Best Bank For Regular Wire Transfers Us>Thailand

[Manassas]

New to this forum. Working in US for a bit more before retiring with my (Thai) wife to Thailand. We have bank accounts in Thailand. I have made deposits via cash (USD) which works well and by wire transfer where I do not get a favorable exchange rate. Not to mention the service charge by my US bank.

Once retired, I will set up regular (monthly or quarterly) transfers from the US to Thailand. I looking for suggestions from those with experience on the best banks to capture a good exchange rate when transferring funds from US to Thailand.

Any help will be appreciated.

[elshaheen]

Well, if you live in the U.S. You can go to Bangkok Bank in the U.S. and setup an account there and have your pension, Social Security benifits deposited in there. Then when you arrive, set up one at Bangkok Bank, the Silom branch and there you go.

[bunnydrops]

Yes, if you have a Bangkok bank account you can do a bank to bank transfer to the NY branch of Bamgkok bank-- they will send it to you account in Thailand, My Bank (Wells Fargo) charges me $3. The exchange rate is the Bangkok bank rate for the day it is sent. There is a small (I think $5) on the Thailand end. You don't need to setup a special account--you can use the one you already have

http://www.bangkokba...from%20USA.aspx

Edited January 23, 2012 by bunnydrops

[TwentyBaht]

Jaiyen2012,

Welcome to the forum, and welcome to Thailand.

I second what bunnydrops has stated and linked. ACH transfer from your US bank to the New York Branch of the Bangkok Bank works well. There is a small $ charge on the US side and a small baht charge on the Thai side. Usually, takes two days to get into your account here.

As information, some US banks do free domestic ACH transfers. USAA is one.

We are also fortunate that two forum members, daveroc and ianguygil, work with Bangkok Bank. And, have assisted many forum members with their banking matters.

Cheers

[KCM]

I use Charles Schwab Bank. They charge $25 for a wire transfer and the exchange rate seems to be very good. Also, you can use their ATM card here and the Thai bank's ATM fee is reimbursed so there are no ATM fees at all when using this card and the exchange rate is better than what you will get with other banks.

[Sateev]

+1 on Charles Schwab, IF you don't need to keep money in a Thai bank.

As mentioned, Bangkok Bank has the best deal going if you need to transfer moderately substantial amounts from a US bank to Thailand. Best strategy, if you don't already have a Bangkok Bank account in Thailand is to open one as soon as you arrive, and then use the procedure on their website to set up transfers from your US bank, and use your US ATM until it's all done (only 3-5 days). Then, set up a regular transfer from your US bank to the Bangkok Bank NY branch (as outlined on the Bangkok Bank website), and your money will be in Thailand within about three days. They will even send you a TXT on your phone to let you know it has arrived. The fees are smaller than a SWIFT transfer, and it has been, for me, dead, stone reliable.

Good luck.

[Pib]

How cheaply you can do a transfer is going to depend on your Sending bank in the home country and the receiving bank in Thailand. If your U.S. bank does not offer free/low cost ACH transfers and provide a no foreign transaction fee debit card then you should look into opening a bank account with a bank who does such as Schwab Bank, State Farm Bank, Capital One, etc. I assure you that you will soon get tired of paying high transfer fees monthly/every few months...so you also get you banking act together on your U.S. end

In order to receive an ACH transfer you need a Thai bank that has the capability to receive an ACH transfer. As far as I know, only Bangkok Bank has that capability by using the routing number of its New York branch along with your in-Thailand Bangkok Bank account number. Refer to the Bangkok Bank link regarding transfer of funds using ACH. As the funds flow through the NY branch on the way to your in-Thailand account a small fee of usually $5 or $10 is sliced off...see the link for fee details. Some may not consider a $5 or $10 fee small, but it's sure small compared to the cost of SWIFT/wire transfers.

When the funds arrived your in-Thailand Bangkok Bank branch a funds receipt/currency conversion fee of 0.25% (200 baht min, 500 baht max) is applied.

So, say you were transferring $2000 monthly from your U.S. bank that provided free ACH transfers...no charge there...then a $5 fee as it flows through the Bangkok Bank NY branch...then a 200 baht ($6.67 at 30 baht/USD) as it posts to your in-Thailand Bangkok Bank account. All of that adds up to around $11.67 in fees. If doing an amount over $2,000 Bangkok Bank NY would slice off $10. Say you transfer $4000 monthly...remember you are now with a Sending Bank that does not charge an ACH fee, the $10 NY branch fee, and an in-Thailand fee of approx 300 baht ($10) for a total of $20 in total transfer fees. Not bad for an approx 3 business day transfer and $11.67 or $20 is a lot cheaper than wire/SWIFT fees.

