Secondary Market Government Bonds

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Key Benefits

Another option to invest in government saving bonds is on the secondary market with low risk and the opportunity to earn consistent returns. We offer a pre-maturity buying service to increase efficiency in managing your investment portfolio.

Options for investors

A full range of bond services on both the primary market and secondary market

High liquidity

Government saving bonds are highly liquid. They can also be used to manage your investment portfolio liquidity

Low risk

The risk is lower than other types of debt instruments as the issuers are the government, the Bank of Thailand or the state-owned enterprises

Invest

Price Board

Check bid/offer price of government saving bonds on the secondary market at Bangkok Bank website.

View price

Select “Investment” menu

Enter your 6-digit Mobile PIN or use Touch ID / Face ID / Fingerprint

Select “Discover bonds”

Select “Open an account”

Read the terms and conditions and select “Accept”

Read the Letter of Intent for Disclosure of Information, select “I agree" or “I do not agree“, then select “Confirm”

Provide consent for the use of Face data (PDPA)

Enter your personal information and select “Next”

Select a receiving/refund account and select "Next"

10.

Review the information and select "Next"

11.

Verify identity with facial recognition

12.

Once the transaction has been completed, you will receive a confirmation email.

Select “Investment” menu

Enter your 6-digit Mobile PIN or use Touch ID / Face ID / Fingerprint

Select “Government bonds”

The system will display bond cards available in the primary and secondary markets. When you select “Show all”, it will display all bonds in your account.

If you're interested in buying/selling other bonds, you can scroll down and select the banner to view the price table of secondary market bonds on the Bank's website

Select the bond you wish to purchase and select "Buy"

Read the terms and conditions and select “Accept”

Enter the number of investment units you wish to purchase and select "Next"

Review the transaction details and select “Confirm” within 60 seconds

10.

Once the transaction has been completed, you will receive an eSlip

Note: The purchased bonds will be credited to your bond account immediately after the transaction has been successfully completed

Select “Investment” menu

Enter your 6-digit Mobile PIN or use Touch ID / Face ID / Fingerprint

Select “Government bonds”

Select “My bonds”

If the Bank is buying bonds and you still have remaining units, the system will display a "Sell" button. Then, select "Sell"

Select “Sell”

Read the terms and conditions and select “Accept”

Enter the number of investment units you wish to sell and select "Next"

Review the transaction details and select “Confirm” within 60 seconds

10.

Once the transaction has been completed, you will receive a confirmation e-Slip.

Note:
You will receive money from selling bonds via the Bond Book method within 2 business days of the sale transaction (T+2)

Procedures for trading at Bank branches

Selling Scripless
Selling Scrip
Converting bonds
Ownership transfer

Other Information

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Taxation

Individual Investors

Interest income is subject to withholding tax of 15%.
Capital gain is subject to withholding tax of 15%.
For discount bond, return on discount is subject to withholding tax of 15%.

Juristic Entities

Interest income is subject to withholding tax of 1% and will be included in the calculation of net profit for the purpose of company income tax.
Return on discount is exempt from withholding tax but will be included in the calculation of net profit for the purpose of company income tax.
Capital gain is exempt from withholding tax but will be included in the calculation of net profit for the purpose of company income tax.

Investment Risks

Market Risk
The prices of debt securities move in the opposite direction to market interest rates. Therefore, when investors want to sell debt securities prior to maturity and the current market interest rate goes up, they may need to sell at lower prices than that in the market.

Credit Risk
Credit risk is the risk that a debt securities issuer is unable to repay principal and/or interest in a timely manner. This includes the risk that an issuer's credit rating is lowered while their debt security has not reached maturity. Government debt securities have very low credit risk, so their returns tend to be lower than those of corporate debt securities.

Fees

View details about fees/charges related to Secondary Market Government Saving Bonds

Notes

Investments carry risk. Investors are strongly advised to study the investment product, its characteristics (including returns), conditions and risks before making an investment decision. For more information, please call us at 1333 or 0 2645 5555.

FAQs

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1. Where can I buy or sell savings bonds with Bangkok Bank?

Customers selling savings bonds

Customers buying savings bonds.

Bangkok Bank Mobile Banking
At any Bangkok Bank branch nationwide, except micro branches

Bangkok Bank Mobile Banking

Transactions can be made between 8.30 a.m. - 4:00 p.m. on business days

2. What documents are required for buying or selling savings bonds with Bangkok Bank?

3. What verification evidence do I get if I buy/sell Savings Bonds via Bangkok Bank Mobile Banking?

You will receive an email confirmation and transaction slips recorded on your phone.You can also view it in your mobile banking transaction history .

