Digital Money -- when oh when will Thailand catch up?

[Marc308]

Just spent time in Europe (Portugal, Spain, France). During the 4 weeks of my stay, I paid nearly nothing in cash. Even the public toilets in France that charge 1 euro accept tap to pay options (including Apple Pay). I was amazed how few times I even had to drag out my credit card. 

Now, switch to Thailand, where "cash is (still) king" amazingly enough. What gives? Thailand has a really ubiquitous QR-based payment system (Prompt Pay) which is (still) unaccessible by foreigners (who do not have a Thai bank account). There have been a few initiatives, those from Kasitikorn Bank, for example, but all (?) the methods which exist still only can transact with "business" accounts and offer lousy exchange rates: So forget paying in street markets, with street vendors, or with people (therapists?) who often do have personal accounts but which you cannot pay. 

When is Thailand finally going to modernize its payment systems? India (UPI), GCash (in the Philippines), PromptPay (but only if you have a Thai bank account) are great systems which work well. Let's get with it. 

Politics: The GoT is intent on limiting VE stays to 30 days saying they want to cut down financial monkey business and money laundering. A far more effective way is to regularize cash flows. Or, as the Indians did a few years back, is to overnight change all 1,000 rupee notes to new ones. I wonder if the Thais might also try that approach with purple notes one day? 

[hank75]

I’m a bit confused by your post. I rarely carry cash in Bangkok and Pattaya, my tap to pay is accepted everywhere or at least the physical card. The exception is BTS and boys, and maybe small items at 7-11. I even pay by card in the bars. I never have more than 1000-2000 baht on my person at any time unless I’m travelling outside the major cities. 

[PeterRS]

I think Thailand may be somewhat different to some from other countries and using non cash. This country has stated that funds brought into the Thailand by foreign residents who stay for more than half a year will be taxed. (I realise this government statement was made almost two years ago and still there is no word about rates of taxation and whether or not tax will actually be liable - but I have one friend who has a large expensive apartment here who is making sure he is out of the country for half the year as any taxation levied here might cost him quite a lot.) All residents were advised to register with some group so that they would eventually appear on a list for taxation.

I live in Bangkok full time. I own my own apartment, have no overseas income apart from money from a very small pension and slightly larger savings pot, and have no intention of paying tax. We do not even know if pensions will be taxed although I understand residents of countries with reciprocal tax treaties may not incur Thai income tax.

However, I am taking no chances. Since I worked in Hong Kong for more than half my life, most of my cash is in a bank there and when I visit I take out enough to cover expenses for about three months. For major expenses I use my Hong Kong based credit card (even though that adds 3% or so to the cost, I reckon it will take Thai civil servants many years before they work out how these payments might be taxed.) 

Given the uncertainty about possible taxation, I object to using my Thai bank credit card even when using the subway or Starbucks since there will always be ways in which these amounts can be checked through pressure on the banks.