Foreign Currency Bank Accounts

[SteveC]

Hi,

I am an expat working in the LOS. I get paid in Thai Baht but want to save in US dollars. Can I open an account in USD with a Thai bank even if the dollars are bought in Thailand ? (Someone said that foreign currency must be brought into Thailand from outside).

Also what are the restrictions for taking foreign currency out of Thailand (if any)?

Thanks!

[susah_sih]

You can open US$ account. Just show your work permit. Dont tell the bank what you are going to do. Tell them that you will send money from abroad to fund the account. May be for the first opening tell them you are funding it with Baht.

When you buy the US$, I assume after opening the US$ account. You will report for each transaction, what you are going to do with the money. Tell them to send money for your daughter or son studying abroad etc and you are depositing in your US$ account for the time being. Again and again. Going to different branch and dealing with different people may be good idea.

They will make copies of your passport just for their filing only (incase central bank come to audit their files). You know this is almost like baby sitting operation, the way banks operate in Thailand under the Central Bank regulation. Unless you are buying US$ millions, chances are you will not even be spotted. But regulations are there.

Edited September 8, 2005 by susah_sih

[Butterfly]

HSBC Offshore let you manage multiple currency accounts through the Internet without having the Thai mingle in your business. You can wire Thai baht and then do the currency transfer there directly. Fees are a little bit steep but you will also get a VISA ATM card in US Dollars. A great system. Expensive but great.

[SteveC]

I was approached by Citibank when in Hong Kong airport for a similar deal but without the high fees. Wish I had taken them up and opened an offshore account. Can I open an offshore account in multiple currencies with a foreign bank here in Thailand ?

[Azul_Blanco]

You might take a look at everbank.com

Forbs ebank of the year 4 years running and FDIC insured for 100K. Many options with good rates. I've found them easy to use though I was a bit nervous about using an internet based bank at first.

They also have good options for CD accounts in a number of currencies. These are also FDIC insured.

[thohts]

Standard Chartered in Bangkok will let you opn a US dollar account with a passport and at least a 3 month tourist visa. Minimum deposit is $5,000 US. However, no ATM card with this account.

UOB also has an office in Bangkok, as well as HSBC.

[dannishgung]

Don't go thru all the trouble and uncertainty to open foreign currency account here. This country is still very backward in term of international banking. I and all my friends do it in Hong Kong. I have a USD account with Wing Hang Bank in HK. All the banks there can open all kinds of foreign currency account but recently the USD account give the best interst rate. I have a year saving and get 3.5 percent on my USD account interest. And in HK, no regulation whatsoever for money in and out in any kind of currency. You can feel the real freedom of free economy.

My mom also wired all her money from Danmark and now save it in HK for good interest and tax free.

[Butterfly]

Don't go thru all the trouble and uncertainty to open foreign currency account here. This country is still very backward in term of international banking. I and all my friends do it in Hong Kong. I have a USD account with Wing Hang Bank in HK. All the banks there can open all kinds of foreign currency account but recently the USD account give the best interst rate. I have a year saving and get 3.5 percent on my USD account interest. And in HK, no regulation whatsoever for money in and out in any kind of currency. You can feel the real freedom of free economy.

My mom also wired all her money from Danmark and now save it in HK for good interest and tax free.

<{POST_SNAPBACK}>

Agree. Thailand is the worst place to open a foreigner currency account. Their banking in THB is prettry bad already, how do you expect it will be with the complexity of foreigner currencies ?

HK and Singapore are also good places. How difficult to open an account in HK ? residential address in HK ? can you open an account by mail ? or do you have to show up there ? details please, thanks.

Edited September 10, 2005 by Butterfly

[dannishgung]

To open an account in HK just go with a passport. The bank interest rates are different for many types of accounts. You should check a few banks and decide which one is the best for you.

I think all the banks there do not require HK address. There are so many foreigners with accounts in HK. So you need to make at least one trip to HK to open an account. If is a regular account, then you can get ATM card. If is a more long term fixed account, then when it matures say 1 year then you can continue another year or take the whole amount out according to your liking.

My case is I have a regular saving account and a fixed 1 year account, I request my interest every year to enter my regular saving and the original deposit amount to reinvest in another 1 year deposit.

To open all kinds of account in HK is easy as eating dim sum and takes only minutes for the papers. Singapore will be another good place for foreign currency account and the financial freedom there is almost like in HK. Interest rates are similar.

[susah_sih]

Wow, Wing Hang even pays 3.25% for Thai Baht deposit of 1 week, 1 month and this is tax free (in Thailand, you will get gross amount which is taxable 15%). Looks like I am going to move my Baht there thanks for telling us this.

http://www.whbhk.com/eng/onlinerate/index_fcydeposit.html

Fitch also rates Wing Hang as A- several notches higher than BBB for Bangkok Bank, the strongest bank in Thailand. That means Wing Hang is stronger financially several notches than Bangkok Bank.

http://www.fitchratings.com/corporate/rati...ssr_id=80360176

WING HANG BANK LIMITED: A-

http://www.fitchratings.com/corporate/rati...ssr_id=80360120

BANGKOK BANK: BBB

Wing Hang financials are also disclosed

http://www.whbhk.com/eng/cprofile/index.html

It looks like the bank is very liquid and very good for depositors (safety) (but not necessarily good for equity investor/owner)

http://www.whbhk.com/eng/cprofile/ir2005.pdf

Cash and Short Term Funds & Placements with other Banks= (24,285,000 + 849,903) = 24.39% of Total Assets. This is the most liquid bank I have ever known. And only 52,981,818 are advanced for loan (not liquid asset) against total deposit of 80,513,319 + 3,929,906 ==> Loan/Deposit ratio of only 62.7%

Wing Hang can stand very well in the event of a bank rush.

