Problems with Wise transfers to Bangkok Bank

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2lz2p
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Re: Problems with Wise transfers to Bangkok Bank

Post by 2lz2p »

I am well aware that allowing your US bank to convert dollars to baht before transferring funds will result in receiving a much lower exchange rate. Wise's exchange rate as well as that used by Bangkok bank if they convert the US dollars, are much more favorable.

One of my concerns in using Bangkok Bank NY Branch's service, since they are based in USA, is that they might also use an unfavorable rate if they convert it to baht (US$10 fee) which might make it better to have them do it in US dollars (US$55 fee) and get Bangkok Bank here in Thailand's exchange rate. Now that the transaction has been made, I was very pleased to find that Bangkok Bank NY uses an exchange rate that appears to be close if not the same one would get if funds were transferred in US dollars and converted by Bangkok Bank here.

The following were the exchange rate for 3 deposits to my account this month - one by Wise, one by Bangkok Bank here in Thailand, and the one by Bangkok Bank NY.

-- On 1 November I transferred money using Wise. The exchange rate was 33.335 - with a fee deducted of $17.99

-- On 8 November, Bangkok Bank here rec'd a US dollar transfer from my health insurance (reimbursement for a claim). The exchange rate Bangkok Bank used was 32.93 with a fee of 200 baht

-- On 11 November, Bangkok Bank NY converted my US dollar payment to them for transfer to my account here in baht. The exchange rate was 33.29 ($2,240 converted to 74,569.60 baht) and a fee of $10 & 200 baht

For me, the cost is is the fees charged by Wise or Bangkok Bank NY as they are the methods I will use to transfer my 65k+ monthly to Bangkok Bank and receive their FTT code, which gives me the proof I need for Immigration.

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Jun
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Re: Problems with Wise transfers to Bangkok Bank

Post by Jun »

2lz2p wrote:
Sun Nov 14, 2021 6:48 pm
For me, the cost is is the fees charged by Wise or Bangkok Bank NY
You're entitled to use whatever method you like for your own analysis.

However, please understand that if making a like for like comparison, most others will consider the cost to be the total cost, including sending bank fees, forex losses and receiving bank fees. No matter what it is called, it's still money we lose.

As an analogy, if considering only fees, the Bangkok gogo bars are terrific value, with no entry fee at all.

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Re: Problems with Wise transfers to Bangkok Bank

Post by 2lz2p »

Jun wrote:
Sun Nov 14, 2021 7:11 pm
2lz2p wrote:
Sun Nov 14, 2021 6:48 pm
For me, the cost is is the fees charged by Wise or Bangkok Bank NY
However, please understand that if making a like for like comparison, most others will consider the cost to be the total cost, including sending bank fees, forex losses and receiving bank fees. No matter what it is called, it's still money we lose.
Yes I am entitled to use whatever analysis I prefer. The only item that differs in my analysis approach and yours is so called "forex losses". I doubt that any such losses have a bearing on most individuals decision to use a particular service or that it actually involves a "loss" since most must choose a particular service available to them. Wikipedia has the following comment about the "forex market" (https://en.wikipedia.org/wiki/Foreign_exchange_market):

As mentioned, I am interested only in my out of pocket expenses for making the transfers I need to make and the difference in exchange rates by the services I will be using to make the transfer. Not in any any additional loss calculation comparing the exchange rate to an international exchange market rate which has no bearing on those out of pocket costs.

Thus, for me the costs are the bank fees and exchange rate differential between the service I have available to me. The cost for my first transfer using Bangkok Bank NY was 530 baht not 2,000 baht (I still don't know how you came up with that particular number as you did not show an example of how it was calculated). As to exchange rate differential, it appears to be slightly more favorable than that offered by Wise.

Contrary to your comment
most others will consider the cost to be the total cost, including sending bank fees, forex losses and receiving bank fees.
(emphasis added)

I expect that most will only be interested in considering the sending bank and receiving bank fees and the exchange rate differential between the the services they have available to them to make their transfer.

Further, my starting this thread was for those that are mostly concerned with getting the FTT code to prove the funds came from outside of Thailand. For others using the 800k method or able to get an Embassy certification letter to give Thai Immigration, it is a moot point.

They now, I believe, have sufficient information on our differing views as to what the cost will be if they choose to use Bangkok Bank NY. They are free to choose whatever method they want to calculate their cost and make their decision as it relates to their particular circumstance.

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Re: Problems with Wise transfers to Bangkok Bank

Post by 2lz2p »

This is an update to my original post that started this thread.

