New finance rules from The Bank of Thailand are set to come into force, and companies offering new finance to non-Thai property buyers are likely to be affected.
The Bank of Thailand said the new ‘Market Conduct’ rules with have the aim of regulating the management of savings, credit and debit cards, as well as personal and real estate loans from financial institutions.
This, it said, is to maximise customer benefits.
Although not directly specified, these new rules will likely impact any Thailand-based companies that are offering any form of new finance to non-Thai property buyers. There are a few, and also a growing number of developers that are offering in-house finance schemes to prospective buyers.
Bank of Thailand Governor Veerathai Santiprabhob, (pictured), assured the public the new regulations will aim to underline fairness when managing financial transactions.
They will require executives to monitor the process closely, while demanding salespersons have a keen understanding of products before offering them to customers.
He believes that the new regulation will improve the quality of new finance products and services.
Under the new code, telemarketers must be able to answer where and how they’ve obtained the customers’ phone numbers, and the details of each product offered must be documented.
Those violating the code are subject to punishments which range from fines to being banned from the industry.
The new code also requires financial institutions to send information of their products to the Bank of Thailand to be examined.
The data will then be published on the BOT’s website as well as the Financial Customer Protection Center’s website,
The new ‘Market Conduct’ regulations are expected to be implemented within the next few weeks, according to the Public Relations Department of the Royal Thai Government.