Are Older Men in Thailand Trading Love for Financial Ruin

[newbepat]

I am from Ireland. i read on Stickman that Australian Banks are offering very good interest rates at the moment such as 6%+ My question is, can i open an account from my home country Ireland or would i have to travel to Australia to avail of these interest rates, I know some banks such as Commomwelth Bank has a branch in London, I just want to know would it be worth my while as i know there is tax some implications.Also what are the best banks in Australia? interest rates in Ireland about 3% and 20% witholding tax

If anyone can help i would appreciate it, I have about €400,000 retirement fund to invest i am 62 years of age anyone any ideas, I know its not a lot of money for my retirment but with state pension when i come to 66years i hope i can retire to Thailand in the future

Thanks in advance

Newbepat

Edited August 23, 2010 by soundman
Changed font to normal for readability.

[antony77]

Very wise idea. A$ is one of the best performing currencies in the world.

But it fluctuates a lot. You can ask a branch of ANZ to open a deposit account,

There is a 10% witholding tax on interest. Should you want to get this interest rate sent to Thailand

insist they remit it in A$ not Thai Baht. Local exchange rates are 5% higher than offshore. You can live very well in Thailand on the interest you would receive.

[Kered]

With amount that you have to invest, you should be able to open a Premier account at any HSBC branch in any country and then it is a relatively simple process for them to open an account in Australia. They will not charge for sending the funds to Australia. Recently HSBC Australia was paying 6.5% on a 12 month deposit subject to 10% withholding tax. The interest can be remitted to any HSBC branch without charges and converted to local currency or retained in a currency account until the exchange rate is acceptable. The Bank will require information regarding the source of funds before accepting the deposit, this is now common practice required by all Banks.

[andytime]

Whilst no one has a crystal ball and Australia has great rates on term deposits one would have to be a brave man to bet on the aussie $ holding it's current value. If you get your timing right on buying them then it would be a good idea (and others all noted ways to buy them best). However, this year alone you have seen some pretty substantial dips of 10% (and recovery) on "bad" news. Aussies are as much underwater in debt as anywhere else (perhaps more) and a substantial portion of the bank loans have been made to support residential loans (the property market there now is a little less liquid than most would like to suggest). If you get your timing right and buy on a dip then safe (many meanings on that word today). if you think there are some cracks in China or the Global economy then likely one would not recommend buying at the current levels (but it all depends on which fiat currency you hold to evaluate this).

[samtam]

With amount that you have to invest, you should be able to open a Premier account at any HSBC branch in any country and then it is a relatively simple process for them to open an account in Australia. They will not charge for sending the funds to Australia. Recently HSBC Australia was paying 6.5% on a 12 month deposit subject to 10% withholding tax. The interest can be remitted to any HSBC branch without charges and converted to local currency or retained in a currency account until the exchange rate is acceptable. The Bank will require information regarding the source of funds before accepting the deposit, this is now common practice required by all Banks.

How recently? HSBC Australia's AUD 12 month deposits for AUD250k-AUD1m are 2.53%. The highest rate is 3.45% for 5 years paid annually.

Edited August 23, 2010 by samtam

[Kered]

With amount that you have to invest, you should be able to open a Premier account at any HSBC branch in any country and then it is a relatively simple process for them to open an account in Australia. They will not charge for sending the funds to Australia. Recently HSBC Australia was paying 6.5% on a 12 month deposit subject to 10% withholding tax. The interest can be remitted to any HSBC branch without charges and converted to local currency or retained in a currency account until the exchange rate is acceptable. The Bank will require information regarding the source of funds before accepting the deposit, this is now common practice required by all Banks.

How recently? HSBC Australia's AUD 12 month deposits for AUD250k-AUD1m are 2.53%. The highest rate is 3.45% for 5 years paid annually.

The quote was an individual quotation provided by HSBC Melbourne for AUD100K fixed deposit for 12 months.

Rates vary frequently and it is always better to ask as they give special rates, particularly to Premier customers, depending on conditions at the time.

[samtam]

I am a Premier customer - but the variation seems enormous between what you say your friend was quoted versus their rates shown today on their website. I know rates vary, but by 3.5% seems unlikely, especially in a rising AUD interest rate environment. My amount for investment is AUD250k.

