Bank Savings Interest Rates

[jbaldwin]

On 6/26/2018 at 12:29 PM, orientalist said:

12 months fixed deposit:

 

1.65% CIMB Preferred

1.60% CIMB

1.55% LH

1.50% Thanachart

Also UOB Thai 14 months - 1.70%

[Happy Grumpy]

What's my BAY Mee Tae Dai account paying nowadays?

 

Was 3.65% paid monthly if over 100k baht when I opened it around 5 years ago.

 

Below 2% already? 

[Happy Grumpy]

6 minutes ago, Happy Grumpy said:

What's my BAY Mee Tae Dai account paying nowadays?

 

Was 3.65% paid monthly if over 100k baht when I opened it around 5 years ago.

 

Below 2% already? 

Oh look at that.

 

1.30%

 

Yayyyyyyyyyyyyyy.

[orientalist]

CIMBThai has just announced a new promotion valid until the end of July:

 

18 months fixed deposit

 

1.75% for Preferred customers, 1.70% for others. Interest paid monthly (but be sure to ask for it) or at end of term.

 

https://www.cimbthai.com/en/personal/news-and-promotions/promotions.html

[simoh1490]

17 minutes ago, orientalist said:

CIMBThai has just announced a new promotion valid until the end of July:

 

18 months fixed deposit

 

1.75% for Preferred customers, 1.70% for others. Interest paid monthly (but be sure to ask for it) or at end of term.

 

https://www.cimbthai.com/en/personal/news-and-promotions/promotions.html

I finally closed out my accounts with CIMB, despite being a Preferred customer for several years. The problem was that CIMB refused consistently to allow me access to their highest paying accounts saying that unless I have a tabien bahn I wouldn't be allowed to open one. I could get a yellow book but having one doesn't interest me, I don't feel like jumping through hoops just to get one. Plus they miss the point, either a customer is prefered or he/she isn't, it's not a case of being a Preferred Thai or Preferred farang it's just preferred!

Edited July 3, 2018 by simoh1490

[janclaes47]

13 minutes ago, orientalist said:

CIMBThai has just announced a new promotion valid until the end of July:

 

18 months fixed deposit

 

1.75% for Preferred customers, 1.70% for others. Interest paid monthly (but be sure to ask for it) or at end of term.

 

https://www.cimbthai.com/en/personal/news-and-promotions/promotions.html

 

If that is 1.75% for the whole 18 months, I rather put my money under my mattress.

[orientalist]

16 minutes ago, simoh1490 said:

I finally closed out my accounts with CIMB, despite being a Preferred customer for several years. The problem was that CIMB refused consistently to allow me access to their highest paying accounts saying that unless I have a tabien bahn I wouldn't be allowed to open one. I could get a yellow book but having one doesn't interest me, I don't feel like jumping through hoops just to get one. Plus they miss the point, either a customer is prefered or he/she isn't, it's not a case of being a Preferred Thai or Preferred farang it's just preferred!

 

I've had similar problems with them advertising that foreigners with a Thai ID number can get the Senior Fixed Deposit account but then saying the info is wrong when I try to apply. The one time (for some reason) they agreed I qualified for it, they insisted on seeing my original blue tabien baan (I didn't bring it as it belongs to my landlord) rather than my copy, my driving licence, my pink ID card, or the copy they have on record from when I first opened an account. So I withdrew the 1m baht from their savings account as a cashier's cheque and they really didn't seem to care. The hotties in the VIP lounge seem mainly interested in getting people to invest in various funds.

[simoh1490]

1 minute ago, orientalist said:

 

I've had similar problems with them advertising that foreigners with a Thai ID number can get the Senior Fixed Deposit account but then saying the info is wrong when I try to apply. The one time (for some reason) they agreed I qualified for it, they insisted on seeing my original blue tabien baan (I didn't bring it as it belongs to my landlord) rather than my copy, my driving licence, my pink ID card, or the copy they have on record from when I first opened an account. So I withdrew the 1m baht from their savings account as a cashier's cheque and they really didn't seem to care. The hotties in the VIP lounge seem mainly interested in getting people to invest in various funds.

