Need help with charges for SWIFT transfer to BAAC

[sean in udon]

Would like some help to clarify how much will be deducted from a SWIFT transfer into a Bank for Agriculture and Agricultural Co-operatives account.

Am using UKForex and sent £1,000 as a test to make sure everything went ok. The next transfer is £40,000..

Was impressed with the ease of setting up and using the UKForex account. The interbank rate when I sent the money was 53.8xx. Forex gave me 52.964 with no fee (March offer on small amounts).

Before the money was sent, I went to BAAC to ask about charges and was told no charges for receiving SWIFT payment. Money took 3 days but only 52611 Baht arrived. When this was queried, I was told it would be my bank taking a fee. I had no chance of explaining that I didn't use a bank, but stepped outside, phoned UKForex who confirmed that amount sent by them was 52,964 Baht. UKForex also said that BAAC were probably using an intermediary, who would charge.

Back into BAAC. Different bank clerk, "no we don't charge. Will be your bank". This time I insisted the fee was at the Thai end. She went away and got somebody with a brain, who confirmed that the SWIFT transfer would come through the Krung Thai Bank and they do charge a small fee. Cool, somebody with a brain, "How much will the fee be if I send 2,000,000 Baht?"

"Don't know."

"Can you phone Krung Thai and ask them."

"Sorry, cannot."

AARRGGHH

On reflection, had the bank clerk with a brain phoned Krung Thai and come back with the cost of the fee, I'd still be posting on here. I have little faith in BAAC and there would have been no redress if she was wrong.

I have phoned Krung Thai, had a conversation in English and they say the fee will be 500 Baht.

This being Thailand, if somebody could confirm that figure, especially if through personal experience, I'd be grateful.

[fletchsmile]

This type of things come up a lot on TV.

Basically there's 1) a sending bank (or financial institution UK forex in your case) 2) a correspondent bank/intermediary for the THB clearing (KTB) and then 3) the receiving bank (BAAC).

The intermediary will set their own charges and fees completely independently of BAAC. These are calculated on a basis that KTB decides and BAAC has no control over it, KTB will set their own minimums, maximums, sliding scale, % etc.

Bear in mind the receiving bank may have many different correspondent banks it uses for different currencies and different countries. So it's not really practical for your average employee to maintain lists of what all other banks charge in every country on each currency and on every amount, plus the middleman can change their rates anyway.

So asking the middle man you've done is a decent answer - since the middle man actually levies the charge. THB 500 sound a reasonable ball park. Thai bank fees on SWIFT tend to be pretty reasonable compared to the US, eg I paid about USD 50 recently for a US bank.

You may possibly be able to ask the sending bank to use a specific intermediary/ correspondent bank, but for most of the Thai banks you're only talking a few hundred baht usually. An example I did a few months back was to send USD from a Vietnamese bank to Stan Chart in Thailand. USD were sent via New York because of the currency. First time they used a US bank who took USD 50. Second time I specifically requested they use Stan Chart US, who don't charge as they were passing on to Stan Chart Thailand (who can clear here in THB) and I have priority banking.

Cheers

Fletch

Edited March 17, 2014 by fletchsmile

[Pib]

Per BAAC web site, here is what they charge for an inward remittance.

http://www.baac.or.th/baac_en/content-product.php?content_group_sub=3&content_group_semi=3

[sean in udon]

Thanks for the replies.

Per BAAC web site, here is what they charge for an inward remittance.

http://www.baac.or.th/baac_en/content-product.php?content_group_sub=3&content_group_semi=3

Capture.JPG

Feel a bit stupid about this one.

Had a look at the site and didn't think to look at the International Business section. It obviously is an international transaction. Appreciate the link.

[fletchsmile]

Thanks for the replies.

Per BAAC web site, here is what they charge for an inward remittance.

http://www.baac.or.th/baac_en/content-product.php?content_group_sub=3&content_group_semi=3

Capture.JPG

Feel a bit stupid about this one.

Had a look at the site and didn't think to look at the International Business section. It obviously is an international transaction. Appreciate the link.

That's got to be the first time ever I've seen anything useful on BAAC's website. Congrats to PIB

Just waiting for the ATM guys now to tell you to use an Aeon ATM machine and stick your ATM card in the wall 100 times over several weeks cos it's cheaper and you can't trust that amount of money in a Thai bank

[paulmw]

fletchsmile, on 17 Mar 2014 - 20:41, said:

sean in udon, on 17 Mar 2014 - 20:00, said:

Thanks for the replies.

Pib, on 17 Mar 2014 - 19:25, said:

Per BAAC web site, here is what they charge for an inward remittance.

http://www.baac.or.th/baac_en/content-product.php?content_group_sub=3&content_group_semi=3

Capture.JPG

Feel a bit stupid about this one.

Had a look at the site and didn't think to look at the International Business section. It obviously is an international transaction. Appreciate the link.

That's got to be the first time ever I've seen anything useful on BAAC's website. Congrats to PIB

Just waiting for the ATM guys now to tell you to use an Aeon ATM machine and stick your ATM card in the wall 100 times over several weeks cos it's cheaper and you can't trust that amount of money in a Thai bank

Becareful fletchsmile Aeon ATM Mukdahan now charging 150B pre transaction now.

Was surprised to see this Thai bank fee has now spread to Aeon ATM's

back to phone banking. Sod it.

[Pib]

Becareful fletchsmile Aeon ATM Mukdahan now charging 150B pre transaction now.

Was surprised to see this Thai bank fee has now spread to Aeon ATM's

back to phone banking. Sod it.

Fees are quite infectious....they spread very easily between bankers. In fact, I think bankers try to get infected versus avoiding the infection.

[sean in udon]

Money came through yesterday. The 500 baht fee turned out to be 1350 baht.

Will be back at the bank in the next couple of days with Thai friend who speaks excellent english, to see what pathetic excuses they have for overcharging.

No doubt we'll start with 'bank in England take money'.

Sent from my iPhone using Thaivisa Connect Thailand

[Pib]

Money came through yesterday. The 500 baht fee turned out to be 1350 baht.

Will be back at the bank in the next couple of days with Thai friend who speaks excellent english, to see what pathetic excuses they have for overcharging.

No doubt we'll start with 'bank in England take money'.

Sent from my iPhone using Thaivisa Connect Thailand

And if they do say it was your home country bank or a intermediary/correspondent bank then they are probably right. They will be able to tell you exactly how much "arrived their inbox" so to speak and how much their fee was....any fees applied before arriving their inbox is beyond their control and is a home bank/intermediary bank fee. You would need to talk to your home country bank...and don't be surprised if you get a run-around from your home country bank regarding correspondent/intermediary bank fees.