealous requirements. I also pointed out that any information on a replacement birth certificate would be copied from my wife's ID card, thus the affair resembled a script written by Spike Milligan. I asked that if the person dealing with my application did not have the authority to make a sensible decision that the matter be placed before somebody that did. My guess is that the Ombudsman threat , the attendant possibility of public disclosure and that they would have to meet all the cost of an inquiry did the trick.

I now await the issue of a Social Security number for her that does the ironing. I shall be replenishing my ready use ammunition lockers until early in the New Year when maybe I shall be forced to let loose further broadsides.

I checked my UK bank account this lunchtime and the outstanding amount was sitting waiting for me.

It took 19 weeks to come through.

Loadsamoney.

Now can I spend it all before my wife finds out and kills me.

Edited November 30, 2009 by billd766

[Daffy D]

AFAIK in order for the benefit to be paid your wife requires a National Insurance number which requires you to send her original birth certificate to the Department of Pensions in the UK. I used the EMS post.

I am currently getting an additional Amount for "Adult Dependency Increase" Money added on for your spouse or the person who looks after your child or children.

My wife does not have a National Insurance Number and has not been to the UK. It sounds from your post that a wife can get a NIN by submitting various documents and that will the entitle her to some benefits.

Could sure do with a bit extra but would that work for me?

[billd766]

AFAIK in order for the benefit to be paid your wife requires a National Insurance number which requires you to send her original birth certificate to the Department of Pensions in the UK. I used the EMS post.

I am currently getting an additional Amount for "Adult Dependency Increase" Money added on for your spouse or the person who looks after your child or children.

My wife does not have a National Insurance Number and has not been to the UK. It sounds from your post that a wife can get a NIN by submitting various documents and that will the entitle her to some benefits.

Could sure do with a bit extra but would that work for me?

It should do but call the Department of Pensions on +44 919 218 7777.

It is money added on for your spouse and in the region of 60% of your current state pension benefit but you should claim asap because in April 2010 it will no longer be available for new pensioners living abroad but I have no idea how it will affect current state pensioners who have not yet claimed.

[prakhonchai nick]

It should do but call the Department of Pensions on +44 919 218 7777.

It is money added on for your spouse and in the region of 60% of your current state pension benefit but you should claim asap because in April 2010 it will no longer be available for new pensioners living abroad but I have no idea how it will affect current state pensioners who have not yet claimed.

All current pensioners, or those who will be 65 before 6th April 2010 can claim..

It is not just pensioners living abroad for whom the spouse allowance will cease from 6th April. It is ALL pensioners including those living in the UK.

[billd766]

It should do but call the Department of Pensions on +44 919 218 7777.

It is money added on for your spouse and in the region of 60% of your current state pension benefit but you should claim asap because in April 2010 it will no longer be available for new pensioners living abroad but I have no idea how it will affect current state pensioners who have not yet claimed.

All current pensioners, or those who will be 65 before 6th April 2010 can claim..

It is not just pensioners living abroad for whom the spouse allowance will cease from 6th April. It is ALL pensioners including those living in the UK.

OK I didn't realise that. Sorry.

I assume that in the UK you can apply for extra assistance in the form of a different benefit if you can prove that by removing this particular one you become below the poverty threshold or something similar to that.

Sorry about the line above but I am bunged up with a cold and my brain does not want to play today.

[exeter]

As things are at present, it sounds good,but, be aware about 2 things. Firstly you will not get any state pension increases after it starts unless the case that is currently challenging this in the european court are successful, ruling due in april, 2010. Secondly, the uk govt will no you are abroad and take a close look at your bebefits, think heating allowance £250, will be stopped and they may try and find out how long you have been abroad and ask for the money back. Is it such a good idea?

[prakhonchai nick]

I assume that in the UK you can apply for extra assistance in the form of a different benefit if you can prove that by removing this particular one you become below the poverty threshold or something similar to that.

Sorry about the line above but I am bunged up with a cold and my brain does not want to play today.

Once the dependents allowance finishes in April 2020, if your wife is still not old enough for the state pension, you may be able to claim Pension Credits.

