Seek permission for bank switching

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I want to seek the permission of MoTour (I’m not sure if it’s MoTour or Immigration Unit as I apply visa renewal at Immi Unit) to close my existing FD a/c which is on lien and transfer the FD to another bank.  Does anybody know how many days it will take for MoTour to issue the Letter of No Objection?

My understanding is that I can write to MoTour to request for bank switching at any time after I get the mm2h visa, for example, even on the same day of getting the visa.  Is it really so?

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hi, hwo,

This is a very interesting topic for me as I wish to do the same. I was going to email to MoTour and ask if it's possible and how to do it. This has been a "must do" for a couple of years and I've done nothing.

So now's a good time to get it resolved.

I haven't heard before of the "Letter of No-Objection." Did you get this from MoTour?

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I want to switch the mm2h FD to HSBC because it offers the same interest rate as locals, and also someone mentioned that it did monthly term (this is desirable as interest rate is on the rise).  My existing FD is with a local bank, it did 12-month term only, and at a rate nearly 0.4% lower than locals simply because I am a foreigner.

HSBC told me that I had to present a letter from MoTour before a FD for mm2h purpose could be placed with them.  I had a look at the sample letter from MoTour to HSBC.  The letter stated that MoTour received a request from someone with ppt no. xxxx to close the FD a/c no. xxxx of RMxxxx and wished to transfer the FD to another bank.  In this respect, MoTour raised no objection to the request.

So, I have to produce the above letter to my existing bank to uplift the FD, and then bring the letter to another bank to open a new FD.  These are the rough procedures, but I don’t know how many days it will take for MoTour to grant the approval.

Scott, why do you want to switch bank?  Is CIMB not good?  I haven’t decided which bank to go for and CIMB is under my consideration.

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hi, hwo,

My previous post was probably a bit misleading (done in a hurry) as I'm checking for a friend who wishes to move from Maybank to CIMB. I'm also interested to know in case I ever decide to move from CIMB.

I'm happy with CIMB. They have been much better on a number of items than Maybank. The CIMB internet banking is easy.

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I have some experience with Malaysian domestic banks. It's like most things in Malaysia. You can talk with them once you find the right person inside. Especially if you have more business to throw their way.

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I submitted a letter to MoTour at 23/F of PWTC to ask for permission to close the FD a/c with xxx Bank and transfer the FD to another bank of my choice.  The request listed a/c holder’s name, passport no., amount to be withdrawn and the FD a/c no.  No reason for the transfer was required, and no need to state which bank you intended to switch to.  You can raise your request at any time you want. 

I got MoTour's approval letter 3 working days later.  The original was under envelope, addressed to your current bank, and there was a copy for you.

I also asked some banks about mm2h FD.  My findings were :
RHB Bank : minimum tenure 1 yr & interest rate 2.25% for foreigners, i.e. mm2her.
United Overseas Bank : minimum tenure 1 yr & lower rate for foreigners.
HSBC : minimum tenure 1 yr & interest rate 2.6% .
CIMB : minimum tenure 1 month & interest rate 2.25%.  For 1yr term, 2.75%.

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hi, hwo,

Many thanks for the information.

On the bank interest side I thought that all banks now treated foreigners the same as Malaysians. I guess I am wrong on that one from the looks of RHB and UOB.

About 4 or 5 years ago the banks had a 2 tier system each with a different set of rates. The higher interest Tier 1 rates being for Malaysians, and the lower interest Tier 2 rates for foreigners and companies. Then it changed and I thought that all banks  had reverted to a single set of Tier 1 rates. Certainly the 2 banks that I'm familiar with , CIMB and Maybank, did so.

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I want to switch the mm2h FD to HSBC because it offers the same interest rate as locals

I am in two minds about MM2H.  One of the benefits I did see was opening a bank account in Malaysia however, my understanding was that you need to be a Malay citizen or holder of a MM2H visa.  I contacted HSBC here in Sydney and there reply was

Thank you for your recent email considering HSBC for your international
banking needs. My name is Kris and I will be assisting you with your
enquiry today.  Firstly, I sincerely apologise for the delay in
responding to your e-mail.

Although HSBC is a large international banking group, we do operate as
separate businesses in each country due to local rules and regulations.
This does mean that our accounts are not internationally linked, and are
unable to be transferred between countries.

In saying this however, there are a couple of options open to you to
complete an application for a local HSBC Malaysia account before you
leave Australia.

