banks aren't guaranteeing deposits

[Leaver]

9 hours ago, KKr said:

Thanks Mate.

what is a large sum in your expert opinion ?

Anymore than monthly living expenses.   

[riclag]

On 10/17/2020 at 8:39 PM, silicastorm said:

YES!

 

Why would they reduce the protection coverage for foreign investors in Thai banks...? 

 

 

Bigger question imop ! Why would a falang deposit a required 3 million baht in a Thai bank to meet a special visa requirement such as to come  to their  condo(property ),when they are only guarantied 1 mill back if there is a bank financial belly flop imop

"Next, (and this is the first of the eye opening requirements) they need to be able to provide a copy of a bank statement that shows a balance of at least 3 million baht deposited into a Thai bank account"

 

 

 

 

[CANSIAM]

49 minutes ago, Leaver said:

Citibank Thailand, or Citibank USA?

BKK

[Andycoops]

On 10/17/2020 at 10:16 PM, VBF said:

Presumably, it's 1 mil per institution ie 1 mil with SCB + 1 mil with Kasikorn etc.? If so possible to mitigate some risk that way.

 

Sorry for Thai people who have no choice, but really any foreigner who keeps lots of dosh in what is still, essentially a 3rd world banking system isn't very smart. Having seen the pitiful security, both personal and electronic practised in Thailand I don't think I'd keep any more than essential even if i did live there.

 

Especially seeing how easy it is today to transfer from a better-protected account Eg UK is  £85K per institution - approx 3,655,000 Baht. I presume the interest rates in Thailand are as pathetically low as other countries - I haven't bothered to look as it doesn't affect me.

I agree totally.

I transfer money to Thailand on a needs basis and keep a minimum float here for any unexpected expenses.

[perryclark]

The reality is that US stocks are grossly overvalued and there is an almost certain cras coming, once the presidential election is out of the way. The green shoots of growth are an illusion.There are skyrocketing debt and bankruptcies, growing queues of homeless in tent cities, mortgage payment holidays set to expire and the millions of unemployed have all spent any savings.

When the US financial system goes into depression, not recession, at best Thailand's trade and tourism will collapse.

NOW ADD A 2ND AND 3RD WAVE OF C-19.

Thai banks like all banks around the world are going to struggle. This includes all countries. Its only ''jawbone economics'' stopping bank runs. The world banks know this, and they know its almost impossible to prevent..

The banks will only guarantee a relatively small amount, because the reality is its all they can cover.

 

Edited October 19, 2020 by perryclark

[AlfHuy]

11 hours ago, Leaver said:

Anymore than monthly living expenses.   

That's not a lot.

Rent 4,000 baht, luxurious room with running water and fan.

Living expenses: 1 trip to 7-11 a day. 1 beer and a sausage. Total 70 baht

Phone: 150 baht

Washing product: not needed

 

Total:6,250 all incl;

[Peterphuket]

14 hours ago, Leaver said:

Keep listening to your Thai missus and the next thing you will be posting is, "Buy land in Issan." Followed by, and grow rubber trees on said land.   ????

I learn my lessons after more than 20 years living in Thailand, and who was talking about gold in Thailand?

[Max69xl]

10 hours ago, riclag said:

Bigger question imop ! Why would a falang deposit a required 3 million baht in a Thai bank to meet a special visa requirement such as to come  to their  condo(property ),when they are only guarantied 1 mill back if there is a bank financial belly flop imop

"Next, (and this is the first of the eye opening requirements) they need to be able to provide a copy of a bank statement that shows a balance of at least 3 million baht deposited into a Thai bank account"

 

 

 

 

The deposit guarantee is still 5 million baht, not 1 million baht. They might reduce it to 1 million in August 2021. 

[Max69xl]

39 minutes ago, AlfHuy said:

That's not a lot.

Rent 4,000 baht, luxurious room with running water and fan.

Living expenses: 1 trip to 7-11 a day. 1 beer and a sausage. Total 70 baht

Phone: 150 baht

Washing product: not needed

 

Total:6,250 all incl;

You seem like a cheap charlie to me or you don't have any money to spend. Living alone in a shoe box and only have money for a beer and a hot dog per day is a bit sad imo. 

[Grumpy one]

Looks like the old Pickle  jars buried in the garden are the go  

Edited October 19, 2020 by Grumpy one

[Grumpy one]

1 hour ago, AlfHuy said:

That's not a lot.

Rent 4,000 baht, luxurious room with running water and fan.

Living expenses: 1 trip to 7-11 a day. 1 beer and a sausage. Total 70 baht

Phone: 150 baht

Washing product: not needed

 

Total:6,250 all incl;

If I end up living like that, just  shoot me

[TallGuyJohninBKK]

On 10/18/2020 at 7:20 AM, Brunolem said:

The only problem is that the FDIC doesn't have the money to cover its promises...by a long shot...

