Thai Credit History

[Javabear]

Is it necessary to set up a western style credit history in Thailand? I have great credit in the US but have found that it does not mean anything here. Also which banks/financial institutions have been the most friendly/helpful? I tried applying for a credit card at the SCB in the Pattaya Carrefour yesterday but they said it was not possible without a work permit. I don't work in Thailand so naturally I don't have a Thai work permit. It was pretty eveident that the customer service rep was more interested in saying no than anything else. I tried SCB because that is where my account is now.

[gotlost]

Is it necessary to set up a western style credit history in Thailand? I have great credit in the US but have found that it does not mean anything here. Also which banks/financial institutions have been the most friendly/helpful? I tried applying for a credit card at the SCB in the Pattaya Carrefour yesterday but they said it was not possible without a work permit. I don't work in Thailand so naturally I don't have a Thai work permit. It was pretty eveident that the customer service rep was more interested in saying no than anything else. I tried SCB because that is where my account is now.

Go to the bank that you deal with, not a branch, they should be able to assist you with a credit card.

[khunjake]

Go to the bank that you deal with, not a branch, they should be able to assist you with a credit card.

You will very likely still be asked to show a valid work permit. These are not the bank's rules, it the regulation from the BoT.

[CWMcMurray]

I went arround to many banks before applying for credit card a few months ago and in every case a WP seemed to be a standard requirement that was non-negociable...

The only exception I have heard about is if you are willing to lock away an large sum of money and get a secured credit card. From my understanding the bank may ask for a min of 2x the requested credit limit.

In the US a "secured credit card" may need to be used initially until you credit score imporoves, and then you will be offered an unsecured card... I am not sure if such a path is possible here or if you MUST have a WP in order to transition to an unsecured card.

But Thailand does certainly have some systen for "Credit Score", but not certain on all of the details of how it works. The only thing I know is that when we were going to buy our second car, the bank told my wife she had A+ credit and the loan would not be any problem...

If anyone has any details on the Thai credit score system, I would definately like to learn more about this topic.

Edited October 17, 2009 by CWMcMurray

[Soutpeel]

But Thailand does certainly have some systen for "Credit Score", but not certain on all of the details of how it works. The only thing I know is that when we were going to buy our second car, the bank told my wife she had A+ credit and the loan would not be any problem...

If anyone has any details on the Thai credit score system, I would definately like to learn more about this topic.

Thai credit score system is the same as everywhere else you need to build a history, My credit score in Thailand is A+ and can get loans on just about anything.

On getting a Thai credit card, yes its a BOT requirement that you need a WP to apply, but have heard of cases of people getting them who didnt have one, the the WP seems to be the driver and not the credit score so much, as I had a Gold credit card from SCB within two weeks of arriving in country to start work, and certainly never had any credit history in Thailand.

Credit scores from other countries mean squat in Thailand.

[CWMcMurray]

So "A+" is an actual credit score.... so presumably that meas the Thai credit system gives each person a "grade" A+, A, A-, B+, B, ect... , is that correct?

So what do each of the grades mean (are there MIN grades needed for various types of loans?).... for instance what would the MIN score normally be needed in order to qualify for a mortgage for example?

Does it have anything to do with interest rates? From what I have heard in terms of credit cards and mortgages and loans they seem to give everyone the same rates regardless of credit scores (not 100% SURE ON THIS).

In terms of the amount of credit given it also seems to be based more on monthly income than credit score, so just curious how much weight is placed upon the credit score in Thailand.

[pschef]

Sorry to burst your bubble, I have lived in Thailand with my Thai wife for almost 20 years. I have worked in Thailand with a work permit. SCB completely refused a credit card. Good news apply with your wife as the main card to Neon. They will give you as a second card holder

[CWMcMurray]

PS Chef....

Not sure when you tried to apply, but you may want to check around again... I have been here for a lot less time than you and have only been working for a couple of years and was able to get a credit card in my own name without any problems.

I went to many of the Banks to check around, but the easiest (read: lowest hassle with paperwork required) was from KTC.

Filled out the paperwork and turned it in, got a call a week later to verify my info on my application and then received the card in the mail less than two weeks later...

I still have the mobile number of the guy from KTC who helped with the application, send me a PM if you want it.

[Spoonman]

Kasikorn gave me an unsecured credit card, i do have a WP though.

Edited October 18, 2009 by Spoonman

[Pitbullman1]

Thai Airways are offering a credit card to farangs upon proof that you have an income of 90,000 THB per month in your country. Doesn't have to be brought into this country.

[choppychugger]

Does anyone know how bad it is if your late on a couple of car payments ? Basically whilst sorting out my internet banking and other issues we were late with a couple of payments.

cheers

[jvc]

Just received a Secured Platinum Visa Credit Card from SCB.