I've had very similar experiences over the years. I recently withdrew more than 3 mill. from them in cash and walked it across to UOB in Airport Plaza, there was no concern by anyone at either bank although CIMB did get plenty of advance warnings which they ignored - who would run a business that way, it makes little sense

 

But it's perhaps worth pointing out that the foreign banks in Thailand, CIMB, UOB and others, they have no direct connection with their offshore namesakes, having an account with one of them in Thailand doesn't mean anything when it comes to trying to use the facilities of their offshore namesake, they don't even recognise each other at the consumer level.

[moogradod]

15 hours ago, orientalist said:

CIMBThai has just announced a new promotion valid until the end of July:

 

18 months fixed deposit

 

1.75% for Preferred customers, 1.70% for others. Interest paid monthly (but be sure to ask for it) or at end of term.

 

https://www.cimbthai.com/en/personal/news-and-promotions/promotions.html

What does it need to be a preferred customer ? And will they withhold 15% tax if paid monthly ? My wife is interested, and she has a Thai passport - so no problems with tabien baan or whatever.

[Oxx]

24 minutes ago, moogradod said:

What does it need to be a preferred customer ? 

 

Preferred Customers already have a minimum of 3 million baht with the bank, so they're making the bank quite a bit of money already and the bank can offer them an incentive to save more.

[KittenKong]

Preferred Customers already have a minimum of 3 million baht with the bank....

I got preferred status as soon as I went over 1MB.

I get all the preferred deposit rates (I have no Tabien Baan or work permit) and I also get my yearly immigration bank letter for free.

I do not have access to the Senior deposit rate as I have no Thai ID.

[moogradod]

Sounds good, Kittenkong. Maybe even an option for me later on.

How about the 15% direct tax deduction from the monthly payments ? My wife has her home currently still in Switzerland and must not pay any taxes in Thailand in 2018. She may not qualify for Senior deposit rates though for unlike me she is still relatively young

Edited July 4, 2018 by moogradod

[simoh1490]

4 hours ago, moogradod said:

Sounds good, Kittenkong. Maybe even an option for me later on.

How about the 15% direct tax deduction from the monthly payments ? My wife has her home currently still in Switzerland and must not pay any taxes in Thailand in 2018. She may not qualify for Senior deposit rates though for unlike me she is still relatively young

The 15% tax deduction is mandatory on fixed accounts but is often managed on savings account by the banks who will track the amount of interest paid and not deduct tax if under 20k per year.

[Oxx]

5 hours ago, moogradod said:

My wife has her home currently still in Switzerland and must not pay any taxes in Thailand in 2018.

 

This doesn't make any sense.  In the worst case income in Thailand may be taxed by Thailand and Switzerland (assuming she's tax resident in Switzerland).  However, there's a Double Tax Agreement between Thailand and Switzerland.  Whilst I haven't read the details I would expect there to be relief from double taxation.

[moontang]

22 hours ago, simoh1490 said:

I've had very similar experiences over the years. I recently withdrew more than 3 mill. from them in cash and walked it across to UOB in Airport Plaza, there was no concern by anyone at either bank although CIMB did get plenty of advance warnings which they ignored - who would run a business that way, it makes little sense

 

But it's perhaps worth pointing out that the foreign banks in Thailand, CIMB, UOB and others, they have no direct connection with their offshore namesakes, having an account with one of them in Thailand doesn't mean anything when it comes to trying to use the facilities of their offshore namesake, they don't even recognise each other at the consumer level.

All of the banks are Thai Banks, or at least Thai subsidiaries...just like buying gas from XOM....still a Thai company.  CIMB Thai does give you access to 6000 ATMs in ASEAN, and of course, you can use any ATM in Thailand and not pay a fee.  I got preferred at one million, but there is another level at three.  Free ATM card and first year free, then 100 per year.  Preferred fixed rates are .05% higher, at most, so 500 thb on 1 million, per year.  The deal at UOB for 1.7% is OK, but a bit long..and their deposit accounts suck, and 14 months could put you at risk of maturity during seasoning, which is the curse of death.  She had nice legs, though.  But <deleted>, they gotta stop asking me for my WP....when I inquire about sticking a million in their bank.  Getting 2.8% on a two year, in the US.

