Government Wants Your Money in Their Bank

[MrStretch]

Effective today, the Thai government has reduced the Deposit Protection Limit from 5 million baht to only 1 million baht, unless your money is in the Thai Government Bank, for which they will still gaurantee deposits up to 5 million.

Obviously the government is scrambling for money, hoping that this will force people to take their money out of private banks and put in the government's bank.

What this will do to the private banking sector remains to be seen.

Bangkok Bank posted this on their website today: 

"From August 11, 2021 Thai Baht Deposits are protected under the Deposit Protection Agency Act up to a maximum of one million baht per one depositor per financial institution.

More information available at Deposit Protection Agency website www.dpa.or.th"

Sounds like a scared group who overplayed their financial hand.

[Dancbmac]

Thanks for this update.  Would have been nice if Bangkok Bank sent us an email instead of just posting on their website.

[NCC1701A]

and to be clear, this change has been years in the making. 

it is not something that just happened. 

[billyburi]

Wow, I now comprehend, I was doing some work for a Swiss bod Monday and he was on about this. He owns 3 Pattaya Condo's, lives in a farang mansion and has a few bits in the bank. Worried was he...,I really couldn't reassure him as I have one of those diddly sqat accounts..... 

[Benroon]

Conspiracy abounds - I'm no fan of the govt far from it, but why would they want to take liabilities off other banks, and deposit schemes ARE liabilities, and take it on themselves, it makes no sense.

This would have arisen i would expect after a review of the banks liquidity positions. The UK do this every 3 months and order banks to tweak their cash in reserve as many sail too close to the wind. As Brits know, some have gone under causing the govt to bail them out with huge amounts of taxpayer cash - so regulation is needed to stop it happening. The same has probably happened here. 

However why worry, just keep it in western accounts and transfer over as and when you need it ?