Proving Rentista Income?

[Californian_Oh]

I'm finalizing the details for my residency and could use some help. (And, when completed, I'll post a detailed guide in case it helps others.)

I have the funds. I know most people prove that they have had ar$8000 incoming every month (and a CPA letter affirming it). But I cannot prove that, due to being a freelancer and getting paid mainly in cash (and also having low expenses, so unable to prove that I have spent that much regularly).

What I have done is sent us$26k to a family member and set up a system to prove that the money will be paid to me in us$2k/month, a triangle covering 3 bases:

1. Family member to me: promissory note from the family member to me legally binding them to deposit us$2k/month in my account
2. Family member to bank: letter from the family member to bank instructing the bank set up an account with us$26k and make monthly payments to my account of us$2k/month
3. Bank to me: Provide documentation that the account has been set up with $26k and automatic monthly deposits to me of $2k

My problem is that I lack a bank or CPA letter (though I have the financial documentation for the account paying to me). The bank and my CPA say they cannot write a letter due to their insurance companies considering it a guarantee.

Do I need a letter from the bank or CPA? Or should I be fine as is?


Many thanks for the help

 

[steveinbsas]

I'm afraid migraciones might not go for this...even if you have the promissory note notarized and get the Apostille. It may look too contrived and not really fit the definition of stable income from rents, investments with a financial institution, or an actual trust. If migraciones won't issue the visa rentista to someone with $26,000 on deposit in a regular bank account, I doubt they would consider the monthly payments based on money loaned to a family member with a promissory note as a stable source of investment income.

When I suggested setting up a "bank trust" in other threads I meant just that. Have you asked your bank if you can deposit the funds into a trust account at the bank from which they will transfer the equivalent of $8000 pesos per month into your regular account? A trust account might just provide the guarantee everyone is looking for and an officer at the bank could probably write a letter detailing the arrangement.

If the bank can do this they can also write a letter documenting the arrangement.

When you go back to the bank ask about certificates of deposit...of various duration. The first would obviously be a 30 day CD. You and the bank might be able to get a bit more creative from there (with half the funds in a one year CD, for example). In any case, a "trust account" with a number of CD's on deposit will undoubtedly impress migraciones (or the consulate) much more than a promissory note from a relative.

 

[Californian_Oh]

Thanks for the feedback, Steve. I originally looked into setting up a trust, but my estate lawyer said it would be overly complicated and expensive and instead recommended using a simple, but legally binding, promissory note.

The agreement with the bank mirrors that of a trust: the family member specified that the money be held in a restricted account with irrevocable payments to mine. And they are fulfilling that. However, now I'm having difficulty getting them to write a letter saying that they are fulfilling it (banks are really skiddish after the onslaught of regulation post-crisis).

But it sounds like having a formal letter from a bank (or CPA) is an important piece of documentation (in particular so immigraciones bureaucrats aren't confused by complicated financial statements).

Also, theoretically, wouldn't it be possible to have that money incoming for, say, 6 months, then apply the same way with a letter from CPA saying that it has been occurring (demonstrating a liklihood that it will continue, just like most people do with proving income)?

I'll give it a shot regardless. But if anyone has any input, I'd love to hear it.

 

[steveinbsas]

Perhaps you could "invest" in CD's that mature and are deposited into your account on a monthly basis?

At the least, the bank could verrify that you have the CDs...and that the funds will automatically deposited into your checking account at maturity (on a monthly basis)...and acknowledge that you can access the funds from ATMs in Argentina.

If you want to get creative (and "maximize" the return on your deposits) you could have CDs that mature in one year, six months, 90, 60, and 30 days...over the two year period.

I'm very doubtful about migraciones accepting a promisory note from a relative as proof of a stable income. If and when they see that you loaned them the money I think they will have a negative response.

If you are applying for your visa at a consulate I suggest you ask them...face to face.

Your relative may indeed be able to help. If you need someone to redeem the CDs and make the deposits,you can give them power of attorney to do just that...without a trust account.

 

[Californian_Oh]

Thanks for the brainstorming, Steve. I appreciate it.

I talked to banks about any sort of annuity I could purchase. But they said they started at five years. I feel foolish not looking more into CDs. It does look like I could do staggered CDs (1 month, 2 month, 3 month, etc.). I'll look into that. Thanks!

 

[Fettucini]

I'd be interested to know about this also.. Another question, once you get the rentista residency, how much of the US$2,000 per month goes to the Argentine government in tax? From what i've heard you pay income tax on this right?

 

[Fettucini]

A few friends have been hassled recently at the buquebus terminal by customs, well one custom in particular it seems, although havent heard about anyone getting told they cant come back to Argentina..
I did hear though about a friend of a friend from the states who recently got denied entry at ezeiza airport because of too many stamps in his passport - they put him on the next flight back home.