Need to Support Stay in Malaysia

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hi,

Various agents' sites, and members on this site, have said that only 3 months worth of proof is needed.

The RM10,000 for 10 years was part of an email exchange with MoTour early last year. The emails were trying to establish how much extra cash MoTour (or rather Immigration) would accept as covering the "need to support stay in Malaysia" item.

RM10,000 per month x 12 months x 10 years = RM1.2M, so this was a "sure approve" figure. It's the top of the range of what's needed. The emails then tried to establish the bottom of the range, something more reasonable. This was established as RM500,000 for below 50, and RM350,000 for above 50.

Later, MoTour started to talk about the RM1M property criteria. Meanwhile, the RM10,000 income option became pretty much dead.

However, the RM10,000 figure came back to life as proof of support income in addition to the RM500,000 and RM350,000.

Since April 2006, all the changes have merely been playing with the same set of figures in a general tightening, and new configuration, to attract more affluent applicants.

regards, Scott

 

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Hi Scott

This RM 10,000 monthly income requirement is a bit confusing, to say the least.  My experience with it, is that they still require proof of a “monthly” income, and not just a lump sum to cover the 10 years.  When my case was discussed (by one of the agents) with the Ministry towards the end of last year, even though I could show I have money in excess of RM 1.2M, the Ministry said it was highly unlikely that I would receive approval as I couldn’t show monthly income of RM 10, 000.  I would have thought that having the money up front is much better than relying on a person to continue receiving RM 10,000 every month for the next 10 years.  Maybe they just think I may go wild some day and blow all my saving.

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hi, mo

Many thanks for the post, and yes, it is confusing.

I would have thought that a lump sum of RM1.2M pretty much covered it. Maybe Immigration have all got their calculators out and they are looking at interest on the capital sum rather than draw-down over the 10 year period.

Guess the "sure approve" figure of RM1.2M from last year is now deemed insufficient. All we can do is to try and track experiences and post on what seems to the current situation.

regards, Scott

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hi, mo

Many thanks for the post, and yes, it is confusing.

I would have thought that a lump sum of RM1.2M pretty much covered it. Maybe Immigration have all got their calculators out and they are looking at interest on the capital sum rather than draw-down over the 10 year period.

Guess the "sure approve" figure of RM1.2M from last year is now deemed insufficient. All we can do is to try and track experiences and post on what seems to the current situation.

regards, Scott

Yes! IT is confusing and I wonders what really is the criteria now for the MMSH program. At first it was RM$150k or Govt approved pension of RM$10k pm for the over 55 yrs and then it was RM$150k (plus $200k) proof of RM$10k pm income of 3 months of past bank statements and now we are in the RM $1million as a special for property owners and what is surprising is Mo's RM$1.2 being not enough. I wonder what kind of retirees have that kind of cash floating about!?!

Few months ago I recalled Malaysia was targeting 100k people to join the MM2H program within 3 years and the Govt was serious now I hear the 3000 as the figure being targeted. I am beginning to wonder if Malaysia is changing course and have modified its program for the very affluent ones and have reduced the target number and have vastly increased the financial criteria. Also the countries being targeted is limited and does not include China or India or Australia etc. It certainly seems that the $1m property buyers will be the main focus and could become the only target group given the confusion.

Perhaps the new rule will be RM$1m properties, RM$60k deposit and RM $10k pm!

We shall have to wait and see what transpires as the MM2H policies are forever changing from day to day.

I will give it to end of the year and then decide what happens. IF not that many takers then the policies could change again. 

cheers

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Hello raghu, scott and all.....  haven't contributed to this forum for a while but have been religiously reading it 'though!!

Like raghu, my husband and I (Retirees) have decided to put off processing our MM2H apps for the time being.  If you recall, we were all set to visit KL in January 2008 for a spot of house hunting - it is fortuitous that my godfather (no, not the Sicilian type of godfather  works as a part-time estate agent in KL/PJ.  We are sitting tight until the appearance of MoTOur's RM1+m property + FD.RM60k  regulation is confirmed.

Our anxiety is that after purchasing the RM1+m "bungalow" [as detached houses are called in Malaysia],  we still have to place RM150k into an FD.  It will make us so cross     Furthermore, we now need time to re-structure & consolidate our (UK) rental incomes to show the consecutive 3-months worth of RM10k Support-Stay proof nearer the application time.

MoTour's projected number of MM2H Approvals for 2008 will be in vain.... all this chopping and changing of requirements; same old MY bureaucratic-bumblings!!   We sincerely hope that those thinking of applying for the MM2H status will also sit tight; MoTour will react, if not in a knee-jerk fashion, when their figures creep to well below target.   

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Hello raghu, scott and all.....  haven't contributed to this forum for a while but have been religiously reading it 'though!!

Like raghu, my husband and I (Retirees) have decided to put off processing our MM2H apps for the time being.  If you recall, we were all set to visit KL in January 2008 for a spot of house hunting - it is fortuitous that my godfather (no, not the Sicilian type of godfather  works as a part-time estate agent in KL/PJ.  We are sitting tight until the appearance of MoTOur's RM1+m property + FD.RM60k  regulation is confirmed.

Our anxiety is that after purchasing the RM1+m "bungalow" [as detached houses are called in Malaysia],  we still have to place RM150k into an FD.  It will make us so cross     Furthermore, we now need time to re-structure & consolidate our (UK) rental incomes to show the consecutive 3-months worth of RM10k Support-Stay proof nearer the application time.

MoTour's projected number of MM2H Approvals for 2008 will be in vain.... all this chopping and changing of requirements; same old MY bureaucratic-bumblings!!   We sincerely hope that those thinking of applying for the MM2H status will also sit tight; MoTour will react, if not in a knee-jerk fashion, when their figures creep to well below target.   

