Banking in Thailand

[Hadrian1]

Hi,

I've got a friend who has been to Thailand and when out there he was using his UK debit card in the ATM's when out there. Of course, there's a fee everytime he did this. He is thinking of going out there again in 2014; he will be staying mainly on Koh Samui but also travelling a little. He's retired with a pension and he's considering making it a long term stay. I suggested to him to open a bank account with a Thai bank and transfer a lup sum into there to avoid the ATM transaction costs. But he said that he wasn't keen on doing that because he said there were concernt about the Thai economy and I guess he'd be worried about Thai baht devaluation. He said that he was thinking of opening an account with some Australian bank or other who had a presence in Thailand. I'm not sure how these things work so could somebody suggest the best way to be able to get access to money without the risk of losing value if the Thai economy runs into trouble? Thank you.

[ubonjoe]

Most Thai banks have Foreign Currency Deposit accounts that allow you to keep your money in several different currencies.

Info for Bangkok bank: http://www.bangkokbank.com/BangkokBank/PersonalBanking/DailyBanking/Accounts/ForeignCurrencyAccount/Pages/Default.aspx

[Sceptict11]

If the Thai baht runs into trouble then it is us as Westerners who will benefit !

if the gent does as you suggest he would be wise to transfer money in £ as the exchange rate will be more favorable in Thailand than in the UK.

Accessing cash via ATMs using a UK debit/credit card is expensive as most Thai Banks make a charge which is separate from the UK bank charges.

Edited September 21, 2013 by Sceptict11

[Dancealot]

Your friend(you) should open a Thai bank account and gain trust in the Thai economy.

Every party will benefit

[Hadrian1]

If the Thai baht runs into trouble then it is us as Westerners who will benefit !

if the gent does as you suggest he would be wise to transfer money in £ as the exchange rate will be for favorable in Thailand than in the UK.

Accessing cash via ATMs is expensive as most Thai Banks make a charge which is separate from the UK bank charges.

Thank you for both of your replies. So then, once he will have transferred to a Thai bank....let's say Bangkok Bank......what would be the best way? Visit the bank and make a largeish withdrawl as opposed to frequent use of the ATM? Do you know who much they charge at the ATM's?

[TallGuyJohninBKK]

There's different ways to approach this:

1. If someone was planning to stay for some period in Thailand, then they could wire transfer the funds from the UK to BKK, and then draw down the funds using their Thai bank card. Bangkok Bank has a good and economical procedure for transferring funds from the UK to Thailand. But of course, he'd need to have a Thai bank/Bangkok Bank account in Thailand to transfer the funds into.

The risks there are 1) doing the transfer at a time when the currency exchange rate is bad and 2) there are safety and consumer protection issues about Thai banks, especially for newcomers unfamiliar with how things work here, that would make me hesitant about keeping any large amount of funds on deposit with them, especially in an account accessed by an ATM card.

2. Your friend can instead open a UK bank account that doesn't charge foreign currency/foreign ATM fees like Metro Bank's current account, and then use AEON ATMs in Thailand, which don't charge any fees on this end and accept any regular MC or VISA logo card. There also are other UK banks and building societies that also don't charge foreign currency fees. You/he can do some searches here on ThaiVisa to find the latest from UK members here on this.

On that approach, I'm not sure off the top of my head whether there are AEON ATMs on Koh Samui, but there certainly are in most larger cities in Thailand, often in malls and shopping centers, including BKK, Pattaya, Phuket, Pattaya, Chiang Mai, Udon Thani, etc etc.

The advantage of using a home country card, vs a Thai bank card, is the user will keep any of the home country consumer protection features that they'd have at home, such as limited liability for fraud, lost cards, etc etc. With Thai bank issued debit/ATM cards, basically, most of those protections that westerners take for granted don't exist here.

If he ends up using a Thai bank card, make sure to set both the daily Point of Sale and daily ATM withdrawal limits to amounts he's comfortable with. The default amounts set by Thai banks are often quite high for debit cards. And make sure he knows, the basic policy of Thai banks is, the cardholder is responsible for any/all charges/withdrawals made against their card until AFTER they've reported it lost or stolen.

[Hadrian1]

Your friend(you) should open a Thai bank account and gain trust in the Thai economy.

Every party will benefit

If it was me, why would I need pretend otherwise. He asked me because I actually lived in Bangkok in the late 90's. I worked there. I banked with Thai Farmers to begin with and then BKK bank because I changed employers. I have nothing to hide. The best years of my life to date. I wish I could return....but it's highly unlikely. I'm just helping a mate who'se just been there on holiday and spent most of that on Samui. He is in his late fifty's and retired with a pension. He would like to give living out there a go.

