Special Resident Retirement Visa

[MikeB]

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

[Guardian]

A friend of mine used to be a manager at that Bank and from her I came to the conclusion that a SRRV was a big rip-off. You do realise that the deposit - or what's left of it after commissions are paid - eventually becomes Government property, it is never returned to you or your heirs. These visas are not administered by BI but you will still be required to obtain an ACR-I card and report annually to BI. And of course, if you're an American citizen, you must make an annual declaration of that $10,000 account. If you've no pension or little in the way of a pension, the amount of your deposit increases to around $40 or $50 thousand.The Bank will pay interest on the deposit but it's one of the lowest, if not the lowest, rate available.Those that sell SRRVs to unsuspecting foreigners earn a huge commission, so it's in their interest to promote this where they can.I can think of better uses for my money than simply handing it on a plate to the Government, can't you?Mark

i know this reply is long past overdue, but for whatever it's worth, here goes...As to the commission, only PRA accredited marketers get it, since I'm not an accredited PRA marketer, I get 0 in that department...but still, as a bank employee,every PRA accountopened with me is a step closer to my bank deposit quota... So that's as far as ulterior motives go...But to shed some light on the matter, PRA depositors are not asked to pay the annual conversion & management fee...the banks that hold these deposits are the ones who pay for it, that is whyPRA interest deposit rates are lower than those of regular time deposits (those not under the PRA program) because banks quote rates that in the end, would still be profitable for them, net of the management and conversion fee. As of today, minimum PRA rate is at 1.25% compared to the regular time deposit rate of 2.25%, but still 1.25% is still higher compared to the 0.50% interest being paid out to regular savings accounts.So long as the PRA deposit is intact, the PRA member is only required to pay $10.00 a year for the renewal. However, PRA deposits are only required to be at the banks for 1 month, after the said period, the PRA member has the option to withdraw it and invest it in the PRA allowable investments (listed in the PRA website). If this is the case (PRA deposit no longer in the bank), the PRA member will then be required an additional $500.00 visitorial fee annually,but he is still entitled to all the privileges of the PRA program. However, he still has the option to put up the required deposit in the bank again to forego the annual $500.00 visitorial fee...And if you happen to have spouses who are former Filipino citizens, it would be cheaper if you have them apply as the principal member because former Filipino citizens are only required to put up $1,500.00 in the bank, the foreigner spouse can just be included as a "dependent" since each principal member are allowed up to 2 dependents.

I am not sure how to fix this so I will make my part all bold.This is all good information for us Mayen and please post more if you can. As I think Mikeb said, there seems to be so much false information and so man nay sayers who say, "I have a friend who says" know it all kind of people that getting information from someone who actually knows is very important. I will keep an eye on this thread. Thank you all.This post repaired by Mr. Lee, reason quotes appeared to be attributed to the wrong person. Edited November 10, 2009 by Mr. Lee
fixed quote

[mike]

BTW, there are many different types of deals available and it would be best to call her direct

A friend of mine used to be a manager at that Bank and from her I came to the conclusion that a SRRV was a big rip-off. You do realise that the deposit - or what's left of it after commissions are paid - eventually becomes Government property, it is never returned to you or your heirs. These visas are not administered by BI but you will still be required to obtain an ACR-I card and report annually to BI. And of course, if you're an American citizen, you must make an annual declaration of that $10,000 account. If you've no pension or little in the way of a pension, the amount of your deposit increases to around $40 or $50 thousand.The Bank will pay interest on the deposit but it's one of the lowest, if not the lowest, rate available.Those that sell SRRVs to unsuspecting foreigners earn a huge commission, so it's in their interest to promote this where they can.I can think of better uses for my money than simply handing it on a plate to the Government, can't you?Mark

Nice to see that there is now some accurate information coming through on the SRRV scheme.The PRA is very much aware that the scheme needs to improve especially when compared to neighbouring Asian countries whose schemes are in the main far more attractive and less onerous and costly.The interest rate differential highlighted is actually unlawful. the interest rates should be the same. This is why HSBC refused to join the scheme as it makes no business sense for them to do so. The banks who are in breach of the interest rate policy have already been identified and the PRA is threatening to sanction them.perssoanlyy I would not blame the banks for just following HSBC lead and saying no thanks we do not want to operate the scheme as it makes no sense to do so.I have just withdrawn 20, thou from the scheme so it is proof that you do get your money back!! I am now considering drawing down the rest and paying the 500$ annual fee.Mike Edited November 10, 2009 by Boss Man
somethings up to shit with quotes

[mayen0515]