Hi nks900

I think that the deposit for the RM$1m property purchasers is RM$60k. I am not sure if the RM$10k income test is required. Recently the MM2H program has claimed that they are fine tuning to seek more affluent retirees and their focus location is UK, Japan and Korea. Perhaps their logic is that if you buy a RM$1m house then your commitment is strong and you must be financially secured to live in Malaysia without the need to find work there. Also big spenders is good for their economy. However, I wonder how many will have that kind of cash to get a RM$1m second home in Malaysia and still retain a home in their homeland!

As for me I need to keep a home in Sydney and have a preferred retirement home in Penang around the range of RM$300k as I will hopping between both homes every six months or so. Besides that my aim is to use Malaysia as a base to visit neighbouring countries for short visits for at least a few years.

When I turn 65+ health insurance will be an issue. I note that some could provide cover until one turns 70. Given the circumstance it may mean I will have to return home for good!

The cost of gaining the MM2H and consideration of buying an expensive RM$1m home is not viable as cash flow reduces for retirees.

The easy option is to just rent and put a RM$1M in term deposit as security if that is an option. 

Malaysia is a beautiful country to retire to but there are other countries nearby which are also equally attractive. I will have to test them all before deciding what to do. 

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hi,

Many thanks for all the interesting observations. The RM1M property for MM2H isn't on the MoTour website. It was a comment by a MoTour minister that has yet to be implemented, if at all.

It may have been a premature policy decision, or an "off-the-cuff" suggestion.

regards, Scott

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In the past few months, MoTour have added to this "strengthening" the need to show 3 months worth of "support" income of at least RM10,000.

regards, Scott

Can I show my last 3 or 6 months pay slip as "support" income?

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Hi Smartcard,

Yes! (according to our agent, Joy-Stay).

My wife and I are in the process of gathering the required documentation for our MM2H application (over 50). We are both currently in jobs and our agent has advised us that 3 months worth of playslips will be fine, as long as the monthly income exceeds RM10,000, but the more the better.

We have also been advised that we need to show proof of at least RM500,000 as cash at bank through 3 months worth of bank statements. We have further been advised that this account should show some transactional movements as evidence that it is a 'live' account and not just set up for the purpose of the MM2H application.

I find this 'cash at bank' requirement ridiculous. Who in their right mind would have that kind of cash sitting in an everyday bank account when it could be invested elsewhere for much better return? However, the advice we've been given is that other assets such as properties and superannuation savings don't count for much. These WILL support your application, but CASH IS KING! 

Cheers
Poul

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Hi Poul

Are you finding all the paperwork that needs to be collected and the hassle's of moving money around just to show cash evidence putting you off the idea of a MM2H against a social pass

Cheers

JJ

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Hi JJ,

I find the process off-putting, but it hasn't put us of off (yet)  , but I can understand if many would be put off.  I don't have much of a problem with the amount of paperwork to be collected, that's not a big deal, but the 'Cash at Bank' criteria is a joke! If it wasn't because all my wife's family live in Malaysia, I think we'd be looking at an alternative destination with less stringent visa criteria.

We'll push ahead with the MM2H application, mainly for the sake of having the security of a 10 year, extendable visa and avoidance of 3-monthly trips to Singapore to get a new chop. If MM2H falls through we'll go there on the normal 3-month social visa.

I really do feel that the MM2H authorities need to add a level of sophistication to their assessment of MM2H applicants' wealth. Properties, shares, superannutaion funds etc are all easily converted to income streams to support your stay in Malaysia. Why put us through these hoops?  Blind Freddie can see that applicants will just shuffle funds into an appropriate account for the 3 months it takes to obtain the bank statements and then move the funds back where they were.

Cheers
Poul

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I don't think we can blame the MM2H authorities completely for trying to make things tough. It was EASY before and I'm sure there were some applicants who used 'innovative' tatics to get the visa.  Resulting in the authorities efforts to plug the loopholes and making life tough for genuine honest applicants.
One such earlier 'scam' I heard of was some applicants 'negotiated' with the officer and after depositing the FD and receiving the proof they some how were able to withdraw the full amount! 

If any of us can come up with a fool proof way, I'm sure MM2H authorities would be delighted to know. But, for now I think new applicants might just have to bear with the initial 'pain'....but what you do with that Rm500K afterwards is irrelevant to the authorities.
As Poul pointed out, applicants can still make the 500K cash account ALIVE for the required 3 months just to fulfill that requirement. I think besides looking at the amount they want to see the pattern of transactions in that account as that tells a lot about the account holder...just my guess.

(should I say "Trust Me ) it's worth it for the MRS' sake 

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Hi all,

The application process is definitely getting more difficult but I have been encouraged by the replies from Motour when I mail them a question. There is a lady called Cindy Lim who seems to give pretty straitforward replies to questions on the process. I would definitely recommend dropping her mail whenever a query arises.

You can get her on mm2home@gmail.com

Bob

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Hi All

We applied for MM2H in December and were approved in January.

We applied on the basis of the FD for over 50s of 150K RM 

Our agent told us that we would need to prove that we had savings (cash not assets) of approx £72K.  This could be building society, bank, ISA etc

Based on their previous dealings with Immigration, they said  "There is no clear cut figure on the financial strength but we  were told that if you have more than RM500,000 of GBP72,000, the chances  will be very very high"

We provided this proof and our application flew through with no problems. 

Hope this helps

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If I understand this correctly.  I can apply 1 year from when I want to actually move to Malaysia, while I am still working full time in the UK.

I then produce my 3 most recent pay slips and these will be sufficient proof even although when I eventually move to Malaysia I wont be receiving that amount of income.

If this understanding is correct it will save a lot of hassle re-arranging my investments etc.