Edited August 23, 2010 by samtam

[AnnyLing]

1. Australia does not offer anything.

2. Relatively high interest rates are offered for AU-Dollar deposits and AU-Dollar bonds.

3. Investing in AU-Dollar does neither require an Australian Bank Account nor an Australian Bank.

4. All big banks offer investment possibilities in AU-Dollar worldwide.

5. All offshore AU-Dollar investments are tax free.

6. Inspite of big fluctuations AU-Dollar has held up nicely against Thai Baht during the last years.

7. Australias debt is miniscule compared to the debt of other industrialised countries.

8. People who have no idea should not give advice.

[Kered]

1. Australia does not offer anything.

2. Relatively high interest rates are offered for AU-Dollar deposits and AU-Dollar bonds.

3. Investing in AU-Dollar does neither require an Australian Bank Account nor an Australian Bank.

4. All big banks offer investment possibilities in AU-Dollar worldwide.

5. All offshore AU-Dollar investments are tax free.

6. Inspite of big fluctuations AU-Dollar has held up nicely against Thai Baht during the last years.

7. Australias debt is miniscule compared to the debt of other industrialised countries.

8. People who have no idea should not give advice.

I am not sure what you mean by Australia does not offer anything, given your subsequent comments which

are generally correct. However, normally the interest rates given by offshore banks are less than those quoted in Australia even after allowing for tax. I am not aware of any offshore Bank offering better rates than those available locally. For example rates quoted by HSBC offshore are considerably less than those quoted if you have an account within Australia. You could look at the rates quoted on the National Australia Bank website and compare these with your offshore contacts. It is a competitive environment and international Banks operating locally will normally compete effectively with the local competition.

[samtam]

I am not aware of any offshore Bank offering better rates than those available locally. For example rates quoted by HSBC offshore are considerably less than those quoted if you have an account within Australia.

We must be looking at different websites for HSBC: The rates I see (and get) for my Offshore account with Jersey are:

1 month - 3.7188%

12 months - 3.875%

HSBC Bank Australia's rates are:

1 month 1.68%

12 months - 2.53% (monthly) - 2.78% (annual)

There is one product called "serious saver" which offers 5%, but no withdrawals can take place within the month, or interest is waived. Is this the rate you are referring to? I would be thrilled to know there was a fixed deposit paying 6-6.5% at HSBC Bank Australia, but I can't see it, sadly.

Edited August 23, 2010 by samtam

[Kered]

I am not aware of any offshore Bank offering better rates than those available locally. For example rates quoted by HSBC offshore are considerably less than those quoted if you have an account within Australia.

We must be looking at different websites for HSBC: The rates I see (and get) for my Offshore account with Jersey are:

1 month - 3.7188%

12 months - 3.875%

HSBC Bank Australia's rates are:

1 month 1.68%

12 months - 2.53% (monthly) - 2.78% (annual)

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

There is one product called "serious saver" which offers 5%, but no withdrawals can take place within the month, or interest is waived. Is this the rate you are referring to? I would be thrilled to know there was a fixed deposit paying 6-6.5% at HSBC Bank Australia, but I can't see it, sadly.

[Kered]

I am not aware of any offshore Bank offering better rates than those available locally. For example rates quoted by HSBC offshore are considerably less than those quoted if you have an account within Australia.

We must be looking at different websites for HSBC: The rates I see (and get) for my Offshore account with Jersey are:

1 month - 3.7188%

12 months - 3.875%

HSBC Bank Australia's rates are:

1 month 1.68%

12 months - 2.53% (monthly) - 2.78% (annual)

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

There is one product called "serious saver" which offers 5%, but no withdrawals can take place within the month, or interest is waived. Is this the rate you are referring to? I would be thrilled to know there was a fixed deposit paying 6-6.5% at HSBC Bank Australia, but I can't see it, sadly.