[prakhonchai nick]

As things are at present, it sounds good,but, be aware about 2 things. Firstly you will not get any state pension increases after it starts unless the case that is currently challenging this in the european court are successful, ruling due in april, 2010. Secondly, the uk govt will no you are abroad and take a close look at your bebefits, think heating allowance £250, will be stopped and they may try and find out how long you have been abroad and ask for the money back. Is it such a good idea?

What you say Exeter is correct.

However to have claimed state pension, you will have completed the form advising where you live and the amount of time you spent abroad. If you do not have a frozen pension, AND are receiving heating allowance, then clearly you were not completely truthful.

Sure you will lose the heating allowance, and your pension will be frozen, but £57 a week for up to 10 years is likely to be far superior.

If you lied at the outset, then you must suffer the consequences!

Even if you do not claim the dependents allowance, it is almost certain that the Pension people will one day ( 1 year 5 years or 10 years) find out you are in Thailand, and then you will be in big trouble!

[JimsKnight]

Do incapacity benefits come under the same bracket in terms of having your benefits transferred to Thailand ?

I will be very surprised if that is the case since "they" typically want to be able to actually"see" claimants, which would be difficult to do if they are outside of the UK.

You would think so but then again maybe not. Some people on incapacity benefits are practically "written off" indefinitely, particularly older people who are just outside the age bracket for the state pension.

I wouldn't be so sure. Depending on the outcome of a general election a lot of these incapacity claimants could have their bubble popped if the tory government goes through with it's pledge to re-evaluate claiments. The government is basically skint and borrowing like no tommorow, it's going to have to cut spending from somewhere and the old labour ways will soon be coming to an end...

To those who are on the never-never of easy benefits I say enjoy it while you can folks..

Edited December 6, 2009 by JimsKnight

[marshbags]

Has anyone experienced any difficulties under the newly introduced transfers as per thread title please.

I hear of pensions being returned to the U.K. because the Thai end isn,t given enough info from the sending bank ??? and they cannot process incoming transfers when they arrive.

If anyone can offer advice before I consider going down this Avenue re transfering, I,d appreciate it.

Any successful transfers to note please would also be encouraging along with the name of the bank/s at this end.

marshbags

Edited December 7, 2009 by marshbags

[chiang mai]

I'll add this here because it's connected and who knows, maybe a sign of things to come:

I'm illegible for a UK state pension and also US Social Security Pension and the latter is payable in two years time. After doing some research I find the following:

1) US Social Security Pension payments made to non-resident aliens (green card holders) residing outside of (in my case) the UK will have tax deducted from those payments at a rate of 30%.

2) Payments can be paid without US tax deducted provided the alien is resident in the UK AND the UK tax authorities are informed of the payment (so that the UK can tax it). Either way it seems that the UK or the US is going to take 30% because in my case, that's just slightly more than the amount I would pay on that money in the UK, given my circumstances.

There's no way for a non-resident alien to claim back the 30% US tax since we are not required to file tax returns in the US. At least by being resident in the UK there is a chance that some of the tax might be able to be clawed back but doubtful after the age of 65. Interestingly all of this shows one example whereby it's cheaper from a tax perspective for me to be resident in the UK rather than in Thailand.

Personally I see this as a fairly offensive piece of tax legislation since US citizens abroad are not taxed on the same payments and it seems to have been set up with a view to ensuring that either the US or the UK get a slice of that money. I wonder if we'll see a day when UK pension payments to non resident Brits is taxed in a similar way, I bet we will!

The various URL's to confirm the above are here:

http://www.socialsecurity.gov/pubs/10137.html#direct

http://asialaw.tripod.com/articles/taxleeds.html

http://www.socialsecurity.gov/internationa...mphlets/uk.html

Edited January 2, 2010 by chiang mai

[tumtong]

I am a Brit and have been living in Thailand since 1990. Any possibility that I can still claim a UK pension when I retire?

[theoldgit]

I am a Brit and have been living in Thailand since 1990. Any possibility that I can still claim a UK pension when I retire?

Yes, the current rules allow it, providing you have maintained your National Insurance contributions.