Depositing A Foreign Check Into Your Thai Bank Account

[Jingthing]

OK, I know some of you have done this, so bear with me. I know this is the kind of question a ten year old may ask, but I have never done this outside the US and wonder if the check should be written any differently here.

In the US, to write a check from a US account to deposit in a US account, I would

Pay to the order of -- My name

On the money lines, write in this format for example -- Four thousand dollars and no cents.

Then $4.000.00

Of course sign and date the check.

Endorse the check on the back with my signature.

Sometimes put For Deposit To -- the bank account number of the bank the money is going into

OK, some questions for any possible differences in writing a US check from your own US account for deposit to your own Thai bank account.

Saying dollars is OK? For an international situation, would you say US dollars instead, as in Four thousand U.S. dollars and no cents?

Numerical same format with the $ sign?

Endorse on back.

Write the words For deposit to and Thai account number, or not?

Add more information about the Thai bank in the endorsement area?

If so, what information exactly?

Instructions link. Again, any differences for Thai scenario. Any relevant experiences/mistakes you have made doing these kinds of deposits?

http://www.livestrong.com/article/52128-write-personal-check-yourself/

Thanks.

Edited June 22, 2010 by Jingthing

[flying]

Cashing Personal Check - Thailand Forum

not exact but some info

Edited June 22, 2010 by flying

[kenk3z]

I feel fairly sure that you must write the check from a USA bank in a USA Dollar denomination. Don't, for example, write it out in Baht. And use English characters in all places (like for the name of the payee) and not Thai language.

If the situation involves getting money out of an account in this way because you do not have an ATM card for the account, you may be able to set up an ACH transfer (to another USA account with an ATM card) if you have online access. With this setup you may have several accounts in the USA but only one that has an ATM card being used in Thailand, and this limits your exposure to ATM fraud to just the amount in that specific account.

Hope this helps your particular situation.

kenk3z

[oldgeezer]

Be sure and ask your bank how long they hold the check until funds are available. My bank takes up to 35 days.

[gotlost]

Wright your check as you normally would in the US for a deposit in a Thai bank account. My bank takes 21 to 30 days to clears. No Problem.

[carnac]

A quicker way would be just transfer the money using the ATM card for your account. Just have a seat, give them your card, tell them how much and sign the paper. It takes about 5 minutes and cost about $25 with Bank of America so probably similar amount with other US banks.

[BB1950]

Why bother??? Checks are extremely difficult to work with as financial instruments in Thailand. Foreign personal checks are even worse, unless you have a good relationship with your Thai banker. Especially doing what you are trying to due. You are looking at over a month for the check to clear, plus there's an extremely high service charge and lousy exchange rate. If you do it, do it in front of the teller usually in the Foreign Accounts section asking the Teller how/what that bank's policy is.

Many Thai Banks require you to have a Work Permit in order to deposit a Foreign check. Checks under $500 are not usually accepted.

You also have three better options to move funds from the US to Thailand bank.

1. Easiest way - All the Thai Banks allow for SWIFT deposits. Arrange with your bank in the US to make a SWIFT deposit to your Thai bank account. You can possibly set up your US bank to initiate the transfer on-line. You can get the SWIFT transfer information from you Thai bank. Transfer time, within a couple of days. Service fees vary, depending on the Bank in the US and the amount. SWIFT fees are going up. Ask your bank in the US the current rate.

2. There are a couple of Banks in Thailand that have sister banks in the US. Bangkok Bank for sure and I think either Krung Thai Bank or Siam Commercial Bank (can't remember for sure), and there was some mention on ThaiVisa that Kasikorn Bank might, have the capability for ACH (Automated Clearing House) transfers to their sister branches in the US which end up in your Thai bank account here. ACH transfers is the normal bank to bank transfer method in the US same as used on your checks or e-checks. Transfers can be initiated on-line. There transfer rates are free, or of very little in the US. The sister bank to the Thai bank in the US charges a small handling fee. Usually depending on the amount. Then the Thai bank in Thailand charges another small fee, again depending on the amount. The overall transfer fee is much less than the SWIFT method above. Transfers take a couple days longer. Bangkok Bank has the best documentation on it at their New York Branch website. For the others you would have to do a search for ACH Transfer here on ThaiVisa to find more information. Otherwise you would have to go the the Heardquarter Offices in Bankok and go the the Foriegn accounts section to find out. Local branches will just give you a stupid look.

3. Open a PayPal account if you don't have one. Link it to your US bank account account, and to your Thai Bank Account. This can be done with most Thai Bank accounts. Add funds to your PayPal account from your US Bank account (there is no charge). Withdraw funds from your PayPal to your Thai bank account. Withdrawals over 5000 baht have no charge although the exchange rate is not as good as the first two methods, but I think it's better than the exchange rate you would get for a check. Transfer time would be less than a week, but the setup would take some time and effort. There are posts here on ThaiVisa how to access PayPal Thailand if you access PayPal from an IP address outside of Thailand. I've found PayPal phone representatives in Singapore extremely helpful in setting up your accounts. For this to work properly your PayPal Name, the name on your US Bank Account, and the Thai Bank Account must be exactly the same.