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

If the PRA Visa holder no longer wishes to avail of said Visa (e.g. decides to go home or retire in another country) the PRA deposit can be withdrawn full plus the interest it had earned from the date of placement, but you would have to inform PRA of your plan to withdraw from the program at least 30 days before your scheduled departure or 30 days before you need the money so that they can issue the necessary clearances.If however, you decide to invest the money in any of the PRA approved investments (listed in their website), you still belong under the PRA SRRV program with all it's benefits and features but you would have to pay the $500.00 annual visitorial fee.If you would decide to quit the program, you withdraw the money for purposes other than the approved PRA investments, it will be taken as a complete non-inclusion in the program and your Visa will have to revert back to the tourist visa which you will have to renew from time to time...

[Gold Heart]

I happen to be an SRRV holder and one of Mayen's customers at the Bank of Commerce. I was surprised and delighted to see her posts here and for her to clarify the program. I talked to a number of other SRRV holders before pursuing this option and all of them -- like me are delighted. I can't tell you how well run the program is and the quality of service that Mayen delivers to SRRV clients at the bank. I visited most all of the banks to evaluate their offerings and services and was blown away by the support Mayen provides.The PRA office in Cebu at the Waterfront is equally supportive and efficient. This was one of the most efficient and well run government operations I've ever seen. To those who have opportunities to use this money for greater risk - return, this may not be for you. As a part of a broader portfolio or diversification this presents a great low - zero risk option. I chose this over the permanent resident - 13A. The processing time was fast and done to help me meet a deadline of returning to the US. I had to get my passport back in time for a business trip. Mayen and Henrick in the PRA office gave me personal updates on status. I'm free to come and go as I please and never have to worry about checking in annually or travel taxes. While other countries may offer better programs, that did not matter to me as the Philippines was my destination. It came down to which of the two methods for visa was best for me and this works well. I've been in and out of the Philippines regularly since arriving.I hope to be attending a special event hosted by the PRA tomorrow in Cebu. Because of the events in the Philippines this year with the floods and loss of life in the south, this is part of a charity event / loation as it was more of a social event in the past. Gold Heart

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

If the PRA Visa holder no longer wishes to avail of said Visa (e.g. decides to go home or retire in another country) the PRA deposit can be withdrawn full plus the interest it had earned from the date of placement, but you would have to inform PRA of your plan to withdraw from the program at least 30 days before your scheduled departure or 30 days before you need the money so that they can issue the necessary clearances.If however, you decide to invest the money in any of the PRA approved investments (listed in their website), you still belong under the PRA SRRV program with all it's benefits and features but you would have to pay the $500.00 annual visitorial fee.If you would decide to quit the program, you withdraw the money for purposes other than the approved PRA investments, it will be taken as a complete non-inclusion in the program and your Visa will have to revert back to the tourist visa which you will have to renew from time to time...

[MikeB]

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

If the PRA Visa holder no longer wishes to avail of said Visa (e.g. decides to go home or retire in another country) the PRA deposit can be withdrawn full plus the interest it had earned from the date of placement, but you would have to inform PRA of your plan to withdraw from the program at least 30 days before your scheduled departure or 30 days before you need the money so that they can issue the necessary clearances.If however, you decide to invest the money in any of the PRA approved investments (listed in their website), you still belong under the PRA SRRV program with all it's benefits and features but you would have to pay the $500.00 annual visitorial fee.If you would decide to quit the program, you withdraw the money for purposes other than the approved PRA investments, it will be taken as a complete non-inclusion in the program and your Visa will have to revert back to the tourist visa which you will have to renew from time to time...

Thanks again for this information and also the poster after who has personal experience with this visa. My remaining question is, why is the application fee so high? $1400 seems an exorbitant amont for an application processing fee (especially there), even with extensive background checks.Thank you

[mike]

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

If the PRA Visa holder no longer wishes to avail of said Visa (e.g. decides to go home or retire in another country) the PRA deposit can be withdrawn full plus the interest it had earned from the date of placement, but you would have to inform PRA of your plan to withdraw from the program at least 30 days before your scheduled departure or 30 days before you need the money so that they can issue the necessary clearances.If however, you decide to invest the money in any of the PRA approved investments (listed in their website), you still belong under the PRA SRRV program with all it's benefits and features but you would have to pay the $500.00 annual visitorial fee.If you would decide to quit the program, you withdraw the money for purposes other than the approved PRA investments, it will be taken as a complete non-inclusion in the program and your Visa will have to revert back to the tourist visa which you will have to renew from time to time...

