You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

May 15, 2019

Bank of Thailand Issues First Peer-to-Peer Lending Regulations

Subscribe to Updates

On April 29, 2019, the Bank of Thailand issued Notification 4/2562 Re: The Determination of Rules, Procedures, and Conditions for Peer-to-Peer (P2P) Lending Businesses and Platforms. The notification took effect the following day. 

The notification lays out a number of guidelines for P2P platform providers and P2P lenders. A P2P platform provider is defined as a person who provides an electronic system or network for P2P lending, while a lender is a natural person or juristic person who offers a loan through an electronic system or network (excluding crowdfunding providers). Key provisions are summarized below. 

P2P Platform Provider

A P2P platform provider must:

  • not be a financial institution (including banks, although subsidiaries of banks are permitted);
  • be a private company or public company incorporated in Thailand;
  • have paid-in capital of at least THB 5 million; and
  • have at least 75% of its total shares held by Thai citizens.

Directors of a platform provider must not have been involved in, or accused of, fraud or corruption; must not demonstrate a lack of qualifications or professional standards; and must be financially sound.

Custodians

  • A qualified custodian is required, as platform providers are prohibited from holding the money, property, and securities of lenders and borrowers themselves.
  • Custodians must either be authorized custodians under SEC regulations or authorized commercial banks (for escrow accounts) under BOT regulations.

Borrowers

Under this notification, borrowers must be natural persons who:

  • have the capability to incur debts;
  • are not P2P platform providers;
  • are not directors, authorized persons, or major shareholders of the provider; and,
  • have not already obtained personal loans from three lenders.

The notification also prescribes credit limits for loans. Loans for consumer purposes are limited based on the borrowers’ average monthly income as follows.

  • For borrowers whose average monthly income is below THB 30,000, the credit limit must not exceed 1.5 times their average monthly income.
  • For borrowers whose average monthly income is THB 30,000 or more, the credit limit must not exceed 5 times their average monthly income.

Borrowers can obtain loans for business purposes up to a maximum of THB 50 million.

Lenders

Unlike borrowers, lenders (who must not also be P2P platform providers) can be either natural or juristic persons. They must conduct client suitability assessments before providing loans to ensure adequate knowledge and understanding of each loan and the associated risks.

The notification also prescribes credit limits for providing loans as follows.

  • There is no limit for loans provided by institutional investors, private equity trusts, or venture capital businesses under the Securities and Exchanges Act.
  • All other lenders can provide loans that do not exceed THB 500,000 in a period of 12 months.

Interest

The interest rate for loans offered through a P2P lending platform must not exceed 15% per year, in accordance with the Civil and Commercial Code of Thailand. 

For more information on the notification, or on any aspect of the P2P lending business in Thailand, please contact our Bangkok office at [email protected] or +66 2056 5555.