No WP and was getting nowhere until I suggested I would deposit 200,000 in a 3 month Term account and then all the shutters came up and I was approved for a 100,000 limit card within days.

So there is no credit involved but its handy to have for the convenience.

[katabeachbum]

Go to the bank that you deal with, not a branch, they should be able to assist you with a credit card.

You will very likely still be asked to show a valid work permit. These are not the bank's rules, it the regulation from the BoT.

It is not any regulation from BoT.

Bank of Ayudhya. Open account and deposit a couple of hundred k. Apply for credit card. Sometimes tha branch doesnt know to handle it, if so ask them to call headoffice. In your account they will reserve an amount to guarantee for the credit card. Gold card reserve is 80 k to get a 65k limit. Sufficient for online airfare, carrentals, hotelbookings etc. You recieve the card within 2 weeks. I just did. Never had a workpermit.

[katabeachbum]

Does anyone know how bad it is if your late on a couple of car payments ? Basically whilst sorting out my internet banking and other issues we were late with a couple of payments.

cheers

90 days late and a court order to repos is issued within a week

[khunjake]

It is not any regulation from BoT.

Yes it is. You are referring to a "secured credit card" which any bank here will do with any interference from the BoT as any default losses are secured by the bank already. For "unsecured credit card" it is a BoT requirement.

[2008bangkok]

I will have a think about this

[katabeachbum]

It is not any regulation from BoT.

Yes it is. You are referring to a "secured credit card" which any bank here will do with any interference from the BoT as any default losses are secured by the bank already. For "unsecured credit card" it is a BoT requirement.

Forgot to mention the security reserved amount is only reserved until 3 credicard-invoices have been payed in time. then its released. So no its not, or if it is its ignored by this bank.

and why would BoT require workpermit for creditcards, when they dont require it for car finance even when finance amount is more than cars value?

[Soutpeel]

It is not any regulation from BoT.

Yes it is. You are referring to a "secured credit card" which any bank here will do with any interference from the BoT as any default losses are secured by the bank already. For "unsecured credit card" it is a BoT requirement.

Forgot to mention the security reserved amount is only reserved until 3 credicard-invoices have been payed in time. then its released. So no its not, or if it is its ignored by this bank.

and why would BoT require workpermit for creditcards, when they dont require it for car finance even when finance amount is more than cars value?

Simple...because the car you can repo...it has as a value, ie it can be sold to recoup losses, a credit card on the other hand....if a Farang gets a credit card, runs the card up and does a bunk, how can the bannk recover that loss ??....

The work permit requirement is in reality a good measure , as at least it shows you are gamefully employed, have some form of "commitment" to staying here and if somebody does do a bunk, they believe they might have recourse through the company the person was working for...

Its all about risk or perceived risk thats all...

[Maigo6]

Just received a Secured Platinum Visa Credit Card from SCB.

No WP and was getting nowhere until I suggested I would deposit 200,000 in a 3 month Term account and then all the shutters came up and I was approved for a 100,000 limit card within days.

So there is no credit involved but its handy to have for the convenience.

This what I have but with Bangkok Bank, Gold Mastercard and Gold visacard, 100,000 Baht limit on either or a combination of the 2, minimum 200k in a fixed account.

I don't use them but the account is checked every 7 days and will be taken out of my savings account if neccessary.

I think it's very convenient, you can't spend what you don't have, plus there are never any interest charges if you go the pay in full method.

[katabeachbum]

It is not any regulation from BoT.

Yes it is. You are referring to a "secured credit card" which any bank here will do with any interference from the BoT as any default losses are secured by the bank already. For "unsecured credit card" it is a BoT requirement.

Forgot to mention the security reserved amount is only reserved until 3 credicard-invoices have been payed in time. then its released. So no its not, or if it is its ignored by this bank.

and why would BoT require workpermit for creditcards, when they dont require it for car finance even when finance amount is more than cars value?

Simple...because the car you can repo...it has as a value, ie it can be sold to recoup losses, a credit card on the other hand....if a Farang gets a credit card, runs the card up and does a bunk, how can the bannk recover that loss ??....

The work permit requirement is in reality a good measure , as at least it shows you are gamefully employed, have some form of "commitment" to staying here and if somebody does do a bunk, they believe they might have recourse through the company the person was working for...

Its all about risk or perceived risk thats all...

zero down and repos is a loss. even 10% down and repos is a loss. so beemer at 4 mill baht with zero down Tisco bank looses hmm lets see one mill baht if i leave and they find the car or 4 mill baht if they dont find the car. And BoT is not interested. at the same time my creditcard issuing bank looses 65k baht and BoT doesnt allow that promise, I m not leaving at least dont tell Tisco Bank if I am leaving