Expats' Mutual Assistance Fund

[Markham]

Mr Tommy Hunt's plight in Cagayan De Oro is but the latest example of an Expat who has fallen on hard times here. All too often we read about Expats who, though no fault or omission, suddenly find themselves in dire straits and there's often nobody local whom they can call upon to provide assistance. On reading such gut-wrenching and heart-rendering stories, you may think as I do: "there by the Grace of God go I".The Embassies and Consulate will not provide financial assistance to their country's citizens but may agree to act as a conduit for funds once a donor is found in the person's home country; they may also agree to advance funds providing the stricken Expat can demonstrate an ability to repay, but this is rarer.I have in mind to establish a not-for-profit organisation which aims to provide interest-free loans or grants to such persons. Decisions as to whom to help would be made by a commitee of Expats who would be (elected) Board members of the Corporation (Philippine Law dictates that 3 Board members be Philippine citizens and these posts would be on a volunteer basis). By being able to act swiftly, it is hoped that this will remove the worry from those who are stricken and already find themselves in a highly stressul situation.And remember: none of us know, for sure, what may happen in the future. We may need the kind of help this organisation seeks to provide.So that I can gauge interest, please take the time to complete the Poll.Thank you!Mark

[Old55]

Good of you to take this on Mark. I've read of those who passed on leaving wife and childen with nothing. Very selfish and sad.I did not vote as I do not live in Philippines.

[ancienrocka]

I am 100% behind the idea Mark and as I have indicated to you in private,you can count on my support.Big things from little acorns grow.

[Markham]

I promised an update on progress once Holy Week was behind us.Today I spent an hour or so on the phone to a lawyer. His advice was free and should be viewed in that light. However, having also checked several Government websites, I find little reason to doubt his word.A Mutual Assistance fund is viewed as a "Foundation" and would be registered as a Non-Stock Corporation. However, the 60:40 rule, in favour of Filipinos, is strictly enforced by the Securities and Exchange Commission, just as it is for Stock Corporations (ie: those established for profit). For Non-Stock Corporations, there are two layers of "management": there is the Board of Directors - at least 3 of whom must be Filipinos - and the Board of Trustees. The Board of Directors is appointed annually by election from amongst the Board of Trustees and only Trustees are given voting rights. The three key positions of Chairman/President, Secretary and Treasurer are available only to Filipinos. The Board can include Foreigners provided the 60:40 ratio is maintained. That ratio must also be maintained for the non-Director members of the Board of Trustees.However, that's not quite all, unfortunately. The Filipino Trustees/Board Members must be fulltime residents of the Philippines and possess Tax Identification Numbers. Only foreigners who have residential status and possess ACR-I Cards, BoI and NBI Clearances are permitted to serve as Directors or Trustees. There may also be a requirement for foreigners to possess work permits, though this point remains a tad unclear.The Corporation must have a registered office which, I'm told, should not be a residential address (otherwise that residence will be taxed at a higher rate) and all applicable permits and licences must be obtained and kept up to date.Payments out have to be sanctioned by two Filipino Officers (one of whom is the Treasurer) - even if there is one or more non-Filipino Directors granted signing rights. As far as fund-raising is concerned, subscriptions and fund-raisers are fine - though the latter may require a DTI permit - but placing charity collection boxes in Expat-frequented bars, etc., is not.If the Fund were to require repayment of monies, then that's a whole new ball of wax. Suffice it to say, no foreigners could be involved in the management or running of it.Overall, this is not at all encouraging. Judging from various postings, the 60:40 rule is not one that would be acceptable to some (most?) members here.There are three alternatives:

1. Donate money on a regular basis to Daisy's Expats' Ladies Charities
2. Create a Charity registered and based outside the Philippines
3. Simply make donations on an ad-hoc basis

Thanks to everyone who expressed support and voted.Mark.

[ancienrocka]

Mark,When you started this you knew there would be hurdles to jump, this is simply the first!Don't give up! Let's put our heads together to find a solution to this problem. The ideais too good to just throw away.

[Jollygoodfellow]

I think most people are more comfortable to donate to what they personally believe is a worthy cause rather than a committee deciding where their donations go in the case of expats.This expat fund is a little bit different than a charity group giving to say homeless children or help for the blind. In my opinion its a fund to help people who should not be in a bad situation.There is no excuse for a foreigner to travel overseas without travel insurance,if they can not afford that then you have heard my stance,stay home.The idea of expats contributing on a regular basis I feel will decline as time go's by for various reasons such as change in financial circumstances,relocation etc.Everyone should have their own account of some kind for emergences whilst overseas,whether it be money in the bank,a credit card or insurance.Sorry to say but this little black duck will only be donating on a feel there is a need basis.

[Markham]

I think most people are more comfortable to donate to what they personally believe is a worthy cause rather than a committee deciding where their donations go in the case of expats.This expat fund is a little bit different than a charity group giving to say homeless children or help for the blind. In my opinion its a fund to help people who should not be in a bad situation.There is no excuse for a foreigner to travel overseas without travel insurance,if they can not afford that then you have heard my stance,stay home.The idea of expats contributing on a regular basis I feel will decline as time go's by for various reasons such as change in financial circumstances,relocation etc.Everyone should have their own account of some kind for emergences whilst overseas,whether it be money in the bank,a credit card or insurance.Sorry to say but this little black duck will only be donating on a feel there is a need basis.

Tom,Whilst you make some valid points, they are I suspect, from the viewpoint of an occasional traveller to the Philippines rather than from that of those who (choose to) live here on a full-time basis. Travel Insurance is only valid for a maximum of one year and your policy is void should your permanent residency cease to be in your home country. Also, please bear in mind, that here in the Philippines you must pay for treatment in advance, in cash and claims on your "foreign" insurance are made afterwards. Therefore even the most prepared traveller can find himself in need of emergency cash, should he be rushed to hospital.