Related Professionals

Industries

Technology

Practices

Banking and Finance

Location

RELATED INSIGHTS​ 

June 5, 2026
On May 11, 2026, Thailand’s Ministry of Social Development and Human Security released a draft Child Protection Act (“CPA”) for public review. The draft CPA would completely repeal and replace the current Child Protection Act B.E. 2546 (2003). This represents the most comprehensive overhaul of Thailand’s child protection framework in over two decades, reflecting the government’s stated objective of modernizing the law to address evolving social challenges—including those arising from digital technology—and to promote greater coordination among government agencies, local authorities, and civil society. The public review period closes on June 9, 2026. Key changes introduced by the draft CPA that could have significant implications for businesses, particularly online platform providers, media companies, and entities operating child-related services in Thailand, are set out below. Expanded Definition of “Child” Under the current CPA, a “child” is defined as a person under the age of 18, excluding those who have attained legal majority through marriage. The draft CPA removes the marriage exception entirely, broadening the scope of the law’s protections to include all individuals under 18 without exception. Replacement of “Abuse” with Broader Concept of “Violence” The current CPA uses the term “abuse/cruelty,” which covers acts causing harm to a child’s liberty, body, or mind; sexual offenses against children; and using children in harmful or immoral activities. The draft CPA replaces this with the broader concept of “violence,” which encompasses any act or omission causing harm to a child’s body, mind, or development; abandonment or neglect; improper exploitation; and sexual abuse. Notably, the new definition adds developmental harm as a recognized category of injury and captures all forms of misconduct regardless of the child’s consent. New Standalone Definition of Sexual Abuse, Including Online Conduct One of the most significant additions in the draft CPA is the introduction of a standalone definition
Read More
May 25, 2026
After several years of policy discussion and continued efforts led by the Ministry of Commerce (MOC) to relax the list of reserved businesses under the Foreign Business Act B.E. 2542 (1999) (FBA), the reform process has now reached a significant milestone. On May 12, 2026, the Thai cabinet approved in principle two draft subordinate legislative instruments aimed at delisting certain reserved business activities under the FBA and reducing licensing requirements for foreign business operators. These developments signal a renewed and concrete effort by the government to modernize Thailand’s business regulatory framework in order to attract foreign investment and boost Thailand’s competitiveness in the global market. Nine Businesses Set for FBA Delisting Below is a list of the nine businesses that are being targeted for delisting from the FBA’s restrictions. A draft ministerial regulation would delist the first eight reserved businesses, while a royal decree has been drafted to delist the ninth business: Telecommunications services (Type 1 license only, covering operators without their own telecommunications infrastructure), under the supervision of the Office of the National Broadcasting and Telecommunications Commission. Treasury center services subject to the Foreign Exchange Control Act B.E. 2485 and under the supervision of the Bank of Thailand. Securities-collateralized lending, pursuant to the laws governing securities and exchange and derivatives regulated by the Securities and Exchange Commission. Agency, dealer, advisory, or fund management services relating to derivatives where the underlying assets fall outside the scope of the Derivatives Act B.E. 2546 (2003) Intra-group shared services, including administrative, human resources, and IT functions Intra-group domestic debt guarantee services Leasing of partial space for installation of financial service machines and automatic vending machines for employee use Petroleum drilling services Trading of agricultural product derivatives through a futures exchange, with physical delivery or receipt of agricultural products at a futures exchange–designated
Read More
May 25, 2026
Thailand published new rules on May 1, 2026, establishing clear procedures for how the Anti-Money Laundering Office (AMLO) handles digital assets seized during criminal and money laundering investigations. Taking effect the following day, the Regulation of the Anti-Money Laundering Board on the Custody and Management of Seized or Frozen Assets (No. 3) B.E. 2569 applies to digital asset businesses, cryptocurrency holders, and anyone subject to asset seizure under Thailand’s anti-money laundering laws. For the first time, authorities now have a detailed roadmap for transferring seized digital property from private or foreign control into secure state custody. Digital asset businesses holding customer assets under investigation must be prepared to comply with these rules compelling repatriation of such assets in enforcement actions. Expanded Definition of Digital Assets The regulation defines digital assets to include not only those covered by Thailand’s existing digital asset business law but also any other property that can be stored using the same methods as digital assets. This broad formulation means the custody rules will apply to emerging blockchain-based assets and tokenized property that may not yet fall within the statutory definition of a digital asset business, giving authorities flexibility as the technology evolves. Mandatory Transfer to Domestic Custody When digital assets are held with service providers outside Thailand, AMLO will first attempt to transfer them to an account the office maintains with a licensed domestic digital asset business operator. If the domestic operator does not support that particular asset, the office will instead move the assets to its own cold wallet (offline, internet-isolated storage system). If neither option is feasible, the seizing official will report the situation to the Anti-Money Laundering Committee for alternative instructions. A similar hierarchy governs assets held in an accused party’s private wallet or by any third party that is not a
Read More
May 22, 2026
On May 8, 2026, the Thai government held a press conference to announce a coordinated, multiagency initiative to strengthen oversight and enforcement over products sold on online platforms. The initiative involves the Office of the Consumer Protection Board, the Thai Industrial Standards Institute, the Electronic Transactions Development Agency, the Thailand Consumers Council, the Consumer Protection Police Division, and major online platform operators. With this appointment, the government has signaled a deliberate shift from a predominantly reactive enforcement framework toward a more proactive regulatory and monitoring approach for online commerce and digital platform services. Legal and Regulatory Reform The government is accelerating a proposed Product Liability Law that would introduce new statutory frameworks for defective or substandard products, along with amendments to food safety and consumer protection legislation. The draft law has already been approved by the cabinet; the Council of State and relevant authorities will further draft the law and subsequently issue it for public hearings prior to enactment. Authorities also plan to expand enforcement measures against noncompliant businesses and distributors. In particular: The implementation of stricter “know your merchant” (KYM) identity verification requirements for online sellers. Expanded mandatory standards and regulatory oversight for high-risk products, such as power banks, electrical appliances, food products, and household goods. Increased monitoring of online product listings, and coordination with platform operators to remove unsafe, counterfeit, misleading, or otherwise noncompliant products. Additional monitoring and enforcement measures targeting online scams and illegal goods distributed through digital platforms, including e-cigarettes, which authorities identified as a growing concern due to increasing online distribution channels and potential health impact on young consumers. Strengthening Consumer Complaint Mechanisms The government announced increased cooperation with the Thailand Consumers Council and other agencies to facilitate complaint handling, market monitoring, and policy recommendations. Enhanced interagency coordination will aim to ensure that consumer
Read More