Last Updated        11/18/2005 20:10

Thai Bank Accounts: Foreigners will find it very easy to open a bank account. You will need to show your passport and a minimum of 500 baht is required for the initial deposit. Saving accounts can be opened by foreigners and a residency visa is not necessary. However, for a checking account one must be a resident with a proper visa in place.

Clearing of Foreign Checks: If you are depositing foreign checks into your account on a regular basis such as a retirement check - remember the time for clearing will vary from bank to bank. Some banks only take 2 weeks while other can take up to 3 months. It is always best to ask, each bank before opening up an account if timing is important.

Visa Electron:  When opening up a Thai Bank account you can ask for a Visa Electron. These cards are a cross between a visa card and an ATM/ Debit card, and generally can be used throughout the world. Funds will be deducted immediately from your account and a bill will not be issued. Banks typically charge between 150 – 200 baht to issue a card .

Internet Banking: Internet banking is widely available at many banks in Thailand. This is can be especially useful if you wish to do daily transfers. Many bills can be paid online, similar to many western countries once you have arranged this service with the bank.

Bringing your money into Thailand: Foreigners are allowed to bring money into Thailand and it will not be taxed as long as you have moved it prior to establishing residency. Money brought in afterwards will be taxed. Therefore, some early planning and budgeting maybe required to minimize your tax rate if you are planning to retire here.

If you are planning on purchasing a home in Thailand, using a Thai Company, you may wish to get a foreign exchange certificate from a Thai bank when you bring the purchase money into your Company. This could have a greater financial benefit to you rather than paying the builder or owner of the property directly. Using a foreign exchange certificate, if you wish to sell the home at a later date and take the purchase money out of Thailand, the amount you spent on the purchase of the home will not be taxable. To do this the money must be brought in as a foreign currency and then converted to Baht once inside Thailand. Likewise it must also be converted back to the original currency within Thailand before transferring the funds back to your home country. The banks will take about 2 weeks to process the paper work.

Direct Deposits: Many banks will accept direct deposits especially with retirement checks. However, it is important to verify this first with both the source of your retirement check and the Thai bank itself.

ATM’s: There are no shortage of ATM machines in Thailand. Many foreigners when living in Thailand keep their existing home country accounts in tact and draw funds from Thai ATM’s instead. If you wish to do this, be aware that you will need to give some thought to how you will be able to receive a new card, when your home bank issues it. This is not usually a problem if you make frequent trips to your home country.

Ensure you always have duplicate card just in case the magnetic strip fails or it is “eaten” by an ATM machine. Banks have been known to refuse to return the card when this happens. Obviously if your card is stolen, it will have to be replaced as a duplicate card won’t help you in this scenario.

ATM Limits: Bear in mind that ATM’s will have maximum daily limits on how much you can withdraw in a 24 hour period. If you have an ATM card that can also be used as a Visa, you can always withdraw whatever funds you like simply asking the bank to give you a cash withdrawal against on your card.

Credit Cards: Keeping a credit card from your home country is always a good idea. Although you wouldn’t want to use it too often in Thailand due to the high incidence of credit card theft. However, a credit card with a clear high limit can be very useful if you experience an emergency in Thailand. Especially with medical emergency, they can save valuable time. Local credit cards can be easily obtained from a Thai bank if you are a resident but require a secured deposit and make much more sense for using around town than the foreign cards with much higher credit limits.

Passports will be required when opening accounts, applying for credit cards, withdrawing large sums of money or anything other, than what would be considered routine transactions. Safety deposit boxes are available but often a 2 – 3 week waiting period is required, due to limited availability.

The exchange rate of the Baht towards other currencies floats and may change daily. The Thai baht is pegged to a number of currencies. However, since the pool is made up of about 80% US, the rate of the US Dollar has the most effect on the Baht. This tends to make the Thai Baht fairly stable in its exchange rate towards the US Dollar. So basically, if your country’s currency is doing well compared to the US dollar, likewise your money will go far in Thailand.

Money may be exchanged at commercial banks, at currency exchange services of these banks and at authorized money- changers. Rates vary slightly from bank to bank. Many hotels will also change money although their rates tend to not be as good as those at a bank or authorized money- changer. If you check around, you will find that some independent authorized money- changers may offer better rates than banks.

Foreign visitors are permitted to bring in the equivalent of $10,000 US Dollars. This could be in the form of foreign banknotes, money or coins. Any amount above this - must be declared upon arrival. Declaration forms are available at the immigration counters check points.

If you have not declared amounts exceeding 10,000 and attempt to take it out of Thailand, the excess may be confiscated and/or it could lead to your arrest.

Foreign visitors are allowed to open savings accounts. However, in order to open a checking account one must be a resident. Checks drawn on Thai Banks may be deposited into a savings account and are generally cleared within a day. However, allow up to 3 months for checks drawn on foreign banks.

Foreign currency accounts can be set up in most commercial banks in Thailand. There are no restrictions imposed by the government on maintenance or withdrawal as long as the funds have originated from abroad.

Thailand is very much a cash society, although the use of credit cards is available in most tourist areas. With the use of a credit card, the store merchant is charged a fee of 3 - 5% of the total purchase price. In western countries, this charge is absorbed by the retailer. Not so in Thailand, where this fee is passed along to the buyer for the convenience of using the card.

Restaurant tipping is not expected in Thailand, but is always appreciated. Most restaurants will charge a service fee, on the bill, which includes a standard 10% tip. With good service though, tipping can be increased and if you become a regular will bring you great service and welcoming smiles on future visits.

Bartering is a common practice in Thailand and expected with street merchants. Generally, street merchants will offer a 10 - 20% discount, simply by you asking for one. Greater discounts can be negotiated, but will take more time and effort. On rare occasions, bartering will be considered in department stores but usually tagged items will not be discounted very much if any. This usually depends if they are a small vendor, who has set up shop, within the store, such as a watch seller. Then they may or may not discount 5%. Tailors have an extremely high mark up and discounts can vary greatly so be sure you negotiate and check around the the best prices.

All bills and all coins have a picture of His Majesty the King, and therefore, should be treated with respect. This means, no tearing, crumbling or defacing of the bills and careful handling. The currency of Thailand is the “Baht”. One Baht is divisible into 100 Satang. The bills vary in size and color according to denominations. There is also still a 10-Baht bill in circulation, but these are quite rare. Converter click: http://www.thaifocus.com/forms/utilities/convertcur.mv

The standard 10-Baht coin is a silver ring with a brass center. The coin replaced a 10-Baht bill in the early 1990’s but you still run across bills from time to time.

The 5-Baht coin is slightly smaller than the 10-Baht piece. It is worth approx. 12.5 cents.

The 1- Baht coin is silver and slightly larger than a US cent. It is worth approx 2.5 cents.

The 50-Satang (half a Baht) coin is a small bras coin about the size of a US dime (1.2 cents).

The 25-Satang piece is a tiny brass coin. It’s value is less than an American penny. Both the 50 and the 25- Satang coins are rather uncommon. Tourists will rarely encounter these coins, since they are used in convenience stores.