Compared Wing Hang to Bangkok Bank

http://www.bot.or.th/bothomepage/databank/...254807/002e.htm

Cash is only 9.52% of total assets. Loan/Deposit ratio of 72%

Bangkok Bank is much less liquid than Wing Hang

Edited September 11, 2005 by susah_sih

[thohts]

I think unless you are a Singapore resident or have verifiable income from Singapore, it will be very difficult. Many banks there want you to have a letter from an account holder with the bank, as well as a bank reference letter from your current bank, in order to open a non-resident account. I've called about 3-4 banks within the past few banks and it seems to be the case.

I have my own savings and tried to open an account in Singapore. No dice!

HK may be easier, from what I hear.

[cclub75]

Hum I sent a mail to WIng Hang Bank in HK : they said : "We would like to advise that you may visit any of our branches to open an account along with your passport and one address proof in person. "

So I've asked for further information ("one address proof" is not very clear...??).

Regarding Singapore, which bank did u call ?

I think unless you are a Singapore resident or have verifiable income from Singapore, it will be very difficult. Many banks there want you to have a letter from an account holder with the bank, as well as a bank reference letter from your current bank, in order to open a non-resident account. I've called about 3-4 banks within the past few banks and it seems to be the case.

I have my own savings and tried to open an account in Singapore. No dice!

HK may be easier, from what I hear.

<{POST_SNAPBACK}>

[thohts]

Hum I sent a mail to WIng Hang Bank in HK : they said : "We would like to advise that you may visit any of our branches to open an account along with your passport and one address proof in person.  "

So I've asked for further information ("one address proof" is not very clear...??).

Regarding Singapore, which bank did u call ?

<{POST_SNAPBACK}>

In Singapore, I called UOB, HSBC, and Standard Chartered. They all said the same thing. It's really up to the branch manager, as I understand it. I could've gone into another HSBC branch in Singapore and gotten the account, possibly, but probably not.

But I think I will try HK, instead. If Singapore doesn't want my money I shouldn't give it to them.

[grahamb]

Hum I sent a mail to WIng Hang Bank in HK : they said : "We would like to advise that you may visit any of our branches to open an account along with your passport and one address proof in person.  "

So I've asked for further information ("one address proof" is not very clear...??).

<{POST_SNAPBACK}>

Thanks for doing that checking; please let us know what they say. I assume that 1 address proof is a utility (electricity, gas, etc.) bill in your name or maybe a credit card bill in your name. When opening accounts with UK banks, that is what they require. If it is that type of thing, double check with Wing Hang what is acceptable - some UK banks will accept a phone bill but not a mobile phone bill...

They will probably also require that all the details on the bill are in English or you have a certified translation. For the UK banks, a certified translation was one done by an 'official' translator that was then validated. We were in Finland at the time and they wanted us to get it checked and validated by a local magistrate or the police station.

[thohts]

Called a couple of banks in HK, HSBC and Standard Chartered. Will be going there next week.

Passport and proof of address required. (Bank or credit card statement with address, no more than two months old; or Government-issued ID such as driver's license with your address; or utility bill. HSBC also said that a bank refernece letter with your address on it is ok)

Sounds like HSBC powervantage account is the best choice, as one doesn't get an ATM card with Standard's foreign currency account. And the international banking account requires a minimum deposit of HK$800,000.

HSBC powervantage is HK10,000 to open. The passbook savings is HK$500 but the account is maintained in HK dollars.

They both said an account can be opened the same-day, including the issuance of an ATM card (except for HK passbook savings, whereby 1 week or so is required for the ATM card).

[dannishgung]

You do not need HK local adress. A driver's license or some bill or document with address will be acceptable. When I opened my accounts many years ago I just wrote my home address without showing any bill or driver's license. Most banks In HK are very flexible and they are there to do business not to make hassel for customers.

[thohts]

Yep. Seems to be that way. I told the HSBC rep. that I do not live or work in HK and she said that was fine and all I would need is a passport and proof of address.

I'm guessing that they may ask for proof of address if you ask them, "what do I need to bring", but when I'm actually there to open the account they may just want to see my passport.

Regardless, I'm taking a trip there just to open the account so I might as well bring the address proof.

[Upcountry]

You might take a look at everbank.com

Forbs ebank of the year 4 years running and FDIC insured for 100K. Many options with good rates. I've found them easy to use though I was a bit nervous about using an internet based bank at first.

They also have good options for CD accounts in a number of currencies. These are also FDIC insured.

<{POST_SNAPBACK}>

I called them a few hours ago. They told me that they have a new feature allowing out-of-bank transfers, like BOA. The maximum allowed is only $5,000 at this time, it appears. The rep was honest about not being sure, as it was such a new thing.

I'm thinking about moving some money to this bank. I appreciate your comments about it above. Any new experiences to share?

What about the foreign currency options they offer?

UC