Money and currency in Thailand

Whether you're here for a quick beach break or to live and work in Thailand longer term, the currency can be pretty baffling at first.

This article is a quick guide to what you can expect. You’ll find an overview of Thailand’s currency, banks and exchange options, including innovative non-bank choices like the Wise account which supports 40+ currencies for holding and exchange, making it easier than ever to avoid international fees when you spend overseas*.

What money do they use in Thailand?

So, what money do they use in Thailand? The official currency of Thailand is the baht and both coins and bills are used. Each baht can be divided into 100 satang.

Thai baht is the only legal currency in Thailand, and it’s not usually possible to spend other currencies. If you see merchants offering to accept dollars, be wary.

A tourist site that accepts payments in dollars will likely have extremely poor exchange rates and you’ll end up paying much more than you would have if purchased with THB.

What are the Thai baht (THB) bills and coins?

We’ll start our introduction to money in Thailand with a quick overview of the bills and coins you’ll see in circulation when you’re in Thailand:

There are two different editions of banknotes currently in circulation in Thailand which look slightly different but are both legal. In both series, the Thai King is on the back of the bill, but one depicts him in military uniform and another in a traditional gown. Thai currency should be treated with respect because it bears the King’s image - who is held in very high regard.

If you have any doubts about the validity of the bills you have, you can check them against the images provided on the Bank of Thailand¹ website.

Wondering how much your USD are worth in THB?

Exchanging currency in Thailand

In general, you might find that the exchange rates available for THB will be better in Thailand than at home. Exchange services in Thailand tend to claim ‘zero commission’ - but make sure you can see the exchange rate being offered.

Usually, when services advertise a service without commission or fees, their profit is wrapped up in the exchange rate they offer.

To guard against surprise costs, it’s important that you understand the mid market rate. This is the rate that should be used as a benchmark to compare the rates offered to tourists. Find out what the current mid-market rate is by using a currency converter online - that will help you determine whether a deal is fair or not.

It’s also well worth noting that although there are currency exchange desks in international airports and hotels which make changing cash on arrival seem easy, exchange rates in these places are notoriously poor.

Instead, there will be ATMs available which allow you to withdraw some baht to tide you over - or pick one of the alternative ways to manage your money internationally, which we’ll look at in just a moment.

A final note of warning - currency exchange desks may refuse to change banknotes which are in any way damaged or defaced. Make sure that whatever cash you bring is crisp and clean.

Alternatives to exchanging USD to THB in Thailand

You can carry USD in your pocket when you leave home, and exchange it on arrival in Thailand - but this is not always the cheapest or most convenient option out there. Here are some alternatives.

Get a Wise account and card

Get a multi-currency Wise account and Wise card before you leave home, to spend and make withdrawals conveniently in Thailand and 150+ other countries. Wise personal accounts are free to open in the US, and there’s a one time fee to order your Wise card. There are no ongoing fees or minimum balance requirements, and it’s free to spend any currency you hold in your account.

Convert your funds in advance or leave your balance in USD and let the card make the conversion for you with the mid-market rate and low fees. You’ll get some free* ATM withdrawals every month, and all exchanges use the mid-market rate with no markup - keep in mind that Wise will not charge you for these withdrawals, but some additional charges may occur from independent ATM networks.

Using traveler's checks in Thailand

Generally Traveler’s Checks are pretty difficult to use these days. You may be able to exchange American Express® Traveller’s Checks in banks and currency exchange offices in Thailand, but you might struggle with any other type of Traveller’s Checks.

You can’t usually pay directly with the checks, and exchanging them comes with a fixed fee per check. If you choose to stick with Traveler’s Checks you might find that exchange rates aren’t very competitive - plus, you’ll only have a limited choice of places willing to make the exchange.

For greater ease, many travelers now prefer to use ATMs and credit or debit cards to finance their trip.

Using credit cards and debit cards in Thailand

All major credit and debit cards are accepted in large businesses, hotels and restaurants in Thailand. However, you might find that smaller stores and cafes don’t take cards, so carry some cash on you at all times.

Because some financial institutions will be suspicious of sudden card use in Thailand, you need to tell your bank you're going there before your trip. Otherwise, you might find your card is blocked by anti-fraud software - causing great inconvenience.

One thing to watch out for if you're spending on cards abroad, is something called DCC (Dynamic Currency Conversion).

DCC allows you to see the cost of the transaction in your home currency rather than in THB. Though it sounds much simpler, it’s not a great idea.

DCC leaves you exposed to poor exchange rates and hidden fees. Always choose to be charged in THB - the local currency to get the best available deal.

ATMs in Thailand

ATMs are plentiful in Thailand. Cash is the preferred method of payment for most Thai people, so using an ATM to make withdrawals can be a convenient option for travelers. Visa® and MasterCard® are very widely accepted, as is AmEx®.

If you use an ATM abroad you can assume that you'll be charged by both your home bank and the ATM operator. Ask your local bank before you leave what their fees are and if they have any arrangements with Thai banks to allow you to get access to services more cheaply.

Due to DCC (described in the previous section), you might be asked if you’d like to be charged for the ATM withdrawal in your home currency. The answer should always be no. In order to get the best deal, always select to be charged in local currency.

Banks in Thailand

Thailand has a good banking network, with their largest banking groups also operating beyond Thailand’s borders.

You may also ask your home bank if they work in partnership with any Thai banks. If they do, you might be able to use ATMs in their network for free (or at least reduced fees).

Here’s a look at some of the larger banks in Thailand to give you a feel of what to expect when you arrive there.

Major retail banks in Thailand

• Bangkok Bank®⁵
• Krung Thai Bank®⁶
• Kasikorn Bank®⁷
• Bank of Ayudhya (Krungsri)®⁸
• HSBC Thailand®⁹

Conclusion: money in Thailand

If you’re headed off to Thailand soon you can exchange your dollars in advance or on arrival. To get the best available deal for your spending preferences, plan in advance - and remember to check out the Wise account which supports 40+ currencies for holding and exchange, with mid-market rates and low fees when you spend overseas*.