Thailand currency guide: The Thai baht (THB)

Bustling cities, sandy beaches, and delicious food are just a few reasons to consider a trip to Thailand. Regardless of your reason, Thailand can be a great and affordable travel destination, especially for Americans.

Before you plan your trip, it’s a good idea to understand the Thailand currency, the baht. Read on to learn how to exchange your dollars for baht, details about using the currency, how to send money to Thailand, and more information about the baht.

Note: Before making travel plans, check the US Department of State website for the latest travel advisory information.

What is the currency in Thailand?

Thailand’s circulating currency is the Thai baht, which is denoted by the symbol “฿” and abbreviated as THB. Here are some important facts to know about the baht:

• Circulating banknote denominations: ฿20, ฿50, ฿100, ฿500, ฿1000
• Subdivision: Satangs (1 baht = 100 satangs)
• Circulating coin denominations: 25 satang, 50 satang, ฿1, ฿2, ฿5, ฿10
• Exchange rate: Floating

When you hold banknote currency from Thailand, you’ll notice it features the king of Thailand, the royal seal, and other national symbols. Meanwhile, the reverse side of each note depicts national and historical landmarks.

The Bank of Thailand (BOT) is the country’s central bank. It issues all coins and banknotes and manages the country’s currency policies.

History of the Thai baht

The Thai baht, though based on a centuries-old unit of weight for silver, emerged as the official Thai currency in 1897. This marked the transition to a decimal system, with one baht divided into 100 satangs. In 1902, the government further formalized the currency by adopting a gold standard, where 15 baht equaled one gold baht.

During the mid-20th century, the baht was pegged to the US dollar. Initially it was pegged at 20 THB to 1 USD and later adjusted to 25 THB to 1 USD. However, in 1997, amidst economic turmoil, the Thai government was forced to abandon the peg, leading to a sharp devaluation of the baht and triggering the broader Asian Financial Crisis.

The baht’s value plummeted, reaching a low of 56 baht to 1 dollar. The International Monetary Fund (IMF) intervened with a $20 billion relief package, helping Thailand stabilize its economy and currency. Since then, the baht has operated on a floating exchange rate and has gradually regained stability, becoming a key player in Southeast Asia’s economic landscape.

7 tips for exchanging US dollars to baht

Before you exchange USD for THB, consider these tips to help you get a better exchange rate, avoid getting scammed, and get the most out of your currency from Thailand.

1. Research and compare exchange rates

Not every money exchanger offers the same rate for Thai currency. It’s wise to compare rates offered by banks, exchange kiosks, online platforms, and other currency exchange services like Western Union.

Consider factors like exchange rates, fees, convenience, and security when deciding. Once you know the current rates and offerings from various providers—including Western Union’s competitive rates and transparent fee structure—you can confidently choose the best option for exchanging your dollars for Thai baht.

2. Notify your bank ahead of traveling

Your US bank is constantly monitoring your account for suspicious activity. Before traveling, it’s helpful to notify your bank so they don’t flag any activity abroad as fraud and potentially freeze your account. This will help when paying for goods and services using your bank card and attempting to convert to Thai currency.

3. Avoid exchanging money at airports, hotels, and tourist areas

Thailand is filled with tourist traps, and money exchangers in high-traffic areas can be at the top of the list. Avoid changing money in the Chang Mai or Bangkok tourist areas if you want a good exchange rate. In fact, avoid these areas with your cash altogether, or you could get scammed or pickpocketed.

You should also avoid airports and hotels when exchanging USD for Thai currency. While you likely won’t get scammed outright, you probably won’t receive a fair exchange rate for your money.

At Western Union, we offer competitive exchange rates and have several agent locations throughout Thailand, making finding a convenient spot to exchange your currency easier. Plus, you’ll have the added peace of mind of knowing you’re dealing with a trusted provider.

4. Consider commissions and fees

While you might be focused on your exchange rate for baht, don’t forget about commissions and fees. Transaction fees, processing fees, currency conversion fees, and commissions are some added costs you might encounter when exchanging your dollars for Thai currency.

It’s essential to choose a provider that’s transparent about its fees. For example, Western Union clearly outlines fees upfront, so you know exactly what you’ll pay. Before you agree to any currency exchange, request an itemized list of fees to understand what your transaction will cost and compare it to other providers.

5. Withdraw Thai currency instead of US dollars from ATMs

Be mindful when using ATMs in Thailand. You might incur an additional dynamic currency conversion (DCC) fee if you choose to be charged in US dollars. To avoid this and potentially get a better exchange rate, opt to be charged in Thai currency. This is one of the best ways to exchange currency because it enables your bank to handle the currency conversion, often resulting in lower fees and a more favorable exchange rate

6. Exchange money in Thailand instead of the US

Wait to exchange dollars for Thai currency until after you arrive in Thailand. Your US bank or financial institution may not have baht readily available to exchange, making it more difficult to complete your conversion at home.

Plus, when you arrive in Thailand, you’ll notice that exchange rates are likely better than in the US. It’s best to wait until you arrive in Thailand to start looking for currency exchange services like Western Union.

7. Use reputable exchanges

Unfortunately, money exchange scams are not uncommon in Thailand. Fraudsters may shortchange you or use deceptive exchange rates. To safeguard your money, it is crucial to use a reputable provider like Western Union.

With more than 100 agent locations across Thailand, Western Union offers convenient currency exchange services. Our app and online platform offer added convenience and security features, such as Touch ID, data encryption, transfer tracking, and compliance with industry standards like PCI DSS.

Using money in Thailand

Thailand’s currency operates similarly to most other currencies worldwide. But you’ll still want to know some details like tipping etiquette before you arrive in the country.

Can you use US dollars in Thailand?

Common tourist destinations in Thailand, like Bangkok and Phuket, are filled with expats using dollars to transact. Even so, it’s still better to use baht no matter where you are in Thailand. For one, you won’t have to worry about converting your currency at the time of transacting, which could leave you vulnerable to a poor exchange rate. Also, all Thai merchants must accept baht, whereas dollars may be limited to vendors willing to transact in foreign currency.

If you need to convert dollars to baht, you can find a Western Union agent in Thailand or use the Western Union® app.

Tipping etiquette in Thailand

Tipping is not expected in Thailand, although it may be appreciated in certain situations. Tipping bellhops, housekeepers, taxi drivers, and other service workers is nice. You can do so by rounding your bill up or leaving a small tip in baht. When eating at a restaurant or café, you may see a service charge added to your bill. This is used to pay workers. If you feel like you received great service, feel free to leave an additional tip of 10% on top of this charge.

Where to get Thai baht near me?

There’s no shortage of trustworthy places to get Thailand currency when you arrive in the country. Currency exchangers can often be found at:

• Reputable banks
• ATMs
• Currency exchange booths

Western Union can be a convenient option when looking for a currency exchange near you. Agent locations are found throughout Thailand and offer currency conversion services you can count on.