It appears that Wise finally got the picture after many complaints. The Thailand Wise Solutions Group on Facebook had the following (https://www.facebook.com/groups/TWSOL):
December 30, 2021
Just got this email from Wise…basically, it’s saying that do what you’ve always done, but this time it will work! Hopefully

How to get your to THB
transfer marked as
International Funds
Transfer:
1
Set transfer amount to THB and
add recipient details

2
Choose Kasikorn Bank or
Bangkok Bank Public Company in
the Recipient Bank details and
enter account number

3
On Transfer Purpose: Select
“Funds for long term stay in
Thailand” or “Purchase of
Property”

4
Review transfer details and
confirm

5

Select paying method and pay for
your transfer

6
You’re all set! Your transfer
I used the Long Stay Thailand to do 2 transfers this month. The 1st one on 1 January 2022 (weekend and the following Monday was a Thai Holiday) with arrival on the 4 January. The 2nd on 4 January with arrival on 5 January. Both were deposited to my Bangkok Bank account a little after 2pm and were noted as an International transfer (code FTT).

When setting them up, Wise initially indicated the transfers Wise indicated the transfer would be at 10am next day (1st one) and immediately (2nd one) which usually means it will not go to Bangkok Bank as their deposit time is a little after 2pm on the day to be deposited. However, when I confirmed the transfer, Wise showed I would receive them a little after 2pm on 4 Jan (1st transfer) and on 4 Jan (2nd transfer).

So it appears the information posted by the Wise Solutions Group member showing that Wise says using the "long Stay in Thailand" purpose when sending to a Bangkok Bank account will result in the transfer going to Bangkok Bank as the partner bank - likewise if you have a Kasikorn Bank account (I have heard that Kasikorn now records wise transfers in a manner that allow it to be identified as an International transfer, but this would need to be verified by someone that has an account with Kasikorn).

For me and others that use the 65k monthly transfer for renewing their retirement extensions at Thai Immigration, this is good news.

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Re: Problems with Wise transfers to Bangkok Bank

Post by Jun »

I have found Wise to be excellent. My most recent transfers took just minutes to complete, from money sitting in a UK bank to being in my Kasikorn bank.

Since Wise is run by the founder, if you do have problems worthy of complaint, e-mail the directors or the CEO. I've found this to be very effective with a UK bank and also a stockbroker, where both companies are led by the founder. Founders tend to be entrepreneurial and recognise that looking after customers is good for business. In both cases, the daft problem was fixed after I went over the head of the clowns in IT and pointed out the true nature of the problem to the directors.
Complaints to senior management at big old corporations that just hire management tend to be less effective.

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Re: Problems with Wise transfers to Bangkok Bank

Post by Gaybutton »

Jun wrote:
Wed Jan 05, 2022 3:06 pm
pointed out the true nature of the problem to the directors.
Do we get to know what the problem was?

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Re: Problems with Wise transfers to Bangkok Bank

Post by Jun »

Gaybutton wrote:
Wed Jan 05, 2022 3:19 pm
Do we get to know what the problem was?
That's off topic, but since you asked:

1 An app based UK bank was randomly sending me to the video security check that is supposed to be for new customers. The IT people told me to reinstall the app, which is not robust engineering. Predictably it didn't work and the problem came back. I e-mailed the CEO and she had them fix it.

2 A stockbroker had one of these idiotic website restyling exercises. As part of this their statement layout was nothing like standard and was completely unsuitable for downloading to Excel, as many investors do. Their IT people didn't see the problem. Their directors understood perfectly and had them fix the issue.

If a complaint has merit, contacting the directors or CEO of a founder managed company can be very worthwhile.

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Re: Problems with Wise transfers to Bangkok Bank

Post by billyhouston »

Wise have just posted the following notice:

"Due to regulatory changes in Thailand, transfers of 50,000 THB and above will only be available for Kasikorn Bank, Bangkok Bank and Siam Commercial Bank recipients. Effective on 7 January 2022, 1PM Bangkok time. Transfers under 50,000 THB remain unaffected for all supported recipient banks."

Note: Oxford comma removed from the above.

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Re: Problems with Wise transfers to Bangkok Bank

Post by Jun »

I'm a Kasikorn customer, so am not affected.

However, out of interest I checked costs.
To send 50,000 baht, the cost is 0.53%
To send 270,000 baht, the cost is 0.47%

Even if I were subject to this cap and had to make small transfers, I suspect Wise is the best solution.
I guess it's not quite so good for those sending 65,000 per month.

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Re: Problems with Wise transfers to Bangkok Bank

Post by Gaybutton »

billyhouston wrote:
Fri Jan 07, 2022 12:10 pm
Wise have just posted the following notice
I did not receive that notice. Everything I get via Wise goes into my Bangkok Bank account. I receive direct deposits. I don't know whether Wise makes a distinction between direct deposits and transfers. To me they are actually different things, which would mean this new rule would not apply to direct deposits.

Did they say why they are doing this?

"Oxford comma"? I had to look that one up. I had never heard that term and never knew there was a special term for the final comma.

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