We have been involved in retirement visa since 2004, at a time when internet was still at its infancy and only a few talked about retirement visa or staying abroad.
I want to set some records straight in this article and debunk some myths. Misinformation started when social media became powerful in spreading both real and fake information. Social media amplifies the situation regardless of whether the information is true or not. One person's bad experience may be taken as "widespread" when it was not. People on social media often do not think critically and accept what was posted, thus misleading others. Lately, with AI, bots have infested forums, chats and social media, amplifying and exacerbating even further the confusion of information/misinformation.
I am not a government apologist; if I am wrong, I'm wrong, and will stand corrected. However, we must put things in the proper context and evaluate events/things at a higher level, holistically.
Myth #1 – MM2H requirements always change.
Whenever I meet someone who makes that statement, I will ask him to name me a change to the MM2H requirement. I give myself a few minutes, and usually, it was, "I don't know, this is what people have been saying," I will reply to him: "So, you don't know what changed but you keep on saying it changes a lot". Another person, via email, said that it has changed a lot, and right now, they have increased the fixed deposit, asked you to buy a property and have a minimum stay requirement. That were three changes. I almost fell out of my chair. Those are the requirements for the new MM2H. It should be considered as "one change". The world has gone a little bonkers.
Did MM2H change? Yes, it did in 2006, 2022 and 2023. You can look at this link for the history of MM2H: https://www.alterdomus.com.my/history-of-mm2h. Alter Domus experienced these changes first hand.
Before 2006, when it was at the state level, the MM2H requirements varied with the time of day, the staff at the counter, and which Immigration office you were in. There were no uniform instructions from the headquarters, and each Immigration officer had different interpretations. There were no rules, and people just put the money in the bank and withdrew it the next day because the banks were not told what to do with “MM2H”.
When MM2H was formalized and centralized in 2006 by the Ministry of Tourism, it became more structured, and the requirements were fixed from 2006 until it was stopped in August 2020. The fixed deposit of RM150,000/RM300,000 did not change for 14 years. Withdrawal amount was fixed to RM50,000/RM150,000 instead of RM90,000/RM240,000; Application by pension method was removed sometime around 2010; Foreign spouses of Malaysians were not able to apply for only a short period; benefits like tax-free car purchase and import were removed due to fraud; rules on bringing in your maid were tightened as the maids who were brought in as maids were not maids to begin with.
The COVID-19 government stopped the MM2H and replaced it with the RM1m/RM40,000 eMM2H in 2022, which was hugely unpopular. We at Alter Domus knew this would be stopped once the new government was elected in November 2023. eMM2H was stopped sometime in October 2023, and the proposed new MM2H was announced in December 2023, nearly formalised in June 2024, and possibly finalised in November 2024.
So, did the MM2H requirements change? No, not a a lot. Tightening documentation requirements and abolishing benefits due to fraud were not changes to the requirements. It was still RM150,000/RM300,000 for fourteen years.
Let us assume MM2H requirements changed many times over the last two decades. Other countries change their policies all the time, but why is it causing so much consternation and surprise when it comes to MM2H?
"The Special Committee has clarified that the newly implemented MM2H framework and regulations will not be modified after changes to the political landscape or Cabinet reshuffles," he said.
Myth #2 – During COVID-19, MM2H Holders were not allowed to enter Malaysia.
The era of COVID-19 from 2020-2022 were the darkest day of humanity, and it brought out the other side that no one wants to talk about. All countries, probably other than those in the middle of Africa, acted the same scripted way. Thailand had a one-year retirement visa, so the participants were either in or out of the country, and it would probably expire anyway. The same goes for Indonesia; there were severe restrictions on travel. Malaysia has a 10-year MM2H, so its problems were different.
For the record, Malaysia shut its borders in March 2020. We managed to help our clients get into Malaysia in May 2020. It was difficult, as the rules were unclear, but from May 2020 until it was fully opened, we helped hundreds of our clients enter Malaysia. Those who wanted to enter Malaysia, we helped them, and we were 100% successful.
This was the classic case: "Don't know what to do; cannot get it done and blame the system or government". The system was known as MyTravelPass, an online system requesting foreigners to apply to enter Malaysia during lockdown. Those with valid reasons were allowed to enter. The applicant must upload information in images or PDFs (small file size). I was primarily successful even when applying for the first time on my client's behalf because I know how the system works. Go straight to the point, tell them why and be short, unambiguous and concise. Use simple English. I have a client who tried to use it and was rejected five times before she approached me for help. Instead of a brief write-up, she listed all the reasons in 4 pages; every page was fuzzy and blurry. If the officer who was in-charge of MyTravelPass approval did not know what you were writing, it is only expected that they will reject your application as they do not want to take the blame for allowing an infected person to come in. My application for her was approved the next day.
I have helped hundreds of clients who will vouch for me and were very happy with what I did for them. Malaysia was closed to all foreigners for only two months, from March to May 2020. If you don't know how to use the system, don't blame the system.
Myth #3: There is plenty of competition for MM2H.
Sorry. No competition. Thailand, Malaysia, Indonesia, Philippines, Malta, Portugal, Mexico, Costa Rica, Spain, etc, do not compete on the same playing field. They attract different crowds. Over the last twenty years of doing MM2H, we have realised that only a statistically insignificant number of people are ambivalent between countries.
Those who choose Mexico or Latin/South America like it because it is close to the USA. The same goes for Malta, Spain and Portugal, where their children or families are in northern Europe. Thailand and the Philippines tend to attract singles, while families prefer Malaysia.
Malaysia has a different lifestyle and quality of life than other Southeast Asian countries. This is not disputed in any metrics used. People waited for a long time for MM2H to open. Why would they not go to other countries if all retirement visas and quality of life were the same?
Myth #4: MM2H agents are dishonest; applicants should avoid them at all costs.
Yes, there are bad apples, but is it fair to use a giant brush and paint the broadest stroke for all agents? It takes two to tango—agents and participants who are not honest are causing hardship to everyone. They are the cause of complexity that hurts everyone. We are the middleman between the government and clients. We relieve stress for participants.
We do more than just MM2H visas. We helped clients by providing the advice even those not related to MM2H. We were there when our client or his/her spouse passed away. We share the same joy and sadness with our clients. We get invited to parties or dinners. We are humans, too.