 

The US FDIC deposit insurance is backed by the full faith and credit of the U.S. government, and has never failed to pay for a protected deposit during its entire history.

 

[TallGuyJohninBKK]

21 hours ago, Pib said:

Show us that fine print.

 

In the meantime, from the DPA.

 

http://www.dpa.or.th/en/articles/view/who-is-protected

 

 

Pib, since we're all "natural persons not of Thai nationalities," any idea how the average farang accountholder can tell whether they have a "resident" Thai account that's subject to DPA protection vs. a "non-resident" account that's not???

 

 

[Pib]

24 minutes ago, TallGuyJohninBKK said:

 

Pib, since we're all "natural persons not of Thai nationalities," any idea how the average farang accountholder can tell whether they have a "resident" Thai account that's subject to DPA protection vs. a "non-resident" account that's not???

 

 

 

For a farang with a typical savings account I would see it as someone not legally in Thailand by not having the proper visa, extension of stay, entry permit, etc.   Basically not recognized/registered as an alien in Thailand.   But typically a Non Resident Baht Acct is a special acct setup for business/investment purposes for a foreign company.   And remember foreign currency deposit accts receive no deposit protection...if the deposit ain't in baht it ain't covered.

 

Quote

 

A “Non-Resident Baht Account” is a special type of deposit account denominated in Thai baht that is used solely for transactions as specified in the Exchange Control Act. A “Non-Resident” means:

1)  Corporations, institutions, funds, financial institutions or juristic persons located outside Thailand.
2)  Entities of foreign governments located outside Thailand.
3)  Branches and agents of domestic juristic persons located outside Thailand
4)  Natural persons not of Thai nationalities and not having alien identity or residence permits.

 

 

 

Quote

 

(1) Non-resident Baht Account for Securities (NRBS): The account may be debited or credited for the purpose of investment in securities and other financial instruments such as equity instruments, debt instruments, unit trusts, derivatives transactions traded on the Thailand Futures Exchange and the Agricultural Futures Exchange of Thailand.

 

(2) Non-resident Baht Account (NRBA): The account may be debited or credited for general purposes (i.e. other than investment in securities) such as trade, services, foreign direct investment, investment in immovable assets, and loans.

 

 

Edited October 19, 2020 by Pib

[TallGuyJohninBKK]

4 minutes ago, Pib said:

 

For a farang with a typical savings account I would see it as someone not legally in Thailand by not having the proper visa, extension of stay, entry permit, etc.   Basically not recognized/registered as an alien in Thailand.   But typically a Non Resident Baht Acct is a special acct setup for business/investment purposes for a foreign company.   And remember foreign currency deposit accts receive no deposit protection...if the deposit ain't in baht it ain't covered.

 

 

I thought we've talked in the past about there being some kind of account coding at the bank's end of things that distinguishes between a resident and a non-resident account??? Something the accountholder could check to confirm?

 

And that sometimes, folks who have opened accounts originally on things like tourist visas end up getting coded as non-resident accounts???

 

[Pib]

6 minutes ago, TallGuyJohninBKK said:

 

I thought we've talked in the past about there being some kind of account coding at the bank's end of things that distinguishes between a resident and a non-resident account??? Something the accountholder could check to confirm?

 

And that sometimes, folks who have opened accounts originally on things like tourist visas end up getting coded as non-resident accounts???

 

I think there is a difference between classified as a non-resident for interest earning purposes and having a NRBA. 

 

But yeap, I have seen various posts over the years where people were not earning interest when they should have been...like folks on long stay visas/extensions of stay like a retirement or marriage and usually whenever the person talked to their bank about it they were coded wrong. So if you have an acct where the bank's rates/fee schedule shows it's earning X-amount interest per year but you never receive any interest payment then it's time to talk to your bank about  "why not"....they may have you coded in their system as a non-resident.

[VBF]

15 hours ago, CANSIAM said:

Is Citibank considered 3rd world ??

I was referring to the Thai Banking system, not individual banks, who, when operating in Thailand, presumably conform to said system.

[VBF]

3 hours ago, Max69xl said:

You seem like a cheap charlie to me or you don't have any money to spend. Living alone in a shoe box and only have money for a beer and a hot dog per day is a bit sad imo. 

Think you might have missed the sarcasm there?

[VBF]

2 hours ago, TallGuyJohninBKK said:

 

The US FDIC deposit insurance is backed by the full faith and credit of the U.S. government, and has never failed to pay for a protected deposit during its entire history.

 

Similar to the UK scheme, however, in these troubled times, one should "never say never"!