Apologies my reply was buried in your message. Copy as follows:

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

[siamamerican]

1. Australia does not offer anything.

2. Relatively high interest rates are offered for AU-Dollar deposits and AU-Dollar bonds.

3. Investing in AU-Dollar does neither require an Australian Bank Account nor an Australian Bank.

4. All big banks offer investment possibilities in AU-Dollar worldwide.

5. All offshore AU-Dollar investments are tax free.

6. Inspite of big fluctuations AU-Dollar has held up nicely against Thai Baht during the last years.

7. Australias debt is miniscule compared to the debt of other industrialised countries.

8. People who have no idea should not give advice.

Huh????

7. Australias debt is miniscule compared to the debt of other industrialised countries.

Australia's population is tiny compared to most economic powers but its per capita private and government debt is almost identical to the US (94% of GDP). Sure the USA and Australia are in better debt standing compared to EU countries but their debt isn't minuscule. Australia current situation is very similar, if not worse, to the USA in 2007. Very high private death and a "HUGE" real estate bubble that will pop.

8. People who have no idea should not give advice.

Agreed

[samtam]

I am not aware of any offshore Bank offering better rates than those available locally. For example rates quoted by HSBC offshore are considerably less than those quoted if you have an account within Australia.

We must be looking at different websites for HSBC: The rates I see (and get) for my Offshore account with Jersey are:

1 month - 3.7188%

12 months - 3.875%

HSBC Bank Australia's rates are:

1 month 1.68%

12 months - 2.53% (monthly) - 2.78% (annual)

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

There is one product called "serious saver" which offers 5%, but no withdrawals can take place within the month, or interest is waived. Is this the rate you are referring to? I would be thrilled to know there was a fixed deposit paying 6-6.5% at HSBC Bank Australia, but I can't see it, sadly.

Apologies my reply was buried in your message. Copy as follows:

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

I have a relationship manager for each of my accounts with HSBC in Hong Kong, Jersey, Edinburgh and Bangkok. When I placed my Offshore Jersey AUD deposit, I talked to my Offshore Jersey RM. The rates quoted are the same as the published rates, which are updated frequently in line with JER's AUD funding requirement. What am I missing?

[Kered]

There is one product called "serious saver" which offers 5%, but no withdrawals can take place within the month, or interest is waived. Is this the rate you are referring to? I would be thrilled to know there was a fixed deposit paying 6-6.5% at HSBC Bank Australia, but I can't see it, sadly.

Do not mess around with the published rates, if you are a Premier customer in Jersey and serious about making an AUD deposit either get your relationship Manager who is probably in Hong Kong if you live in Thailand to contact Australia or send an email to Australia asking for someone to call you back with a quote. My personal experience is that they can be very negotiable depending on the circumstances.

I have a relationship manager for each of my accounts with HSBC in Hong Kong, Jersey, Edinburgh and Bangkok. When I placed my Offshore Jersey AUD deposit, I talked to my Offshore Jersey RM. The rates quoted are the same as the published rates, which are updated frequently in line with JER's AUD funding requirement. What am I missing?

I received a quotation after a personal visit to Melbourne branch when I was considering moving Stg. which is earning 1% in jersey to Australia. I currently have a deposit with National Australia earning 5.75%. HSBC were prepared to better this rate however I decided not to increase my exposure to the AUD at the present time.

If you wish to obtain higher interest rates with some risk (or benefit) of converting to AUD at a better rate, talk to HSBC about dual currency deposits. You can obtain considerably better interest rates but be careful and get a full understanding of the conditions as you take a risk on the movement of rates.

[samtam]

I have been in touch with my Premier relationship manager in HK about the possibility of opening a AUD deposit account at HSBC Jersey, and they have quoted me the rates on the website, as detailed previously.

[samtam]

I have been in touch with my Premier relationship manager in HK about the possibility of opening a AUD deposit account at HSBC JerseyAustralia, and they have quoted me the rates on the website, as detailed previously.

[AnnyLing]

Australia's population is tiny compared to most economic powers but its per capita private and government debt

*****

Somebody who associates private and per capita debt with the value of a currency should take some basic lessons in macroeconomics.

[siamamerican]

Australia's population is tiny compared to most economic powers but its per capita private and government debt

*****

Somebody who associates private and per capita debt with the value of a currency should take some basic lessons in macroeconomics.