4. Is it possible to sell Savings Bonds before maturity?

Yes, customers can sell Savings Bonds before maturity via Bangkok Bank Mobile Banking, or at Bangkok Bank branches.

5. Is it possible to sell Savings Bonds partially?

Yes, customers can sell Savings Bonds partially at a minimum of one unit (1,000 baht).

6. Do I have to pay for tax for investing in Savings Bonds? How to calculate for taxation?

Individual Investors

Interest income is subject to withholding tax of 15%.
Capital gain is subject to withholding tax of 15%. The bank uses the FIFO (First In, First Out) method to sell bonds when receives an order from the applicant. That is, bonds that were previously purchased, deposited, or transferred into a government bond account will be sold out first. The cost of the bond is amortized each time. It will be used to calculate the difference received from sales.

Juristic Entities

Interest income is subject to withholding tax of 1% and will be included in the calculation of net profit for the purpose of company income tax.
Return on discount is exempt from withholding tax but will be included in the calculation of net profit for the purpose of company income tax.
Capital gain is exempt from withholding tax but will be included in the calculation of net profit for the purpose of company income tax.

7. How can I get a withholding tax certificate?

Withholding tax certificate will be sent to your registered address via post.

8. When will I receive/pay money from selling/buying Savings Bonds?

Customers selling Savings Bonds

Customers buying Savings Bonds

Scripless Savings Bonds (Bond Book)

customers will receive the redemption money within two business days after the transaction date
(T+2)

customers have to pay money on the date of purchase (T+0)

Scrip Saving Bonds

If customers sell at a branch in metropolitan region, they will receive the redemption money within three business days after the transaction date(T+3)

If customers sell at a branch in the provincial region, they will receive the redemption money within five business days after the transaction date at the branch(T+5).

9. When the savings bond matures, how will the principal be redeemed?

The Bank of Thailand will transfer interest and principal into the deposit account of the owner on the date the savings bond matures. If the redemption date falls on a holiday as announced by the Bank of Thailand, it will be postponed to the next business day.

10. How will the bondholders receive interest?

The Bank of Thailand will transfer interest into the deposit account of the owner on the interest payment date. If the interest payment date falls on a holiday as announced by the Bank of Thailand, it will be postponed to the next business day .

11. If I buy scripless Savings Bonds, can I request for a scrip one?

Yes, with a fee for issuing scrip Savings Bonds. You can check the fees here.

12. If I did not buy Savings Bonds from Bangkok Bank, can I sell the bonds to Bangkok Bank?

In case of scripless Savings Bonds (Bond Book) bought from other banks, customers will need to convert scripless savings bonds into scrip form in order to sell it to Bangkok Bank.

13. Can a bond be transferred to another person?

Bonds can be transferred to another person. By contacting through Bangkok Bank branches ( except Micro branches ) on the business day and time of the branch, but not later than 4:00 p.m. , using the following documents:

Individual

Juristic Entities

Bond Book of the transferor and transferee
ID card of the transferor and transferee

Bond Book
Copy of certification from the Office of the Company's Partnership Registration, Ministry of Commerce, not more than 1 month old, or a letter of legal entity issued by a government agency.
A copy of the identification card of the authorized director of the juristic person.
Power of attorney to proceed with bond transfer (In case the committee member does not come in person)
meeting minutes

14. Can I appoint an authorized representative to sell Savings Bonds on behalf of myself at the branch?

Individual Investors

Customers cannot appoint an authorized representation to sell Savings Bonds.

Juristic Entities

Customers can change the name of the authorized representative(s) who is/are authorized to trade Savings Bonds with Bangkok Bank by contacting the branch where customers bought Savings Bonds for the first time.

15. How to transfer the ownership of Savings Bonds to descendants of bondholders who have passed away?

For scripless Savings Bonds, the executer or the administrator of the estate should contact the agent banks and request for estate administration.icro branches) and proceed to sell the Savings Bonds.

For scrip Savings Bonds, the executer or the administrator of the estate should contact the BOT and file a request for transferring the bonds ownership by presenting estate administration referring to the BOT terms and conditions. The documents required are as follows:

Court order
Citizen ID card of the executer or the administrator of the estate
Passbook of the executer or the administrator of the estate for receiving coupon and/or redemption money

After completing the ownership transferred process, the new bond owner can contact any bank branch (except micro branches) and proceed to sell the Savings Bonds.

Related Investment Options For You

Primary Market Government Bonds

Invest in government bonds issued for the first time in the market. The issuers include the government, the Bank of Thailand and state-owned enterprises. Investors can subscribe during the offering period set by the issuers.

Primary Market Corporate Debentures

Corporate debentures are long-term debt securities issued by private entities to raise capital. They offer higher returns than government bonds commensurable with their higher risk.