Confirmation of foreign remittance (Condo purchase)

[coulson]

Full disclaimer - I have been over the threads and all through the legal sub forum, however now believe I may have made a mistake when wiring money to Thailand for the purchase of a Condo.

I intend to buy a unit below $50k US, therefore I will require Bangkok Bank to issue 'bai rap rang', not FET, confirming the funds transferred from overseas are:

1. In my name (both sender/ receiver accounts)
2. Purposes in Category '70' (real estate investment)
3. Note citing 'condo purchase' & 'building address'

On reviewing the outgoing remittance backup documents, I noted the local currency exchange to THB has not been referenced, instead it's just the THB amount. I now start to think this may be a stumbling block as it states in other threads the money should not just come from outside Thailand, but should arrive in a foreign currency and be exchanged by the receiving bank.

My local bank does not send local currency overseas, you can select either GBP/EU/USD or the currency of the receiving Country only. It only made sense at the time to avoid suffering a double hit on exchange rates.

Now all I can do is get supporting documentation from my local bank to confirm the funds were indeed 'foreign' and have them translated on arrival as a backup.

My question, has anyone overcome this (either by bank or at land office) without going through the remittance process again, or am I stuffed?

Appreciate any advice/ experiences.....

[KittenKong]

As far as I know none of your three numbered items is of any importance, except for the recipient name (even though the other items may be required by the law). Apart from that the only thing that is of any importance is having an FET form (or forex receipt for small amounts). So I would say that you definitely made a mistake in having the funds sent as THB from abroad and that this is one single thing that must be avoided in a condo purchase, also because the exchange rate you will get abroad will be lousy in all cases. (When transferring forex from abroad there is no "double hit on exchange rates" anyway; your bank sends your own currency and the local Thai bank converts it to THB. That's just one exchange and one loss.)

As for what you can do now, I would go and talk to your Thai bank manager who can probably arrange something. At worst you will only need to use your THB to buy forex then export the forex and then re-import it again, and your Thai bank can arrange all of this (for a price, of course). At best the bank manager may be prepared to issue a suitable form. Be wary of any suggestions that may involve third parties.

You may also find that whoever you are buying the condo from can help, especially if it is a developer. I suspect that whoever the vendor is they will be very keen to retain the sale at the moment!

Moral for other readers: dont buy THB outside of Thailand as it's always bad news.

[coulson]

Appreciate the info, thank you.

I did not know a single exchange rate would be applied had I sent in Euro/ USD. Many Banks in this region have a limited option on currency, some don't even sell THB. The rate in this case was ok, getting lumped with another Forex however won't be so nice. Unfortunately I'm a little tight for time, that is more the problem than losing a few baht. I have 3 working days in BKK to sort this out.

I have previously sent money from Europe to do the same thing, sent Euro to a third party account, no mention of investment etc or reference, it was very loose and very straight forward and went smooth. It's made me overlook the fundamental issue second time around while fussing over the finer details.

[coulson]

Double post**

Edited September 17, 2015 by coulson

[KittenKong]

Bangkok Bank should be able to sort it out very fast for you as they have their own branches in London and the US, but you can expect to pay for their help!

With any luck it will just be a paper manipulation anyway.

[coulson]

Had the bank review the remittance and provided I can show corresponding outward documents showing the exchange it will be fine.

Thanks kittenkong for your input. Below is an excerpt from Bangkok bank website. It is arguable that currency is not specified....despite being clear elsewhere.

Note to all....don't buy baht overseas, let the Thai bank exchange your currency.

Are there any special requirements I have to meet if I transfer funds from abroad to buy a condominium in Thailand?

For buying a condominium in Thailand, you can transfer funds from an overseas bank via SWIFT to your Bangkok Bank Thai Baht account or Foreign Currency Deposit account (FCD). Please specify the purpose of your funds transfer instruction as “To purchase a condominium”.

Upon receiving the funds, you can contact the Bangkok Bank branch where you maintain your account and request the documents you will need to present to the Department of Lands when registering ownership. The documents that Bangkok Bank can provide are as follows:Foreign Exchange Transaction Form (FET): you will need this form when transferring foreign currency into Thailand or withdrawing funds from an FCD account valued at USD 50,000 and over (or equivalent in other currencies).A Confirmation Letter of International Funds Transfer: you will need this letter when transferring foreign currency into Thailand or withdrawing funds from an FCD account valued at less than USD 50,000 (or equivalent in other currencies) or transferring Thai baht into Thailand from abroad (any amount)

[coulson]

Just to close the thread.

Bank issued a single credit advice for multiple transactions and verified source of funds was not in thai baht. Thanks to a competent bank manager.

Land office had no objection.