[Jollygoodfellow]

I think most people are more comfortable to donate to what they personally believe is a worthy cause rather than a committee deciding where their donations go in the case of expats.This expat fund is a little bit different than a charity group giving to say homeless children or help for the blind. In my opinion its a fund to help people who should not be in a bad situation.There is no excuse for a foreigner to travel overseas without travel insurance,if they can not afford that then you have heard my stance,stay home.The idea of expats contributing on a regular basis I feel will decline as time go's by for various reasons such as change in financial circumstances,relocation etc.Everyone should have their own account of some kind for emergences whilst overseas,whether it be money in the bank,a credit card or insurance.Sorry to say but this little black duck will only be donating on a feel there is a need basis.

Tom,Whilst you make some valid points, they are I suspect, from the viewpoint of an occasional traveller to the Philippines rather than from that of those who (choose to) live here on a full-time basis. Travel Insurance is only valid for a maximum of one year and your policy is void should your permanent residency cease to be in your home country. Also, please bear in mind, that here in the Philippines you must pay for treatment in advance, in cash and claims on your "foreign" insurance are made afterwards. Therefore even the most prepared traveller can find himself in need of emergency cash, should he be rushed to hospital.

Thats exactly right,the traveler should be prepared with insurance and also cash available to withdraw or credit card just incase. I do recall that my last travel insurance advised to carry their 24 hour contact number,they are able to release emergency fund through western union or something and provide the hospital with a guarantee of payment by phone.I would dare say that in most cases the traveler is not alone in the Philippines so someone can withdraw the cash for him or access his bank account if he was not able to.The permanent resident should have some sort of insurance or a back up amount of cash and also should do the same as he would of in his own country and that is protect himself for the unknown.Maybe we should do a poll to see if permanent expats have only a monthly income to live on and no other reserves in the bank.If this is the case then they are playing with fire.

[Markham]

I would dare say that in most cases the traveler is not alone in the Philippines so someone can withdraw the cash for him or access his bank account if he was not able to.

Okay Tom, let's imagine that you and your wife come to the Philippines for a visit. Prior to leaving Oz, you've taken-out travel insurance with 1Cover for you and your wife and you've also transferred more than sufficient funds to a bank account here. In short, you've taken every reasonable step that a tourist should take.You and your wife are alone in your residence one night when it is invaded by an armed gang who pistol-whip you, steal your wallet and your wife's handbag together with your cellphones and jewellery. You are left unconscious on the floor bleeding from a head wound. Your wife manages to raise the alarm and you are taken to the hospital's A & E department ("Emergency Room" for Americans reading this). Doctors work on you to stabilise you and your wife is told that she must pay 10,000 Pesos for your treatment. She telephones the Australian Embassy seeking their assistance only to be told that, sorry, they can't assist financially.Now, wouldn't you consider that a local emergency fund for Expats and Visitors might be a good idea?Apologies for personalising this, but I needed to in order to make my point rather forceably.

The permanent resident should have some sort of insurance or a back up amount of cash and also should do the same as he would of in his own country and that is protect himself for the unknown.

Yes, maybe they should. Perhaps we are all too used to the safety-net provided by our respective Governments.Mark Edited April 14, 2009 by Markham

[Jollygoodfellow]

I would dare say that in most cases the traveler is not alone in the Philippines so someone can withdraw the cash for him or access his bank account if he was not able to.

Okay Tom, let's imagine that you and your wife come to the Philippines for a visit. Prior to leaving Oz, you've taken-out travel insurance with 1Cover for you and your wife and you've also transferred more than sufficient funds to a bank account here. In short, you've taken every reasonable step that a tourist should take.You and your wife are alone in your residence one night when it is invaded by an armed gang who pistol-whip you, steal your wallet and your wife's handbag together with your cellphones and jewellery. You are left unconscious on the floor bleeding from a head wound. Your wife manages to raise the alarm and you are taken to the hospital's A & E department ("Emergency Room" for Americans reading this). Doctors work on you to stabilise you and your wife is told that she must pay 10,000 Pesos for your treatment. She telephones the Australian Embassy seeking their assistance only to be told that, sorry, they can't assist financially.Now, wouldn't you consider that a local emergency fund for Expats and Visitors might be a good idea?Apologies for personalising this, but I needed to in order to make my point rather forceably.

The permanent resident should have some sort of insurance or a back up amount of cash and also should do the same as he would of in his own country and that is protect himself for the unknown.

Yes, maybe they should. Perhaps we are all too used to the safety-net provided by our respective Governments.Mark

I guess we can come up with hundreds of scenarios so I will try to answer this one,first off,almost everyone knows that an embassy wont help you so since this is my case I would be prepared otherwise.When I do travel to the Philippines I have a spare card through Travelex,like a debit card which I have separate from anything else,hidden in a suit case or hotel safe or where ever. So if everything else is stolen then I should still have the card to use at a ATM.I also keep several sets of phone numbers,copy of passport front page,license etc, again in different hidden places. If the above scenario was true my wife could access this and find a phone to call say my sister in Australia to send money.Now you say the cell was stolen but in your scenario the wife phones the embassy so I say she can find a way to phone others for help. If she borrowed a phone then it would be just the cost of a SMS to my sister to get her to call back.Anyway my main point is anyone either traveling overseas or living as an expat should take all the necessary steps to be protected in an emergency situation.It is all about being prepared for anything. :thumbsup: Other than the Thomas Hunt case,how many other cases has there been that an expat fund would have helped at the time?