Hmm, being an economic genius, explain how the America's private debt to other nations is inconsequential in regards to its currency. Australia's private debt fueled by its mammoth property bubble will pop eventually and hurt the value of its currency. You can ignore history like Americans did up until 2007 or come to grips with the reality of the situation. Property values in Australia are more overvalued than the USA in 2007 and Japan in the 80's.

By the way, what was probably the major cause of the Asian crisis. Let me lead you down the road to the answer. High private debt levels increased asset values and once the values increases became unsustainable, investors withdrew their investments from Thailand which was followed by a precipitous drop of its currency. Thailand could no longer defend its currency and the rest is history.

Silly me to think that private debt can impact currency valuations.

Edited August 24, 2010 by siamamerican

[AnnyLing]

Silly me to think that private debt can impact currency valuations.

*****

Who am I to contradict you ? :jap:

[neverdie]

Australia's private debt fueled by its mammoth property bubble will pop eventually and hurt the value of its currency. You can ignore history like Americans did up until 2007 or come to grips with the reality of the situation. Property values in Australia are more overvalued than the USA in 2007 and Japan in the 80's.

Its easy to look at graphs & fumble through various figures and make all sorts of assumptions.

There is one very big difference between what happened in the USA starting around 2007 and the present situation with property in Australia NOW and that has something to do with SUPPLY & DEMAND. I am sure you are familiar with that term. Australia is and has been and perhaps will continue to suffer from a housing supply shortage, of course this applies to some areas much more so than others.

Theres plenty of people in the backblocks waiting for the bubble to burst, BUT, whether it does, when it does and how big the bang is when that happens MAY be completely different to what was experienced in the USA. Many, many variables.

please excuse me for being silly

[neverdie]

ALSO, I fail to understand why anyone would restrict themselves to a foriegn bank to Australia when looking at depositing funds within Australia.

The four big banks in Australia (all of which are rated in the top dozen or so banks in the world) ALL have better rates than what some of you have quoted here earlier in the thread.

Then theres quite a few smaller regional banks in Australia that rate rather well financially that beat the rates by these 4 banks (All Australian).

[siamamerican]

Australia's private debt fueled by its mammoth property bubble will pop eventually and hurt the value of its currency. You can ignore history like Americans did up until 2007 or come to grips with the reality of the situation. Property values in Australia are more overvalued than the USA in 2007 and Japan in the 80's.

Its easy to look at graphs & fumble through various figures and make all sorts of assumptions.

There is one very big difference between what happened in the USA starting around 2007 and the present situation with property in Australia NOW and that has something to do with SUPPLY & DEMAND. I am sure you are familiar with that term. Australia is and has been and perhaps will continue to suffer from a housing supply shortage, of course this applies to some areas much more so than others.

Theres plenty of people in the backblocks waiting for the bubble to burst, BUT, whether it does, when it does and how big the bang is when that happens MAY be completely different to what was experienced in the USA. Many, many variables.

please excuse me for being silly

You're excused. I remember everyone in California and Florida arguing demand would propel the market for years to come. At the time I thought the attitude was crazy and sold all my real estate investments in 2004. People were borrowing money to buy houses and using the equity gained in the short term to purchase more assets. Whether it happens in Australia - who knows for sure. I do know you would be challenged to identify a property bubble like Australia is experiencing that hasn't ended very badly. It is a great ride until it comes to an end. The cycle has repeated itself in every asset class over many generations but we never learn.

Edited August 24, 2010 by siamamerican

[neverdie]

^ all i am trying to say is there are many factors that will effect what happens there. Anyway, you are preaching to the converted, I have positioned myself well, i hope & personally would love to see an implosion of property prices back home, at which time I will swoop in appropriately. I just feel its not wise to hold my breath

[Kered]

Australia's private debt fueled by its mammoth property bubble will pop eventually and hurt the value of its currency. You can ignore history like Americans did up until 2007 or come to grips with the reality of the situation. Property values in Australia are more overvalued than the USA in 2007 and Japan in the 80's.

Its easy to look at graphs & fumble through various figures and make all sorts of assumptions.