Bottom line: Check first before you do. There might be some other possibilities to move money from the US to Thailand. Check with your bankers! Remember, it's easier to move money in, than to move money out.

If you really want to write a check for deposit, follow these suggestions.

Make the check out in US Dollars not Thai Baht. The Thai bank will determine the Thai Baht amount for deposit when the check clears. It also make the check easier to clear in the US. Legally the Thai Baht is not suppose to be exchanged outside of Thailand. If it's done, it's done at horrible exchange rates and you lose!

By the way, most Thais and banks in Thailand do not understand cents. It's 4,000.00 USD or XXXX.XX THB. The currency code can be in front of, or behind the numeral amount. Usually behind as above. But's it's safer to put it in front to avoid modification of the amount (putting in extra digits). in other words USD 4,OOO.OO. Just like the $ leads the amount in the US. Sometimes I have seen $4,000.00 USD, which is the best of both. Ask the banker to make sure.

Also to avoid ambiguity, just like in computer usage, 1's should have the base foot, 4's should be open at the top, 7's should have the stroke across the center and 0's should have slashes through them (top right to bottom left).

The dollar sign or just saying dollars, could mean dollars in a lot of different currencies such as Singapore Dollars, Canadian Dollars, Hong Kong Dollars, Australian Dollars, etc. Better to use the three character international exchange rate code. When you write the amount it should be printed not script Four Thousand USD, Four Thousand and No/100 USD, or Four Thousand and 00/100 USD. The latter being the more acceptable.

Also Thais use day/month/year rather then month/day/year, for the date format. To avoid ambiguity you should write the date as 23 Jun 2010, which is universally accepted. Again the month must be the three character abbreviation and printed. Not script. Just like in your passport!

Endorse the check in the presence of the banker and don't endorse it till the banker says that they will accept it. Usually your normal signature is sufficient. Do not put anything else! The banker will add any other information such as the passport number, phone number, bank account number, hotel name and room number or address, teller, and supervisor initials. They may make various other marks on the check. This varies from bank to bank. Usually on the front of the check. Also, the endorsement must be made in a specific place on the back, this is to allow for the clearance stamps. Remember there will be a lot more stamps than in the US. Have the banker put an x where he/she wants you to endorse it. Usually they will automatically put the x without your asking when they ask you to sign.

The Pay to the order of name must match the name on your Thai bank account exactly. No Initials and includes your middle name. Same as your passport. Unlike the US, Pay to the order of cash is never accepted.

Color of ink used in filling out the check must be blue or black, preferably navy blue, and permanent. Not a water-based marker that smudges when wet/moist. No red, green or any other color! The bank has the preferred colors in the pens on the counters. Use the pens on the counters!

Just like in the US, the banker will want you to initial any corrections/changes, when you make a mistake.

[fiddlehead]

Wow! What an in depth answer to a good question.

I can only hope that BB1950 will answer one of my questions some day.

One of the best posts i've seen on TV.

Thanks.

[Thanyaburi Mac]

Wow! What an in depth answer to a good question.

I can only hope that BB1950 will answer one of my questions some day.

One of the best posts i've seen on TV.

Thanks.

Yes, indeed, except for the final two items here: "You are looking at over a month for the check to clear, plus there's an extremely high service charge and lousy exchange rate."

-- SCB holds my month personal U.S. checks for 45 days, OK once you're on a roll, which I've been for lots of years;

-- The charge is baht 200 for SCB plus a baht 3 tax stamp of some sort, not very high;

-- The exchange rate would be 32.04 if I was at my local branch right now, the "T/chqs & Chqs" rate: http://www.scb.co.th/scb_api/index.jsp

Mac

[MYKTHEMIN]

I have also been doing just the same for months, put 1 in yesterday for £2k the charge was 327.80baht, takes between 30-45 days, so far no problems and saves all the 150baht ATM fees, just have to remember to top up again in time, interest just under 1% so better than UK at the moment, this again is with SCB, I am on a retirement visa extention and all they require is your passport to check ID.

[Jingthing]

Fantastic answers. Thanks so much. I know about other ways of moving money. I asked specifically about the check method as a potential backup to SWIFT transfers for my retirement extension qualification. I have had many problems with SWIFT transfers over the years and want as many backup options as possible.

Still pretty confused about a few points.

On the back of the check,

-- endorse with signature, or not?

I assume yes.

Write For Deposit To: Thai bank account number, or not?

Additional info I should write about my Thai bank account there?

Writing out USD?