Thanks again for this information and also the poster after who has personal experience with this visa. My remaining question is, why is the application fee so high? $1400 seems an exorbitant amont for an application processing fee (especially there), even with extensive background checks.Thank you

The PRA is a self funding agency and does not receive government funding. The initial benefit especially when I went through it was that they hand held me through all the many and there were at that time many processes to go through. That and assistance with work permits and driving license applications made it an inclusive package that for me was as hassle free as possible. Since then the process has been streamlined. I just did not want to spend my time running back and forward to the BI and with a business start up I did not want to be at the mercy of the BI who may or may not re new a Tourist visa etc.The new scheme is far better than the old scheme so I think that $1400 is well spent as it gives longer term security as a permanent resident, renewal is easier than dealing with Bi no pilgramages to the BI, now I do it by post cost $30 for three years and no visits etc.The scheme still has a long way to go before it is fully satisfactory, there are signs it is moving in the right direction.

[Gold Heart]

My observation is that this is to support the PRA itself. They do provide services to retirees which include meetings and special events. It takes money to maintain an office in the Waterfront hotel. I go to the gym in the Waterfront on occasion pop into their office. They provide support and assistance for any questions that I have. They have arrangements and discounts throughout Cebu including hotel discounts in the Waterfront and other hotels. This office has to be funded by these fees. The PRA staff are really good.Today, I attended a special event of the PRA in Gas Sa Guma here in Cebu. It is a home supported by nuns of Mother Teresa and volunteers for abandoned Elderly. The PRA provided donations which included stacks of at least 15 bags of rice, canned goods, and other products which looked to take up an area 10 ft long by four feet high. They provided gift bags, polo shirts, and a wrapped personal gift to each of the ederly there and the retiree guests handed out personally to all the elderly. They brought in 2 musical groups which performed music. They also brought in lunch for the residents and guests. The executives including General Aglipay of the PRA, other executives from Manila along with the local PRA office staff were there and gave speeches and two of the retirees spoke to the ederly guests on behalf of the retirees. I wanted to bring something to this event and provide a personal donation as an invited guest but was told not to. This was presented on our behalf of us by the PRA. This answers at least where some of the money goes.For more information this was the invitation I received:Dear Retirees and Partners:

Greetings from the Philippine Retirement Authority!

As we are nearing the last months of the year, we reflect on the victims of natural calamities which touched our hearts to reach out and help our fellow countrymen. It is precisely this call for help that unites people to put aside one

[MikeB]

My observation is that this is to support the PRA itself. They do provide services to retirees which include meetings and special events. It takes money to maintain an office in the Waterfront hotel. I go to the gym in the Waterfront on occasion pop into their office. They provide support and assistance for any questions that I have. They have arrangements and discounts throughout Cebu including hotel discounts in the Waterfront and other hotels. This office has to be funded by these fees. The PRA staff are really good.Today, I attended a special event of the PRA in Gas Sa Guma here in Cebu. It is a home supported by nuns of Mother Teresa and volunteers for abandoned Elderly. The PRA provided donations which included stacks of at least 15 bags of rice, canned goods, and other products which looked to take up an area 10 ft long by four feet high. They provided gift bags, polo shirts, and a wrapped personal gift to each of the ederly there and the retiree guests handed out personally to all the elderly. They brought in 2 musical groups which performed music. They also brought in lunch for the residents and guests. The executives including General Aglipay of the PRA, other executives from Manila along with the local PRA office staff were there and gave speeches and two of the retirees spoke to the ederly guests on behalf of the retirees. I wanted to bring something to this event and provide a personal donation as an invited guest but was told not to. This was presented on our behalf of us by the PRA. This answers at least where some of the money goes.For more information this was the invitation I received:Dear Retirees and Partners:

Greetings from the Philippine Retirement Authority!

As we are nearing the last months of the year, we reflect on the victims of natural calamities which touched our hearts to reach out and help our fellow countrymen. It is precisely this call for help that unites people to put aside one's needs in order to give to people who would need more.

Since Christmas is around the bend, we in the PRA have opted for a more simple yet meaning celebration with our retiree-members. Instead of the traditional Yuletide bash, we will be holding a simple get-together with our less fortunate brothers/sisters.

May we invite you to this unique Christmas experience which will surely give much joy to our indigent countrymen.

Below are the schedules, venues and person to coordinate with for the activities to be held in the different focal areas.

For further inquiries, please call the PRA Marketing Department at 848 -1412 to 16 or email at inquiry@pra.gov.ph.

Thank you and we look forward to seeing you.