There is one very big difference between what happened in the USA starting around 2007 and the present situation with property in Australia NOW and that has something to do with SUPPLY & DEMAND. I am sure you are familiar with that term. Australia is and has been and perhaps will continue to suffer from a housing supply shortage, of course this applies to some areas much more so than others.

Theres plenty of people in the backblocks waiting for the bubble to burst, BUT, whether it does, when it does and how big the bang is when that happens MAY be completely different to what was experienced in the USA. Many, many variables.

please excuse me for being silly

Australians will remember when the last property bubble burst in the late 80's when many lessons were learned. Hopefully the Bank's are remembering not to lend against the value of the property but lend according to the ability of the borrower to repay the loan bearing in mind that interest rates may rise and real income may decline. The Americans certainly did not understand.

[petercallen]

The National Australia Bank either owns or has a large shareholding in a major

Irish bank, I think its the one which was robbed of all the newly printed banknotes.

It might be worth checking with that bank if you are in Ireland.

Term deposits interest paid annually or at maturity with NAB at present.

90 days 5.40%

7 months 6.00%

36 months 6.50%

60 months 6.65%

All funds deposited in Australian bank savings accounts are guaranteed secure by the Australian Government.

[newbepat]

Ok guys since i was the one to start this topic, and i don't want you all to get rude to each other, over me that is, can i come in here, maybe i did not put my question correct,

I used Australia as an example, yes i did look on Australis banks websites, and i did check their Interest rates and i did see some 6% plus , But i was not sure if an Irish citizen could open a bank accout to avail of these rates in Australia without traveling to that country as i think you have to show proof of identity.( i have no problem with that but really not want to travel to Australia just to open a bank account

I suppose my real question is : what to do with €400,000 so that i can live comfortable into the future. just looking for some good advise.

I am not very good with money matters as i have been looking at my money in different banks in savings accounts for the past 3 years making not much interest and paying too much tax on the interest, i know there are a lot of folks on this site who have better knowlage of money matters than me.

My thanks to all who have giving me advise so far i do appreaciate your comments

NewbePat

[neverdie]

All funds deposited in Australian bank savings accounts are guaranteed secure by the Australian Government.

Only up until some time in October, 2011, unless of course the Gillard/Swan/otherbackstabber government (or whatever its called in the coming weeks) extends that.

[neverdie]

Ok guys since i was the one to start this topic, and i don't want you all to get rude to each other, over me that is, can i come in here, maybe i did not put my question correct,

I used Australia as an example, yes i did look on Australis banks websites, and i did check their Interest rates and i did see some 6% plus , But i was not sure if an Irish citizen could open a bank accout to avail of these rates in Australia without traveling to that country as i think you have to show proof of identity.( i have no problem with that but really not want to travel to Australia just to open a bank account

I suppose my real question is : what to do with €400,000 so that i can live comfortable into the future. just looking for some good advise.

I am not very good with money matters as i have been looking at my money in different banks in savings accounts for the past 3 years making not much interest and paying too much tax on the interest, i know there are a lot of folks on this site who have better knowlage of money matters than me.

My thanks to all who have giving me advise so far i do appreaciate your comments

NewbePat

You can always TT to my account & I will take good care of it for you , reakon I could double it in a few hours at the Casino.

I am not so sure what each an individual bank wants for opening an account but its usually referred to 100 points of ID & it may not be possible to open an account at all the institutions without visiting one of their branches. Some of the Australian banks have branches outside Australia.

The big aussie 4 are: Commonwealth Bank, National Australia Bank, Westpac & ANZ Bank. Maybe you should check their individual websites and see what each of them say about opening accounts.

[newbepat]

The National Australia Bank either owns or has a large shareholding in a major

Irish bank, I think its the one which was robbed of all the newly printed banknotes.

It might be worth checking with that bank if you are in Ireland.

Term deposits interest paid annually or at maturity with NAB at present.

90 days 5.40%

7 months 6.00%

36 months 6.50%

60 months 6.65%

All funds deposited in Australian bank savings accounts are guaranteed secure by the Australian Government.

National Australia Bank has offloaded its two Irish banks for $2.5 billion,