[simoh1490]

18 minutes ago, moontang said:

All of the banks are Thai Banks, or at least Thai subsidiaries...just like buying gas from XOM....still a Thai company.  CIMB Thai does give you access to 6000 ATMs in ASEAN, and of course, you can use any ATM in Thailand and not pay a fee.  I got preferred at one million, but there is another level at three.  Free ATM card and first year free, then 100 per year.  Preferred fixed rates are .05% higher, at most, so 500 thb on 1 million, per year.  The deal at UOB for 1.7% is OK, but a bit long..and their deposit accounts suck, and 14 months could put you at risk of maturity during seasoning, which is the curse of death.  She had nice legs, though.  But <deleted>, they gotta stop asking me for my WP....when I inquire about sticking a million in their bank.  Getting 2.8% on a two year, in the US.

Kinda odd that 1.7% for 14 months could put you at risk whereas 2.8% for 24 wouldn't. But there again, different countries, different economies, different banking systems.

 

Each to their own, I've very happy with the 1% on UOB Privilege easy access deposit savings accounts plus their fixed rates are competitive for Thailand currently. I also like the fact that their security is very strong, I've been with them for over seven years and they are streets ahead compared to the local competition.....there are no shortcuts to any processes ever with UOB and I like that. I also like the fact that they offered me a credit card without me even asking, it helps me personally to manage my finances by being able to pay in a range of currencies without suffering from exchange rate woes. 

[moontang]

I was talking about trouble at Immigration if your fixed matures during the 90 days prior to extension renewal.  I use my CIMB card with a Visa logo just like a Thai credit card.  Except no annual fees..Just had a new inverter fridge delivered...And Powerbuy doesn't take US cards, which I think is BS.

[Khun Jean]

I am happy with my 10% per year. Requires some time but not too much. Money in the bank against anything lower then 7-8% is just throwing money away as you will not keep up with even low inflation. I keep my bank 'savings' at maximum 500.000. Then it gets invested.

 

[moogradod]

59 minutes ago, Oxx said:

 

This doesn't make any sense.  In the worst case income in Thailand may be taxed by Thailand and Switzerland (assuming she's tax resident in Switzerland).  However, there's a Double Tax Agreement between Thailand and Switzerland.  Whilst I haven't read the details I would expect there to be relief from double taxation.

Not all fixed asset accounts deduct the 15% - I have heard at least. This is why I have been asking. In 2018 my wife is tax resident in Switzerland and not Thailand (she ist not resident here due to the 180 day rule, so there would be no double taxation either). But if they deduct the 15% the double tax treaty may become effective - but this is a complicated matter and not worth going through for the little bit of money involved this time. So no opening of a fixed asset account for now. Case closed. Once she will become tax resident in Thailand this will be another matter.

[moogradod]

4 minutes ago, Khun Jean said:

I am happy with my 10% per year. Requires some time but not too much. Money in the bank against anything lower then 7-8% is just throwing money away as you will not keep up with even low inflation. I keep my bank 'savings' at maximum 500.000. Then it gets invested.

 

Some small hint where this 10% might come from would be appreciated by many I suppose.

[Khun Jean]

Just now, moogradod said:

Some small hint where this 10% might come from would be appreciated by many I suppose.

Search and find out.

 

[moontang]

A lot of really smart guys in the US bough fixed deposits in Mexico at about 10%....one small problem was that the Peso went from 12 to 22 in only a few years.  I get close to 8% with Wells Fargo preferred shares...still risks involved.

[simoh1490]

12 minutes ago, moogradod said:

Not all fixed asset accounts deduct the 15% - I have heard at least. This is why I have been asking. In 2018 my wife is tax resident in Switzerland and not Thailand (she ist not resident here due to the 180 day rule, so there would be no double taxation either). But if they deduct the 15% the double tax treaty may become effective - but this is a complicated matter and not worth going through for the little bit of money involved this time. So no opening of a fixed asset account for now. Case closed. Once she will become tax resident in Thailand this will be another matter.

I have never heard of a fixed account that does not deduct 15% tax, regardless, that tax is easily and simply recoverable for most retiree expats via a tax return.

[HampiK]

19 hours ago, moogradod said:

Sounds good, Kittenkong. Maybe even an option for me later on.

How about the 15% direct tax deduction from the monthly payments ? My wife has her home currently still in Switzerland and must not pay any taxes in Thailand in 2018. She may not qualify for Senior deposit rates though for unlike me she is still relatively young

 

14 hours ago, Oxx said:

 

This doesn't make any sense.  In the worst case income in Thailand may be taxed by Thailand and Switzerland (assuming she's tax resident in Switzerland).  However, there's a Double Tax Agreement between Thailand and Switzerland.  Whilst I haven't read the details I would expect there to be relief from double taxation.