Edited September 21, 2013 by Hadrian1

[Dancealot]

Your friend(you) should open a Thai bank account and gain trust in the Thai economy.

Every party will benefit

If it was me, why would I need pretend otherwise. He asked me because I actually lived in Bangkok in the late 90's. I worked there. I banked with Thai Farmers to begin with and then BKK bank because I changed employers. I have nothing to hide. The best years of my life to date. I wish I could return....but it's highly unlikely. I'm just helping a mate who'se just been there on holiday and spent most of that on Samui. He is in his late fifty's and retired with a pension. He would like to give living out there a go.

Fair, so if HE holds a Thai bankcard; the ATM fee will be B20 per transaction, max.

[Sceptict11]

The charge for using a foreign card at most ATMs is 150bht ( approx £3)

He should open a Thai bank account with the Bangkok Bank ensuring internet access to the account. Providing he also has internet access to his UK account transfers are easily arranged perhaps on a monthly basis.

All this bank discussion is perhaps premature until the gent decides what /where his future is. If his future is seen to be staying in Thailand the first and most important step is to secure an appropriate visa which will allow a long term stay.

[ubonjoe]

If the Thai baht runs into trouble then it is us as Westerners who will benefit !

if the gent does as you suggest he would be wise to transfer money in £ as the exchange rate will be for favorable in Thailand than in the UK.

Accessing cash via ATMs is expensive as most Thai Banks make a charge which is separate from the UK bank charges.

Thank you for both of your replies. So then, once he will have transferred to a Thai bank....let's say Bangkok Bank......what would be the best way? Visit the bank and make a largeish withdrawl as opposed to frequent use of the ATM? Do you know who much they charge at the ATM's?

He would first need to set up the FCD account and then transfer funds into the account

He would need to set up a baht account and transfer funds into it as needed or when the exchange rates are good. If he sets up online banking he can do it that way. And then there would be no ATM fees at his banks ATM or 10 or 15 baht at others.

Edited September 21, 2013 by ubonjoe

[Sceptict11]

Your friend(you) alt=whistling.gif width=19 height=18> should open a Thai bank account and gain trust in the Thai economy.

Every party will benefit alt=thumbsup.gif width=25 height=19>

If it was me, why would I need pretend otherwise. He asked me because I actually lived in Bangkok in the late 90's. I worked there. I banked with Thai Farmers to begin with and then BKK bank because I changed employers. I have nothing to hide. The best years of my life to date. I wish I could return....but it's highly unlikely. I'm just helping a mate who'se just been there on holiday and spent most of that on Samui. He is in his late fifty's and retired with a pension. He would like to give living out there a go.

Fair, so if HE holds a Thai bankcard; the ATM fee will be B20 per transaction, max.

Withdrawals from a Thai Bank ATM are mostly free if using a local Thai bank card in the issuing banks ATM's

[TallGuyJohninBKK]

The charge for using a foreign card at most ATMs is 150bht ( approx £3)

From the Thai bank end, the charge for making an ATM withdrawal using a foreign card will be 150 baht for VISA logo cards and 180 baht for MasterCard logo cards. That's the Thai charge and should be the same among all of the Thai banks, apart from whatever one's home country bank may charge.

Pretty much the only ATMs in Thailand that won't charge those fees against foreign cards are the AEON ATMs, because AEON is not a Thai bank, but does operate ATMs that accept VISA and MC logo debit cards for cash withdrawals.

[Patronus]

Your friend(you) alt=whistling.gif width=19 height=18> should open a Thai bank account and gain trust in the Thai economy.

Every party will benefit alt=thumbsup.gif width=25 height=19>

If it was me, why would I need pretend otherwise. He asked me because I actually lived in Bangkok in the late 90's. I worked there. I banked with Thai Farmers to begin with and then BKK bank because I changed employers. I have nothing to hide. The best years of my life to date. I wish I could return....but it's highly unlikely. I'm just helping a mate who'se just been there on holiday and spent most of that on Samui. He is in his late fifty's and retired with a pension. He would like to give living out there a go.

Fair, so if HE holds a Thai bankcard; the ATM fee will be B20 per transaction, max.

Withdrawals from a Thai Bank ATM are mostly free if using a local Thai bank card in the issuing banks ATM's

Not if you withdraw out of the province of the account holding branch. Withdrawals in another clearing district are 15 Baht. 20 Baht at another bank.

[Dancealot]

Not if you withdraw out of the province of the account holding branch. Withdrawals in another clearing district are 15 Baht. 20 Baht at another bank.

