Money and payments in Thailand: a practical guide for Indian travellers

The currency you will use in Thailand is the Thai baht, written as THB. Carry a mix of payment methods: some baht in cash for small shops, street food and local markets, an international debit or credit card for hotels and larger restaurants, and a little money kept separately as a backup. Before you leave India, tell your bank you are travelling so your card is not blocked. And when a card machine asks which currency to charge you in, always choose baht, never rupees. This single habit can save you a surprising amount over a whole trip.

Know the local currency: the Thai baht

The baht is the only currency you can spend reliably in Thailand. Shops, restaurants, taxis, markets and most ticket counters price things in baht, and everyday sellers will usually expect baht, not Indian rupees or dollars. Small street stalls, food vendors, tuk-tuks and local ferries often deal only in cash, so keep enough baht on hand for a full day of exploring.

The baht comes in both notes and coins, and the coins are the ones you will reach for constantly. Small vendors, parking attendants, temple donation boxes and food stalls all run on coins and small notes. Carry a small coin purse separately from your main wallet so you are not digging through large notes for every small purchase.

Exchange some money before you fly or on arrival. Airport exchange counters are convenient but may not offer the most favourable rate, so it is worth comparing a couple of counters if you can. Exchange only what you need for the first day or two, then top up at authorised exchange outlets in cities and tourist areas as you go. Keep your exchange receipts somewhere safe: you may be asked for them if you want to change leftover baht back to rupees at the end of your trip.

Cash versus cards: carry both

Thailand works best when you carry both cash and a card. Cash covers the places cards cannot reach, while a card is safer and more convenient for bigger expenses such as hotel bills, department stores, supermarkets and mid-range or upscale restaurants.

• Keep baht in cash for street food, night markets, songthaews, tuk-tuks, temples and small local shops.
• Use an international debit or credit card for hotels, larger restaurants, malls, supermarkets and tour bookings.
• Keep a second card or a small emergency cash reserve in a separate place, so one lost item does not leave you stranded.
• Never carry all your money in one place when you are out for the day.

Do not rely on a single payment method. A card can fail, an ATM can be out of service, or a vendor may simply not accept cards. A mix of baht and one or two cards gives you a way to pay in almost every situation. When you draw cash from an ATM, take the whole amount in one go where possible, since repeated small withdrawals are less efficient.

Think about your day before you leave your hotel. If you are heading to the beach, a night market or a temple area, carry mostly cash. If you are heading to a mall, a sit-down restaurant or a tour office, your card will do most of the work. Matching your payment method to your plans means fewer surprises at the till.

Tell your bank before you travel

Indian banks sometimes block international transactions that look unusual. If you use your card in Thailand without informing your bank first, the bank may freeze it as a suspected fraud, and you could be left without a working card at the wrong moment. This is one of the most common and most avoidable problems Indian travellers face abroad.

A few days before you fly, call your bank or use its official app or website to inform them of your travel dates and destination. While you are at it, confirm that international transactions on your card are switched on, and ask about any charges for overseas use so you are not surprised later. Also double-check that your card's expiry date falls well after your return date, and that you know your PIN, since many Thai card machines still ask for one.

If you use a second card from a different bank, repeat the process for that card too. It takes a few minutes and can save you hours of sorting things out from abroad.

Always pay in baht at card machines

When you pay by card in Thailand, the card machine or the shop assistant may offer you a choice: pay in baht or pay in Indian rupees. Always choose baht. Choosing rupees triggers what is called dynamic currency conversion, where the local bank converts the amount at its own rate, and that rate is usually less favourable than the one your own card network would give you on a baht charge.

The rule is simple: the price was quoted in baht, so let the charge go through in baht and let your own bank do the conversion. If a machine or staff member picks rupees for you without asking, politely ask them to change it to baht before you confirm the payment. Watch the screen as you tap or enter your PIN, and check that the amount shown is in baht and matches the bill you were given.

This habit matters everywhere, from a hotel front desk to a souvenir shop. The request can appear as 'pay in THB or INR', 'pay in home currency?' or as two side-by-side buttons on the machine. In every case, choosing baht puts the conversion in your own bank's hands rather than the local bank's.

Plan your money before booking

Knowing how you will pay in Thailand makes the trip smoother, but it is only one part of planning. Your hotel, transfers and included trips are typically paid in advance, while meals, shopping, tips and small transport are paid on the ground in baht. Budget for both so you are not caught short.

One example of how a Thailand trip can be structured: a 5-day, 4-night package covering 2 nights in Phuket and 2 nights in Krabi, with a Phi Phi Islands speedboat trip with lunch, a Krabi 4 Islands speedboat trip with lunch, and a Phuket city tour, priced at ₹28,199 per person, twin sharing, international flights not included for 4 nights, priced on 8 Oct 2026, valid through 7 Nov 2026. International flights, travel insurance, meals not listed in the inclusions, airport transfers not listed in the inclusions, and personal spending are not part of that package, so keep those costs, and your daily baht spending money, in mind separately.

Once you have your cards sorted, your bank informed, and a starting amount of baht in your wallet, you can relax and enjoy the trip. Handling money well in Thailand is mostly about a few small habits: keep a coin purse, carry a cash-and-card mix, and always press the baht button at the machine.