 

12 hours ago, moogradod said:

Not all fixed asset accounts deduct the 15% - I have heard at least. This is why I have been asking. In 2018 my wife is tax resident in Switzerland and not Thailand (she ist not resident here due to the 180 day rule, so there would be no double taxation either). But if they deduct the 15% the double tax treaty may become effective - but this is a complicated matter and not worth going through for the little bit of money involved this time. So no opening of a fixed asset account for now. Case closed. Once she will become tax resident in Thailand this will be another matter.

Hello,

 

You can ask the tax (or at least some parts of them) back from swiss government. I had done this for years. You declare your money in Thailand and also the Interest of Thailand. And then claim back about 10% instead of the 15%. If you really Interested in more details how it works, PM.

But it's not really very complicated. In the first few years before I was aware of the correct process I claimed back 15% and was given the 15% back as well… It took me about 15 minutes more effort every year to fill in the Thailand data. Maybe even less, because I knew afterwards how to calculate and everything.. maybe only 5 minutes :).

[moontang]

I walked by here last night.  They got a sign up staying 24 months at 2.5% .......I can post the photos later...it was kind of dark.  So not sure if it is standard fixed deposit, but might be worth a look.  1200 branches.

 

http://www.baac.or.th/baac_en/index.php

 

 

[simoh1490]

23 minutes ago, moontang said:

I walked by here last night.  They got a sign up staying 24 months at 2.5% .......I can post the photos later...it was kind of dark.  So not sure if it is standard fixed deposit, but might be worth a look.  1200 branches.

 

http://www.baac.or.th/baac_en/index.php

 

 

There is no such thing as a fixed term deposit account in Thailand, the rate can be fixed for a specific period of time but the customer is always free to withdraw funds at any time. When that happens the interest rate converts to the standard savings rate for the entire duration of the fixed interest period, the interest that has already been paid at the higher rate is repaid and a new lower rate of interested is calculated.

[moogradod]

Following the link below, baac offers 3.4% (tax exempt !) for 24 month. I suppose this is a mistake though or outdated (they say valid from 2012). I have a bit of a strange feeling if a bank cannot keep their published infos up to date.

Look for yourself:
http://www.baac.or.th/baac_en/content-product.php?content_id=013172&content_group_semi=0005&content_group_sub=0001&content_group=0004&inside=1

[moontang]

7 minutes ago, simoh1490 said:

There is no such thing as a fixed term deposit account in Thailand, the rate can be fixed for a specific period of time but the customer is always free to withdraw funds at any time. When that happens the interest rate converts to the standard savings rate for the entire duration of the fixed interest period, the interest that has already been paid at the higher rate is repaid and a new lower rate of interested is calculated.

Every bank in Thailand calls them "Fixed Deposits," and it is fixed at the rate( s) agreed upon, unless you make an early termination, but you never lose principal, unlike a bond.  No idea what point you are trying to make.

[simoh1490]

4 minutes ago, moogradod said:

Following the link below, baac offers 3.4% (tax exempt !) for 24 month. I suppose this is a mistake though or outdated (they say valid from 2012). I have a bit of a strange feeling if a bank cannot keep their published infos up to date.

Look for yourself:
http://www.baac.or.th/baac_en/content-product.php?content_id=013172&content_group_semi=0005&content_group_sub=0001&content_group=0004&inside=1


If you read the small print it says the account holder must make the same monthly payments of between 1K and 25k per month for 24 months in order to get the advertised rate. If a payment is missed or the account is closed (which it can be, and that was point previously) the interest rate reverts to the normal standard savings rate. So whilst it is possible for the consumer to enter into the fixed period it is not binding upon them to remain in it. 

[Oxx]

2 minutes ago, moogradod said:

Following the link below, baac offers 3.4% (tax exempt !) for 24 month. I suppose this is a mistake though or outdated (they say valid from 2012). I have a bit of a strange feeling if a bank cannot keep their published infos up to date.

 

I can't read the small Thai print, but I suspect this is a "step up" account.  The headline rate of interest is only paid for a short time towards the end of the 24 months, with a significantly lower interest rate at the start.  People get suckered in by the headline and don't read the small print.

 

BAAC is a government bank (so not covered by the Deposit Protection Agency).  It's also got significant problems with bad loans.  Whilst the government will probably bail the customers out if the bank fails, that may take quite some time.