Bank bail-in laws

[griffon2011]

Do Thai banks have bail-in laws on the books such as Australia, New Zealand, US etc?  I'm assuming the they are operated like the fractional reserve banks in the countries noted. 

[topt]

If you mean Deposit protection for individual savings then see here -

http://www.dpa.or.th/en/site/index

[griffon2011]

The link you provided is for deposit insurance which is provided after the bank fails.  In a financial crisis bail-in laws are used to maintain bank solvency by using customer deposits instead of taxpayer money.  As a depositor you are basically an unsecured creditor and what you think is your money is used to try and save the bank. Bail-ins are designed to be implemented before the bank fails so the insurance is worthless as your money is already gone. I am concerned about the safety of my 800K baht retirement account and inquired at the bank but to no avail.    

[Pib]

I'm not aware of any Thailand bail-in laws to protect banks as the investors/customers expense...basically current customers/investors taking a haircut.   But for customers Thailand does have the Thailand Deposit Protection program for customers. 

 

Bail-in laws/policies tend to not happen until the financial crisis/event arrives....what the current govt in power figures must be done to save banks.  Usually pretty unique situations like the Greece financial crisis.   Right now if a Thai bank fails the govt says your money is insured up to the amount of coverage provided.

 

For Thailand's 1997/98 crisis no one lost any money deposited in their bank accounts.   Sure, people invested in stocks and other such financial assets saw losses, but a person's money deposit in a Thai bank was safe.