TSD is the registrar of 444 companies responsible for sending dividend checks to stockholders. The Managing Director of the TSD, Mrs. Nongram Wongwanich, announced a new system, called "Media Clearing", that will make this process more convenient for shareholders.
When dividend payments are made, the Media Clearing system will enable TSD to deposit them directly into the shareholders' bank accounts. Not only will this be more convenient for shareholders, but they will also receive the dividend or interest immediately on the payment date.
"Shareholders will experience greater convenience and save time by not having to deposit the check(s) into their bank account themselves," Mrs. Nongram said. "In addition, they will not have to worry about the check being misplaced, damaged, or delayed. When a shareholder has moved and forgotten to inform TSD the new address, they may not have receive their check. But under the new system, that problem can be eliminated. Shareholders will receive a letter informing them that their dividend or interest has been deposited directly into their bank account(s) and be provided with a tax payment record. The charge to investors for using the Media Clearing service is ten baht per transaction."
TSD's Managing Director went on to say "Shareholders, especially in the provinces, will save by using Media Clearing. They will pay only ten baht instead of the current 20-50 baht charge for clearing checks outside of Bangkok. Moreover, their dividends will arrive immediately instead of having to wait five to seven days for the checks to clear." Currently, 85,000 shareholders use Media Clearing, but the TSD hopes that all of Thailand's 800,000 registered shareholders will take advantage of the service. To do this, the TSD has always tried to inform listed companies of the benefits that their shareholders will enjoy by using the Media Clearing system and encourage more of them to join the program. "At present, 90 of the TSD listed companies are eligible to join the Media Clearing program. Listed companies interested in becoming a member can obtain additional information from the TSD's website at www.tsd.co.th," the TSD Managing Director explained.
To subscribe to this service, retail investors can enroll simply by downloading the registration form from www.tsd.co.th or obtain a form from the TSD. Shareholders will also need a copy of their identification card or a copy of their house registration, as well as a copy of the their bank passbook. The documents need to be submitted to: Thailand Securities Depository (Thailand) Ltd., 62 Rachadapisek Rd., Klongtoey, Bangkok 10110
Alternatively, retail investors can submit the documents to the listed companies in which they hold shares.
Interested investors must apply at least five days before the listed company is required to close the shareholders register book and provide the TSD a name list of eligible dividend recipients. The Media Clearing system will not accommodate direct deposits over 500,000 baht. Each deposit is subject to a transaction fee of 10 baht, which will be deducted from the dividend payment or the interest received after taxes. Shareholders, either individual or retail investors, are only eligible for the Media Clearing service if their listed company joins the program.
Corporations wishing to use the service to pay their own shareholders can also participate. They will need to submit the form, along with a copy of a certification letter issued by the Commerce Ministry, which is not over a year old, a copy of the members' identification cards, and a copy of their bank passbook.
