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MONEY AND ECONOMY
  
Let me save you money, There is no need to change any currency before arrival, there are ample moneychangers in Samui.The rate is far better than you would get from any bank at home.
When the exchange rate was 62 in Thailand, a UK "commission free" rate was only 55!, That's almost 4.5% profit or double Tesco's profit margin on turnover!
NOT commission free at all, I think the OFT should investigate these outrageous claims.
4.5% profit with NO STOCK must be a great business to be in! (£4.50 profit per £100 changed!)
Important, it is NOT possible to change Scottish or Northern Irish banknotes anywhere.
For UK visitors, an ATM is a Cashpoint machine
DON'T change money in a hotel, the rate is FAR worse than even the worst money changer.
Credit cards are accepted in ATM machines, but as this is Thailand, don't expect 100% working machines. My advice used to be to only use an ATM only during banking hours, and then make sure it is either inside or near a bank, however, all new ATMs seem to be installed now - so this is not so much of an issue.
From experience, I can tell you it is diabolically inconvenient to track down the right branch of the right bank, if your card is "eaten" by the machine, it is much easier if this happens where you can simply walk up to the desk and get the machine opened on the spot. To be fair though, this is becoming less of an issue as more modern machines are installed and the standard of maintenance is higher.
My personal choice is to take cash with me, which I keep in one of the hotel security boxes or a room safe. Despite stories to the contrary, I have never had the slightest problem with security anywhere.
You can use a credit card for a cash advance at most bank operated money changers, and inside bank branches, but you need to take your passport with you.
Most ATMs now accept debit cards and cheque cards with either the CIRRUS or MAESTRO symbol, these can be used for cash advances of up to 20,000 Baht per 24 hour period. This is usually the day as it is at home, GMT/UCT plus 7 hours. The cash advance fee is usually equal to the commission rate charged locally, so there is little or no extra cost involved if you don't change several small amounts.
ATMs used to close at about 22.00, but now they are all being replaced with new machines clearly marked 24 Hour ATM.
Travelers Cheques, these are not my choice as I have difficulty matching my own signature, and due to a high level of fraud in Thailand, the signatures are closely scrutinised.
All I can add to this is be sure you get some of your Thai currency, if not all, in 500 Baht notes rather than 1000 notes. Two reasons for this, you are more likely to be able to find traders and taxis with change for 500, and a scam by some staff is to only give you change for 500 when you give them 1000.
Credit Cards
All credit cards are widely accepted even for trivial amounts. I have never experienced any problems with my credit cards, and this is my preferred method of payment, in fact I have noticed several items that have never found their way onto my statement, but to be fair that was before the introduction of electronic processing.
All credit card companies warn against letting the card out of your sight, but normal procedure in Thailand is to let the waiter or shop assistant take the card to the cashier - far be it from me to second guess the issuing companies, but I have never experienced any fraud and I don't know of anyone who has. I have even dropped my gold MasterCard in the street, and no one attempted to use it! Basically, if you are unwilling to let your card out of your sight, don't bother using it.
Credit Card Loss in Thailand
If you lose your card it is vitally important to inform your issuing company straight away. With all the skill and judgement of a Home Office Forensic Scientist, the credit card companies put the "Lost or Stolen" telephone number on the back of the card, so when it's lost, so is the contact number!
Make a note of it somewhere, I suggest in the back of your passport.
In spite of what I have said previously, based on my own experiences, Thailand does suffer from a high level of fraud. MasterCard and Visa will not send replacement cards by post or courier. The exception being American Express who are well represented locally.
If you are relying on a card for your cash, make sure you have a back-up card account to use in the event of card loss or other difficulty.
Inflation
Inflation is really quite low, since 1986 I have noticed only minor price rises, even the Asian currency crisis of 1996/7 didn't leave a lasting effect on local pricing.
Up until the crisis, the Thai government had pegged the Baht exchange rate at 24 Baht per US$, after losing almost the entire country's gold reserves, they finally let it float and reach its natural level in March 1997. This has been very good news for us tourists and expatriates alike as, even now, we still have far greater buying power than before.
The UK£ was worth 34 Baht in 1986, during the currency crisis it reached 91.2, and then settled to around 60 Baht. Currently we are seeing another fall in the value of the Thai Baht with rates in the high 60s per UK£, peaking at 73 Baht in early 2004.
At the time of writing the rate is around 64 baht to the UK pound!
Inflation seems to be finally taking hold in 2006, I have noticed that bus fares have almost doubled since 2000, and property prices in Bangkok are getting out of hand.
The Thai Baht is divided into 100 Satang. 25 and 50 Satang coins are in circulation, but they are not in general use. The only place you will get Satang coins is in the change from a supermarket and possibly on a bus.
Current coins are 1, 5 and 10 Baht.
Banknotes are available in 10, 20, 50, 100, 500, and 1000 Baht, although 10 Baht notes have been all but phased out.
Click here for the latest exchange rates from Bangkok Bank
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