Correct

[Bpuumike]

He could buy Travellers Cheques,, free for the first £2K, at a UK Post Office and cash them as needed or when there is a good exchange rate. They can easily be replaced in Thailand if lost or stolen.

Just keep the list of numbers in a different place to the cheques.

[personchester]

Most Thai banks have Foreign Currency Deposit accounts that allow you to keep your money in several different currencies.

Info for Bangkok bank: http://www.bangkokbank.com/BangkokBank/PersonalBanking/DailyBanking/Accounts/ForeignCurrencyAccount/Pages/Default.aspx

Yes correct, unfortunately many Thai banks offer no interest for foreign deposits accounts, therefore just deposit a little sum during your stay here.

[Regyai]

Most of these 'fee dodgers' are talking little sums anyhow

[johnefallis]

I didn't read all the posts, but the Thai economy held up while western economies did not. I only wish I had kept my money in a Thai bank, I'M pretty sure it would've been like getting 20%+ interest compared to the losses and devaluation of the dollar back home.

[Eneukman]

I was charged 15 baht for withdrawing money from a Chiang Mai branch of the Bangkok Branch in July (my account is in Pattaya). A withdrawal made at an ATM at the Makro store in Pattaya was free.

The Thai Military Bank does not charge me for making withdrawals from branch outside the condo where I live - though I don't think other banks are so generous (the charges are negligible anyway).

I do get interest on my Bangkok Bank account though the rate is not particularly generous!

Alan

[SantiSuk]

A Brit, worried about the devaluation of ..... the Thai Baht ..... ???!!!!

[phitsanulokjohn]

Yep, tell him to open a foreign deposit account, requires approx 1000 US dollars or foreign currency equivalent.Tell your friend he's also right about the Thai economy running into problems,and it's not if,it's when,an almost foregone conclusion if you like.As I stated in a post yesterday,it's gonna be a bloodbath with the Thai economy unable to endure all the s--t that the western economies have had to suffer in recent years and leave the Thai banks crying in their Tom yam goong.I personally can't wait.

[Naam]

Yep, tell him to open a foreign deposit account, requires approx 1000 US dollars or foreign currency equivalent.Tell your friend he's also right about the Thai economy running into problems,and it's not if,it's when,an almost foregone conclusion if you like.As I stated in a post yesterday,it's gonna be a bloodbath with the Thai economy unable to endure all the s--t that the western economies have had to suffer in recent years and leave the Thai banks crying in their Tom yam goong.I personally can't wait.

don't hold your breath! since six years Thaivisa forum has been cluttered with hundreds of "foregone conclusions" that the Thai economy is on the brink of imploding and the Thai Baht will fall into an abyss. the opposite happened and those with Dollars, Sterling and €URos wish they had exchanged more of their home currency into Baht.

[breaker]

He can open bank account in Cambodia instead of Thailand.

For example, "Canadia Bank" in Cambodia pay interest 4.75% per year for fixed deposit in USD.

[A1Str8]

Yep, tell him to open a foreign deposit account, requires approx 1000 US dollars or foreign currency equivalent.Tell your friend he's also right about the Thai economy running into problems,and it's not if,it's when,an almost foregone conclusion if you like.As I stated in a post yesterday,it's gonna be a bloodbath with the Thai economy unable to endure all the s--t that the western economies have had to suffer in recent years and leave the Thai banks crying in their Tom yam goong.I personally can't wait.

don't hold your breath! since six years Thaivisa forum has been cluttered with hundreds of "foregone conclusions" that the Thai economy is on the brink of imploding and the Thai Baht will fall into an abyss. the opposite happened and those with Dollars, Sterling and €URos wish they had exchanged more of their home currency into Baht.

 

+10

 

[personchester]

Yep, tell him to open a foreign deposit account, requires approx 1000 US dollars or foreign currency equivalent.Tell your friend he's also right about the Thai economy running into problems,and it's not if,it's when,an almost foregone conclusion if you like.As I stated in a post yesterday,it's gonna be a bloodbath with the Thai economy unable to endure all the s--t that the western economies have had to suffer in recent years and leave the Thai banks crying in their Tom yam goong.I personally can't wait.

don't hold your breath! since six years Thaivisa forum has been cluttered with hundreds of "foregone conclusions" that the Thai economy is on the brink of imploding and the Thai Baht will fall into an abyss. the opposite happened and those with Dollars, Sterling and €URos wish they had exchanged more of their home currency into Baht.

FX is difficult to forecast, people have their own view on those matter and are either positive or negative.

