Bank account for thai minors ?

[noopin2014]

Hi !

I would like to open a bank account for my thai nationality children. I want they can withdraw only when attains the age of majority. Do you know which banks puurpose this service. What about the rate interest ?

THanks

[colinneil]

Government savings bank do accounts like that.

[JoeyDaRench]

I opened one for my son at Bangkok bank. Very easy. Don't know the interest rate.

[pest]

Pink bank cant remember the name

[noopin2014]

thanks mates !

[khunPer]

I've done it in Government Savings Bank for my daughter (half Thai) – if your (OP) child has a Thai mum, she probably know about it. GSB has 12-month and 36-month fixed account options. 12-month gives little higher interest than normal 12-month fixed in most banks, 36-month slightly more, but if interest raise, you're stock with the lower value for the remaining period. 15 percent capital-gain-tax is withheld (can be claimed back). One name only can be guardian, either dad or mum, and money can be withdrawn at any time by the guardian, but not the minor.

You can do similar accounts in most, if not all Thai banks.

Another option is the so-called Fund Book (Mutual Funds, asset management) – I also use that – where you can invest in bonds (not taxed) or a mixture of bonds and dividend paying stocks. The Fund Books can be either accumulating or dividend paying, when including stocks. A special LTF (Long Term Funds) including stocks is free of capital-gain-tax, if held 5 years and more. That can also be used for regular savings for your child, however for opening minimum deposit is 5,000 baht, and there is a minimum you shall buy funds for, each time. The Fund Book is combined with a normal savings account for dividend and transactions, which account also can be used for smaller savings, until there is enough to buy Funds. You can use the bank's Asset Management web-pages to find out more – a good explaining site in English language is Kasikorn Bank.

[Suradit69]

Pink bank cant remember the name

Probably Government Savings Bank??

[Generalchaos]

SCB will not let minors have their own "normal" current account. They did used to do a higher interest child's account where regular amounts had to be paid in monthly over 2 years.

[Autonuaq]

no problem just take the birth certificate and go to the bank

all I needed when I openend two weeks ago at the Kaiskornbank

[condo bought]

Pink Government Bank is named 'Omsin'.

If looking for you kids future in Thailand, buy a small condo, rent it and put the returns in proper account. I don't know how much interest these kids accounts give, but it's likely not a lot.

BAY Mee Tae Dai account pays 2% on 100k+ last time I looked. Paid monthly.

Put the unit in your will as being left to your child (just in case)

Then transfer to them when they come of age.

Much better than some low paying bank account.

[nickcar]

I've done it in Government Savings Bank for my daughter (half Thai) if your (OP) child has a Thai mum, she probably know about it. GSB has 12-month and 36-month fixed account options. 12-month gives little higher interest than normal 12-month fixed in most banks, 36-month slightly more, but if interest raise, you're stock with the lower value for the remaining period. 15 percent capital-gain-tax is withheld (can be claimed back). One name only can be guardian, either dad or mum, and money can be withdrawn at any time by the guardian, but not the minor.

You can do similar accounts in most, if not all Thai banks.

Another option is the so-called Fund Book (Mutual Funds, asset management) I also use that where you can invest in bonds (not taxed) or a mixture of bonds and dividend paying stocks. The Fund Books can be either accumulating or dividend paying, when including stocks. A special LTF (Long Term Funds) including stocks is free of capital-gain-tax, if held 5 years and more. That can also be used for regular savings for your child, however for opening minimum deposit is 5,000 baht, and there is a minimum you shall buy funds for, each time. The Fund Book is combined with a normal savings account for dividend and transactions, which account also can be used for smaller savings, until there is enough to buy Funds. You can use the bank's Asset Management web-pages to find out more a good explaining site in English language is Kasikorn Bank.

Minor correction. Capital gains are not taxable from the stock exchange. LTF is special,fund that you can invest from your income up to I beleive 15% and is tax deductable if you hold for more than 5 years. No advantage over other funds if you dont pay tax.

[khunPer]

I've done it in Government Savings Bank for my daughter (half Thai) if your (OP) child has a Thai mum, she probably know about it. GSB has 12-month and 36-month fixed account options. 12-month gives little higher interest than normal 12-month fixed in most banks, 36-month slightly more, but if interest raise, you're stock with the lower value for the remaining period. 15 percent capital-gain-tax is withheld (can be claimed back). One name only can be guardian, either dad or mum, and money can be withdrawn at any time by the guardian, but not the minor.

You can do similar accounts in most, if not all Thai banks.

Another option is the so-called Fund Book (Mutual Funds, asset management) I also use that where you can invest in bonds (not taxed) or a mixture of bonds and dividend paying stocks. The Fund Books can be either accumulating or dividend paying, when including stocks. A special LTF (Long Term Funds) including stocks is free of capital-gain-tax, if held 5 years and more. That can also be used for regular savings for your child, however for opening minimum deposit is 5,000 baht, and there is a minimum you shall buy funds for, each time. The Fund Book is combined with a normal savings account for dividend and transactions, which account also can be used for smaller savings, until there is enough to buy Funds. You can use the bank's Asset Management web-pages to find out more a good explaining site in English language is Kasikorn Bank.

Minor correction. Capital gains are not taxable from the stock exchange. LTF is special,fund that you can invest from your income up to I beleive 15% and is tax deductable if you hold for more than 5 years. No advantage over other funds if you dont pay tax.

Thanks.

I think tax exemption is depending of which type of fund you have invested in – a bit confusing, but for some funds "share of profit derived from mutual fund under the Securities and Exchange Act are not subject to withholding tax, but the income must be included in the calculation of tax."

If you want to be sure for tax exemption and use all tax benefits up to 500,000 baht per annum, LTF's seem to be best.

Kasikorn says:

"Long Term Equity Fund: LTF is the mutual fund that provides tax privileges for investors; the fund must invest only in equity that listed in the Stock Exchange of Thailand and for long term not less than ten years

Investors must invest in LTF not less than 5 calendar years to get tax privileges of this two ;

-Exempt income tax for the total investment not more than 15% of total income and not more than 500,000 Baht each year

-Free Capital gain tax for any income or profits from the redemption of the units of the fund"

(sic.)

In SCB (Siam Commercial Bank) you cannot sell LTF's held under 5 calendar year without being taxed, but you can change from one LTF to another LTF.

(I may be wrong, but I talk from experience, having mutual funds investments in three Thai banks, both myself as foreign fund-holder, and for my Thai citizen child.)

[stament]

Any recommendations as we are wanting to open accounts for our boys.

Thanks

[khunPer]

SCB will not let minors have their own "normal" current account. They did used to do a higher interest child's account where regular amounts had to be paid in monthly over 2 years.

Think you can have a normal savings account in SCB – I have for my Thai daughter...

[jerome2]

The pink bank ATM doesnt work outside thailand i think

because my wife has agriculture bank which is also gov.

didnt work in europe

Edited May 29, 2016 by jerome2