Remember I mentioned a no foreign transaction fee debit card...these come in real handy and can completely do away with transfer fees along with any ATM fee reimbursement and you have the funds in-hand just as soon as the ATM spits out the baht. Use an AEON ATM (Japanese company with outlets in Thailand) and there are no 150 baht foreign card fee applied like applied by Thai bank ATMs...saves your home country bank from having to reimburse the ATM fee assuming you got a no foreign transaction fee debit card that also reimburses ATM fees such as the Schwab, State Farm, etc.. Assuming you have two such debit cards (like me) which allow up to $1000 withdrawal per day (approx 30,000 baht) then you could withdraw 60,000 baht daily and then just deposit it in your Bangkok Bank account...don't have to use a teller...just use a cash deposit machine. In 2 days you have 120,000 baht in-hand with no fees, in 3 days your have.....you get the idea. No foreign transaction fee debit cards can probably handle all you day-to-day living money requirements and you would only need to do an ACH/SWIFT/wire transfer when you need to send over BIG money FAST like maybe in buying a home, buying a car, needing some bail money, etc.

So, I recommend Bangkok Bank on this end...and I also recommend you switch to a bank(s) which provide free/low cost ACH transfer and no foreign transaction fee debit cards. You got to have good banks on "both" ends to make the process work and it's much, much easier to open a home country bank account while you still have a residence there versus after you move to Thailand. Good luck on the move.

[Manassas]

Thanks to all of you who were so gracious to welcome me and offer the valuable tips!

At present we're in DC with Bank of America (yeah i know) and at our place in Chiang Rai we have an SCB account where I park some money for easy access to Baht when we stay there. Wire transfers from BoA to SCB are pretty easy online. I'm even willing to swallow the $35 wire fee a couple times a year. But the BoA conversion rate is consistently 1.5+ Baht lower than the daily exchange rate. If I'm going to do monthly transfers from my USD pension account to Thailand I need a competitive rate. I was looking for a Thai bank with a branch on the US east coast. I'll check out Bangkok Bank and start to set things up.

Glad I found this forum. I'll have a lot of questions as we get ready to move. (... although the closer it gets to retirement the harder it is to slug into the office everyday!)

Cheers & Thanks Again

[Jingthing]

You don't open a U.S. based Bangkok Bank account in the US. Bangkok Bank is in New York and it is a commercial bank. They aren't interested in your account. You open a Bangkok Bank account in THAILAND, and then you do ACH domestic transfers to your Bangkok Bank THAI account which your US bank sees as an ACH transfer to Bangkok Bank New York. You need to set this up on your US bank online website and it takes some days including verifying test deposits in exact U.S. cents (info you get from Bangkok Bank Thailand by calling customer service). In my case I am limited to only 2,000 USD per transfer at a cost of I think 3 dollars each time, but I can do repeated ones after each one goes through (which takes some days).

Also note, using this ACH scheme with Bangkok Bank, you can NEVER transfer the money back to your US account using ACH transfer. It is one way only -- TO Thailand.

Edited January 27, 2012 by Jingthing

[Manassas]

Thanks for the clarification. I think that will suit my needs perfectly. I'll look into it right away.

Cheers

[Jingthing]

Of course you need to be in Thailand to open a Bangkok Bank Thailand account. The ACH transfers for this scheme need to be between accounts of the same person/same name.

For SWIFT methods, if you're happy with B of A, that's great. However, I suggest opening some other US bank accounts while you are there in case your relationship with B of A goes south. Often expats get into issues with their US banks for various reasons, and of course once settled in Thailand, opening a US account is a non starter.

Some options:

Etrade brokerage/Etrade bank -- offers 25 dollar SWIFT transfers by fax

Citibank -- SWIFT transfers online (they are security mad though!)

Wells Fargo -- do a starter SWIFT from the US and they will send a repetitive wire code for later ones. Expensive.

Edited January 27, 2012 by Jingthing

[JimGant]

"But the BoA conversion rate is consistently 1.5+ Baht lower than the daily exchange rate."

Sounds like you're converting to baht before crossing the pond. Usually on the SWIFT form there's a box to check to indicate you want to "send dollars" and do the conversion in Thailand. ACH transfers to Bangkok Bank Thailand, thru their NY branch, are automatically sent in dollars.

Were you to do a SWIFT, or an ACH, or even a direct deposit -- you would get the Bangkok Bank buying TT rate, which today is 31.12. Which is 25 satang better than you'd do converting $100 bills within Bangkok Bank itself. (Well, ok, you'd pay between 200 and 500 baht back end fee, plus front end fee of $5 or $10 for an ACH or direct deposit.)

Suggest you get an on-line US bank account. USAA Federal Savings Bank is now open to all. And they have excellent service, free ACH transfers, and are accommodating of expat members.And, of course, you'll need to open a Bangkok Bank account in Thailand. SCB doesn't do ACH transfers. Plus, read all the articles here on why direct deposits, particularly of Gov't pensions and Social Security, are inferior to doing your own ACH transfer, which cost exactly the same, but can be tailor tuned in timing and amounts. And, if Gov't direct deposits, you must show up in person to receive -- no such problem doing your own ACH initiated "direct deposit."

[Jingthing]

Yes, always send dollars, never send baht!

[JimGant]

Oh, one further thought....

USAA does have a ceiling ($5000?)on ACH amounts, but this can easily be raised. I normally send chunks of $10,000 (to better amortize the $10/500 baht fixed costs), but have sent $20,000 several times (I upped my ceiling with USAA to $30k, with no problem).