HSBC Bank Australia can assist you, through our International Banking
Centre, to apply for a HSBC Malaysia Account. However we do require that
you are a current HSBC Australia Deposit Account holder. If you are, or
if you choose to open an account with us, then you can also apply for
the HSBC Malaysia Account. The time frame is approximately 4 to 6 weeks
to open the overseas account, and an application fee of AUD$200 would
apply.

Some HSBC Australian account options can be found at the link below,
which I have attached for your perusal:
https://www.hsbc.com.au/1/2/personal/savings/best

If you do wish to contact the International Banking Centre, you can
reach them on 1300 131 623, between the hours of 8.30am and 5.00pm
Monday to Friday, to discuss further.  They can send you the forms
applicable and answer any specific questions you may have.

Please reply to this email if I can be of any further assistance, or you
can also call HSBC's Direct Sales Team, Monday to Friday between 8.00am
and 8.00pm (AEST) on 1300 308 021 or on +61 2 9005 8187 if calling from
overseas.

Kind regards,

Kris Rajaiyengar
Sales Consultant
Direct Sales
HSBC Bank Australia Ltd
www.hsbc.com.au


That seems to contradict my previous thinking.  Has anyone opened up a Malaysian bank account here without MM2H status?

Thanks

Bob

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Bob,

I opened a savings account with HSBC in Penang almost 12 months before I obtained my MM2H visa. (I was with HSBC in the UK.) I wanted to have money locally so that I could pay expenses connected with the purchase of my condo quickly and easily. I didn't have any problems.

Bill

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hi, spider,

I opened an account without mm2h. It was 6 years ago and maybe things have changed. I was in Malaysia at the time and simply told the bank officer that I was applying for mm2h. Maybe I was lucky.

HSBC's AUD$200 to assist in opening the account is a bit of a cheek. Must be Aussie humour.  I opened a UK HSBC account via the telephone from Malaysia. It took 20 minutes of mainly answering no to questions, and yes to saying that I understood what was being said. No application fee. 

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Hi Bob,

surely there is no problem to open an account with HSBC in Penang (whether MM2H or not) and it can be done within an hour. Don't use HSBC Australia if they really charge you AUD 200 - that's nuts!
If you don't want to carry a lot of cash with you, you open the account and use your online banking with your australian bank account to transfer whatever you need to the newly opened account with HSBC and that's it...
Can recommend you my relation manager at HSBC - very efficient and helpful!

Ciao

Udo

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Hi Bob,

surely there is no problem to open an account with HSBC in Penang (whether MM2H or not) and it can be done within an hour.
Can recommend you my relation manager at HSBC - very efficient and helpful!

Ciao

Udo

Thanks Udo, I will give it a go when I get there

Bob

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hi, spider,

HSBC's AUD$200 to assist in opening the account is a bit of a cheek. Must be Aussie humour. 

Yeah.  There is a lot of that humour around.  Especially, when it comes to business


Bob

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I opened an HSBC account in KL just prior to getting the MM2H, but it was associated with the FD.
I now have an HSBC Premier account and was able to use the MM2H FD as the collateral to enable the Premier account.
Premier account is very useful if one needs to transfer funds globally.

David

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I opened an account with CIMB last week in Penang. I gave them a (1) A copy of my passport, (2)A copy of my two year tenancy agreement, (3) A copy of my MM2H application receipt, (4) RM 1000 as a deposit, and signed 2 or 3 forms. This all took 25 minutes.
Next day I received an email requesting me to visit the branch and sign one more form. I did so, and the form I signed was a document stating that I did not have any other money in any other financial institution in Malaysia. I was then given my account number and told, "your account is now active."
As I was travelling back to Australia within the next few days and not returning for 5-6 weeks, then it would be best to request my cheque book on my return. It is the bank's routine to take 5 days for a cheque book to be supplied from KL and after one month, if not picked up at the branch it would be returned to KL.
So, I happily agreed, because I don't need to write any cheques until I return.

The other interesting point I would like to make is that when I wanted to transfer RM from Australia to Malaysia, my Aussie bank advised that Treasury had ceased the banks & forex from sending RM, but I could send AUD or USD and the foreighn exchange would be done by the receiving bank in Malaysia. This information was given to me in early February and so any funds I have transferred have been AUD or USD. The problem with that situation is that you never know if you are overpaying or underpaying someone because of the exchange rate on the day. Hence my need to open a Malaysian bank account.

Cheers & Beers, JAYDEE