 

Having said that, i think I have more faith in the UK scheme than I would the Thai one, partly as I have totally legal permanent right of abode in my home country, whereas in Thailand I would always be on some sort of visa extension. Not scaremongering but with the ever-changing rules in Thailand, who really knows? 

[TallGuyJohninBKK]

1 hour ago, VBF said:

Similar to the UK scheme, however, in these troubled times, one should "never say never"!

 

Having said that, i think I have more faith in the UK scheme than I would the Thai one, partly as I have totally legal permanent right of abode in my home country, whereas in Thailand I would always be on some sort of visa extension. Not scaremongering but with the ever-changing rules in Thailand, who really knows? 

 

I can't say for certain, since it predates my time here... But I believe I've heard reports from some old timers who were around for the 1997-1999 Asia Financial Meltdown in which some Thai banks failed (which led to the subsequent creation of the Thai DPA) that it took a very long time (multiple years) for foreigners to get their bank deposits restored by the government at that time.

 

AFAIK, the Thai DPA in the years since it was created (circa 2008) has never had any significant call on its resources. So how it would respond in such a situation seems to be pretty much an unknown. But I always fret a bit mulling how the DPA might actually treat foreigners, and what processes we'd be put thru, were the need ever to arise.

 

[fangless]

5 hours ago, Grumpy one said:

If I end up living like that, just  shoot me

I would not need to as you would be dead inside the month consuming only 1 bottle of beer and a hot dog per day,  

His post is a load of BS!

[KKr]

On 10/18/2020 at 1:57 PM, Pib said:

4)  Natural persons not of Thai nationalities and not having alien identity or residence permits.

So I gather that a pink-ID card is useful to have, or is proof of "alien identity" defined differently ?

A bank is usually only interested in the document used to open the account.

Edited October 19, 2020 by KKr

[Pib]

15 minutes ago, KKr said:

So I gather that a pink-ID card is useful to have, or is proof of "alien identity" defined differently ?

I expect they base it on your passport and associated visa/extension stamps, but I would think a Pink ID issued by the Thai govt pretty much confirms you are a resident (assuming the bank rep even knows what a Pink ID is...or a Yellow Book).

[KKr]

1 minute ago, Pib said:

(assuming the bank rep even knows what a Pink ID is...or a Yellow Book).

just for information:
the local Land office preferred the Thai government issued ID-card over my passport for a realty transaction.

[Chris.B]

On 10/18/2020 at 2:15 PM, Pib said:

And to increase your coverage it's best not to have all your money with only one bank like Bangkok Bank, Kaiskorn Bank, SCB, Krungsri Bank, etc. And having all your money in multiple branches of the same bank, like having money in Branch A and Branch B of Bangkok Bank, counts as having your money in only one bank....one institution.   

 

Since the max coverage is going to be Bt1M come 11 Aug 2021 if you are going to have more than Bt1M in your acct(s) you should consider splitting it among banks/institutions to increase your coverage.  Like keep Bt2M evenly split between two banks to have Bt2M coverage....three banks for Bt3M coverage....etc.

 

 

http://www.dpa.or.th/en/articles/view/protection-limit

 

 

I understand the Government Savings Bank has no limit on deposit account protection?

 

See here ... The Nation Thailand

 

[Pib]

2 hours ago, Chris.B said:

 

I understand the Government Savings Bank has no limit on deposit account protection?

 

See here ... The Nation Thailand

 

That Nation  weblink is to a Feb 2012 article...ancient history.  Plus where the article said they provide 100% protection I'm sure that didn't mean unlimited coverage...like even to a zillion baht....expect it just meant 100% coverage up to whatever limit the DPA coverage was 8 years ago as DPA coverage limits has changed over the years.

[Leaver]

On 10/19/2020 at 10:18 AM, Peterphuket said:

I learn my lessons after more than 20 years living in Thailand, and who was talking about gold in Thailand?

How many years, and how many baht, did it take you to learn your lesson?  ????

[Peterphuket]

1 hour ago, Leaver said:

How many years, and how many baht, did it take you to learn your lesson?  ????

When I come 20 years ago, 1 bath gold 5000thb, do I have to say more?

[Leaver]

6 minutes ago, Peterphuket said:

When I come 20 years ago, 1 bath gold 5000thb, do I have to say more?

There were many sick buffalos in Thailand 20 years ago. ???? 

[Chris.B]

On 10/23/2020 at 2:59 PM, Pib said:

That Nation  weblink is to a Feb 2012 article...ancient history.  Plus where the article said they provide 100% protection I'm sure that didn't mean unlimited coverage...like even to a zillion baht....expect it just meant 100% coverage up to whatever limit the DPA coverage was 8 years ago as DPA coverage limits has changed over the years.

You are probably right. I didn't notice the article was 2012! ????

 

However, could a government savings bank fail? Would Thailand allow that? Perhaps it safer then the private banks.