But no one did expect the collapse of the US major "Lehman Brothers" Bank, this collapse in 2008 created the financial disaster of both the Western economies and the currencies who went deeply down in value, the major Asian currencies had little effect on this and the THB even got stronger.

Had this been known to us then we had transferred most of our savings into Thai banks prior to the disaster, unfortunately we did not know this, nor expected this, and we now have to live with the low FX rate of our home currency which affects our life style negatively.

[YeaBiGgiEs]

Let me throw one more option that I have done several times to avoid fees or time. Lets say I wanted a large sum from my home bank, more than an ATM would allow you to get or your daily limit. (you would be going to the ATM every day) I simply advise my bank I wish to withdraw ex. $5000.00 (approx 150,000THB) My bank would put a 72 hour clearance for that amount. Then you go into any main branch and tell them you want to do a "Cash Advance" (technically it is not a cash advance) then they run your card through the magnetic swipe and prepare a carbon slip and ask you for several ID's.. My bank doesnt charge me for that nor does the bank I have gone to here in Thailand charge for doing that. So thats a way of withdrawing here in LOCAL currency instead of wire transfer fees or milking the ATM everyday 2 weeks str8

[Naam]

Yep, tell him to open a foreign deposit account, requires approx 1000 US dollars or foreign currency equivalent.Tell your friend he's also right about the Thai economy running into problems,and it's not if,it's when,an almost foregone conclusion if you like.As I stated in a post yesterday,it's gonna be a bloodbath with the Thai economy unable to endure all the s--t that the western economies have had to suffer in recent years and leave the Thai banks crying in their Tom yam goong.I personally can't wait.

don't hold your breath! since six years Thaivisa forum has been cluttered with hundreds of "foregone conclusions" that the Thai economy is on the brink of imploding and the Thai Baht will fall into an abyss. the opposite happened and those with Dollars, Sterling and €URos wish they had exchanged more of their home currency into Baht.

FX is difficult to forecast, people have their own view on those matter and are either positive or negative.

But no one did expect the collapse of the US major "Lehman Brothers" Bank, this collapse in 2008 created the financial disaster of both the Western economies and the currencies who went deeply down in value, the major Asian currencies had little effect on this and the THB even got stronger.

Had this been known to us then we had transferred most of our savings into Thai banks prior to the disaster, unfortunately we did not know this, nor expected this, and we now have to live with the low FX rate of our home currency which affects our life style negatively.

i fully agree that forex is difficult to forecast but in the case of Thai Baht vs. a bunch of other currencies a clear strengthening and long lasting trend was visible starting from the Asian crisis 1997/98. THB did not appreciate overnight, it took years (with ups and downs) to reach where we are today.

the problem for the wishful thinkers was that they did not follow or were not really aware in which direction their home currency vs. Baht was heading.

[umbanda]

The charge for using a foreign card at most ATMs is 150bht ( approx £3)

He should open a Thai bank account with the Bangkok Bank ensuring internet access to the account. Providing he also has internet access to his UK account transfers are easily arranged perhaps on a monthly basis.

All this bank discussion is perhaps premature until the gent decides what /where his future is. If his future is seen to be staying in Thailand the first and most important step is to secure an appropriate visa which will allow a long term stay.

NOT CHARGE FOR FOREIGN ATM CARDS ON AEON BANKS.....LOCATED ON MOST BIG MALLS AND SHOPPING CENTERS

[salapau]

I've lived here for three years now and have an account with the Krung Thai Bank. There is no charge for withdrawing money from an ATM, as long as it's one of theirs.

Prior to moving out here after several previous visits, I used Bangkok Bank. I found transfers from England to be expensive and they took a long time with some unaccounted delays. Hence the switch to the Krung Thai.

First I would suggest that your friend talks with his bank in his country and ask if they have links with the banks in Thailand. This can make the transfers cheaper and more speedy.

A normal bank account in Thaiand offers no interest to foreigners, whilst it gives Thai's interest on the same style of account. Foreigners can however get interest from other styles of accounts incl. what they term as fixed deposit.

I would suggest that he waits until he's here, checks out which banks have local branches close to where he is. He can then visit those, check that they have staff that can speak and understand English, some of them don't. Discuss a relevant account and confirm the address and BIC/SWIFT code which is essential for international transfers. It is so much easier having a local branch.

Hope this helps.

[Dennisdob]

Hello,

In spite of what many people may think, I feel that the best way to transfer money is through a foreign currency account. If the baht should depreciate in essence you can remove your Sterling and gain a better exchange rate. The transaction may cost approximately 1%.

I have a foreign currency deposit account!