Very truly yours,

GEN. EDGAR B. AGLIPAY

Chairman

By:

REYNALDO DL LINGAT, CSEE

Acting General Manager In previous years apparently, there was a social gathering for the retirees held at the Waterfront . This may now be the future for the Christmas gathering as this seemed to be well received.Similar events like this were held throughout the Philippines including Davao, Manila, Baguio, and Clark. The executive staff traveled around the Philippines to attend these events -- likely with funds from the retiree application fees.General Aglipay also announced their intent to create senior citizen retirement homes much like this free one but one that has a paid fee for foreigners. It was really kind of funny and odd as it was suggested as a good option for us as we become senile and incapacitated -- made me feel unconfortable they way this was presented. I'm hoping for my wife to wheel me around and feed me. The expecation is for 1/10 the cost of a US nursing home you get 10 X the care including a 2 to 1 service provider to resident ratio for 8000 pesos a month. It may be that these funds go towards investment in future services. Even in the free / volunteer center where this was held today, the facility was clean and the residents well cared for so this might be a marketable idea. Families can send their ederly off to the Philippines with confidence and visit them even less.I provided all of my own documentation for the SRRV visa. I had optained an FBI clearance in the US along with full medical documentation so the PRA did no provide any services in support of my application but I understand they do that. The FBI clearance was good for 30 days only after entry in the Philippines, otherwise I would have to obtain the NBI clearance and the PRA helps with that.The PRA guests were all delighted with the program. There were guests from the US, UK, Carribean, Korea and Japan. In the Cebu area most of the retirees come from Korea, Japan, Europe and the US - in that order. You have to consider that there is a bias as people like to feel they made the right decision.I hope this provides some answers on the US of the funds -- at least based on my personal observation.Gold Heart

Thanks again, Mayen. Just to clarify, the money can be withdrawn by the acct owner for any reason - but if withdrawn for other then a PRA-approved purchase (such as hardship) the SRRVisa is lost. That is my understanding. Appreciate your help because this option seems best for my situation. The application fee seems very high so I would like to know what it's used for. Thanks.

If the PRA Visa holder no longer wishes to avail of said Visa (e.g. decides to go home or retire in another country) the PRA deposit can be withdrawn full plus the interest it had earned from the date of placement, but you would have to inform PRA of your plan to withdraw from the program at least 30 days before your scheduled departure or 30 days before you need the money so that they can issue the necessary clearances.If however, you decide to invest the money in any of the PRA approved investments (listed in their website), you still belong under the PRA SRRV program with all it's benefits and features but you would have to pay the $500.00 annual visitorial fee.If you would decide to quit the program, you withdraw the money for purposes other than the approved PRA investments, it will be taken as a complete non-inclusion in the program and your Visa will have to revert back to the tourist visa which you will have to renew from time to time...

Thanks again for this information and also the poster after who has personal experience with this visa. My remaining question is, why is the application fee so high? $1400 seems an exorbitant amont for an application processing fee (especially there), even with extensive background checks.Thank you

The PRA is a self funding agency and does not receive government funding. The initial benefit especially when I went through it was that they hand held me through all the many and there were at that time many processes to go through. That and assistance with work permits and driving license applications made it an inclusive package that for me was as hassle free as possible. Since then the process has been streamlined. I just did not want to spend my time running back and forward to the BI and with a business start up I did not want to be at the mercy of the BI who may or may not re new a Tourist visa etc.The new scheme is far better than the old scheme so I think that $1400 is well spent as it gives longer term security as a permanent resident, renewal is easier than dealing with Bi no pilgramages to the BI, now I do it by post cost $30 for three years and no visits etc.The scheme still has a long way to go before it is fully satisfactory, there are signs it is moving in the right direction.

Interesting that they chose to call it a "scheme", that generally has a negative connotation. Hopefully, it is moving in the right direction and getting better. Who knows, maybe the application fee will go higher. That's generally what happens but hope not, seems like a lot of money for this. Thanks for the information.

[Mr Lee]

Interesting that they chose to call it a "scheme", that generally has a negative connotation. Hopefully, it is moving in the right direction and getting better. Who knows, maybe the application fee will go higher. That's generally what happens but hope not, seems like a lot of money for this. Thanks for the information.

Scheme is a word that is commonly used in the Philippines for many things such as most condo developers use scheme to tell you what ways you can pay for a condo unit and I have seen builders use the same thing when they offered different types of financing for tract homes. While many things are in English in the Philippines, they often use the words differently that American English. As for the SRRP, there are limited ways a single person can stay in the Philippines without all the hassles, so I guess they can charge more money for it and it does seem that the money goes to good use.