USAA charges $35 for SWIFT wires, which I've done when I needed the money in one business day (all my ACH transfers have taken two business days, but nothing longer). SWIFT transfers require a telephone call to USAA -- but they have a toll free number in Thailand. Also, as I only SWIFT to one account here, I've set up a template with USAA for this account -- having all the codes and numbers -- so all's I do with the phonecall is name the template -- and the amount I wish to send. Not a slick as an on-line SWIFT, I guess. But certainly effective (however, ACH has become the flavor of the year).

[Langsuan Man]

Check with your local DC credit union and determine what they charge for a SWIFT wire. I have a credit union in the DC area that only charges me $20 for an international wire (regardless of the dollar amount) and they arrive the next day after being requested via email

Crunched the numbers and it was cheaper for me than Bangkok Bank International remittance system via the NYC branch

[Pib]

Like the folks above said, "Do Not let your sending bank (BoA) convert to baht before sending as you will receive a significantly lower exchange rate." Now the sending bank may use words that mades it sound like it's a good deal to let them convert before sending, but it is "not" a good deal...it just makes a fee for them...takes money out of your pocket...all done via a lower exchange rate. Send in dollars and let the receiving Thai bank convert to baht...they will use the TT Buying Rate which is about the best rate the common man can get in Thailand and a heck of lot better than what your sending bank will provide....remember they are using slight of hand to effectively charge a fee in doing the exchange on their end.

Really recommend you at least open another bank account other than Fees-R-Us (a.k.a., Bank of America). Plenty of U.S. banks/credit unions that provide free ACH transfers and have a lower fee structure...and some offer no foreign fee transaction debit credit cards which would make getting money from your U.S. bank immediate and without any fees assuming your use an AEON ATM and/or the bank also provides reimbursement for any ATM fees. To make your overall day-to-day banking/money transfer needs not cause you heartburn and burn fee holes in your wallet while living in Thailand you need good/low fee structure banks on "both ends...that is, the U.S. and Thailand.

USAA has been mentioned which is good...I'm with them, they have free ACH transfer, but their debit card has a foreign transaction fee. Schwab and State Farms banks are good...they have free ACH transfers...I have accounts with them...and both of them have no foreign transaction fee debit cards. Lots of banks/credit unions offer free ACH...it gets a little tougher to find banks that also provide no foreign transfaction fee debit cards but they are out there like Schwab, State Farm, Capital One, etc. Many times a person needs to have a couple of bank accounts since each account may provide a benefit(s) the others don't. Plus it provides a backup in case one bank changes a policy like deciding to charge a fee for something that was free before, etc.

To me in order to create the "best" bank account/experience a person usually has to have accounts at different banks in other to created the best overall combination, get the most benefits, lowest costs, and have backup. It ain't rocket scientist stuff but a person does need to take 15 minutes to accomplish an online application...getting a new bank account while in the states is a piece of cake nowdays, but it can get much tougher once moving to Thailand. Heck, just last night I opened a PenFed cedit union account in order to get their no foreign fee Platinum Visa card to compliment my CapOne Mastercard which also has no foreign transaction fee...I was approved...credit union account setup...card being mailed. Fortunately I also have an APO address in Thailand which makes setting up a new bank account easier is "some" cases, but not all...varies from bank to bank. You still have a year before your move...take 15 minutes between now and then to open up a new bank account...good luck in your move.

[JimGant]

"Crunched the numbers and it was cheaper for me than Bangkok Bank International remittance system via the NYC branch."

Hmmmm.  If your ACH transactions are free, you should break even with your $20 SWIFT method -- assuming you're sending over $50,000 -- which costs $20 front end through Bangkok Bank NY. And both a SWIFT wire and an ACH transfer have the same back end fee of .25%, plus both use the buying TT rate. And amounts less than $50,000 would cost even less via ACH thru BB NY ($10, $5, $3).

However, if you have to pay your sending bank for doing an ACH, that cost -- plus the greater transit time involved -- certainly could make your SWIFT method superior. And, the $20 wire fee definitely is nice -- as most financial institutions charge twice this.

[Pib]

I expect most people are sending a lot less than $50,000 per transfer unless they are buying a residence....I guess most periodic transfers are less than $10,000...possibly less than $5000 (and significantly less if transfer monthly pension payments) which would incur a $5 or $10 Bkk Bk NY fee plus the in-Thailand/back-end 0.25% (200 baht min, 500 baht max) fee...a back-end that would apply to any kind of inbound transfer (ACH, SWIFT, BACS, etc). For transfer amounts less than $50,000 an ACH transfer with no Sending bank fee definitely beats a Sending bank SWIFT fee of $20....but only paying $20 SWIFT fee to get your money within about 24 hours is nice if a person can't wait 2 or 3 days for an ACH transfer to complete.

[dogrun]

I am glad I visited this forum, thanks for info guys.

I will open Bangkok Bank account next time I am in Thailand. Does any one know if Citibank has ACH transfer option.

I have used wire transfer (on the web, do not recall if they offer ACH) from Citiback to my Siam Commercial bank aacoount

in BKK for hefty fee of $30 regardless of how much I transfered. Have not check on the Siam Com. banks side how much they charge.