Yes I agree that is more understood internationally that the $ symbol. However, no problem with the US banks though, as that would be non-standard for a normal US check?

Exchange rate -- is the exchange rate really any different than you would get from a SWIFT transfer?

Writing out the month?

So it is not OK to simply write out the name of the month, as in August, instead of Aug? Writing Aug would be non-standard for a US bank.

Edited June 23, 2010 by Jingthing

[MYKTHEMIN]

All I do is write the cheque out to myself in the normal way, hand the cheque and my passbook to the cashier, she then checks it, I then have to sign it on the back, she takes a copy of my passport, which I again sign, thats all there is to it.

[BB1950]

On the back of the check

-- endorse with signature, or not?

I assume yes

Write For

Deposit To: Thai bank account number, or not?

Additional info I should write about my Thai bank account there?

Again, The answer for the first question is definitely yes.

Signature only. In the US and Thailand the payee must sign the check to endorse it. It's a form of identification for the payee. However you may be confused because of the use of 'Endorsement Stamps' in the US. They are the same as a signature because they are issued by the bank.

Also the signature should be within 1 inch of the edge of the check, to allow room for all the extra processing stamps. You have probably seen the "Do not write below this line" printed on the back of some checks in the US. This is necessary to allow room for all the clearance stamps used in processing the check, to keep the audit trail readable.

This is also why I mentioned the use of ink colors. If you noticed on a canceled check the stamps are in different colors. This is also necessary to keeping the processing trail readable.

The answer to the second question is definitely no.

You are depositing the check in a Thai bank not a US bank. The Thai banks usually mark on the front of the check the destination account.

There was a time in the US when 3rd party checks were common. They have not ever been nor will they be accepted in a Thai bank. Also signatures alone are not usually readable to identify the account the check was being deposited to. That's why in the US you needed the 'deposit to statement'.

You also need to consider that when you deposit a check in a Thai bank it will be treated more like a 3rd party check The issuer, the payee, and the Thai Bank. To a US bank, the Thai bank is the 3rd party and is the destination account. Not the Thai bank account (your account). So the statement is not necessary and the extra room is needed for the processing stamps.

Writing out USD?Yes I agree that is more understood internationally that the $ symbol. However, no problem with the US banks though, as that would be non-standard for a normal US check?

No. Again consider that your check will be processed by the Foreign currency section of the Thai bank and your US bank along with several foreign clearing houses, which deals in a lot of different currencies. Not the normal method that checks are cleared in the US which deal in US dollars only. You need to eliminate the ambiguity.

Exchange rate -- is the exchange rate really any different than you would get from a SWIFT transfer?

Depends on the Thai bank. SWIFT transfers always get the best rate because of less risk and processing. That's why I said to ask your Thai bank that you are depositing the check to,

Writing out the month?

So it is not OK to simply write out the name of the month, as in August, instead of Aug? Writing Aug would be non-standard for a US bank.

It is not non-standard to use the short name for the month for a US Bank. US Banks accept numbers, short names, and long names. So August or Aug would be fine for a US bank. But some Thais may not understand what August is. Especially if your penmanship is poor. Remember English is not their native language. Again the point is to reduce ambiguity. You definitely do not want to use numbers for the month!

Let me give you a couple examples:

Let's say you wrote a check in the US format (month/day/year) and wrote 1/6/2010. You went to deposit it on Jan 10th, 2010. The Thai bank may refuse it, because it is a post dated check. Because the date in the Thai format (day/month/year) is June 1, 2010.

Let's say you got use to the Thai date format (day/month/year). You wrote 11/6/2010 for the date and deposited it in a Thai bank on June 15, 2010. The Thai bank accepted the check. Because they accepted 11/6/2010 the date as June 11, 2010. However, when it got to your bank in the US, they might refuse it as a post-dated check because they understood the date to be Nov 6, 2010. Because in the US, dates are month/day/year.

Understand???

[Jingthing]

Understood well. Excellent answers. Maybe this should be pinned as indeed there is a bit more to writing a check here than some may imagine.

[exeter]

:)I brought a cheque with me in January from the UK, it was drawn on a UK building society(BANK) it took 1 month to clear, I got a good rate and had to pay a fee of I think 350bts, this was at Bank of Ayudyah (krungsri?) . I thought it was they way it goes here, as I saw the GBP rate dropping I wondered what rate I would get, it was fair. Better to pay 350bts and not worry about a robbery?

[BB1950]

Understood well. Excellent answers. Maybe this should be pinned as indeed there is a bit more to writing a check here than some may imagine.

Not really.

It's rather like eating Thai food. It's just a matter of being accustomed to it. Those that aren't willing to try, have a bad experience and complain about it. Once you get use to it, it's not bad.

Maybe that could be said for just about everything in Thailand. Not too bad...

[Jingthing]

It certainly sounds do-able. Thanks again.