Financial Requirements for Studying in Canada in 2023-24

For international students planning to study in a Canadian high foundation in the academic year 2023-24, demonstrating adequate financial resources is crucial. As of this academic year, students must show proof of having a minimum of $25,000 in their bank accounts or in the accounts of their sponsors. Additional funds are required if you plan to bring a spouse or dependent children with you.

Canada has emerged as a premier destination for international students seeking quality education abroad. It not only offers top-notch education but also provides opportunities for students to remain in the country after graduation. To pursue studies in Canada, it’s imperative to prove that you have sufficient funds to cover tuition fees and living expenses.

Typically, if you’re enrolling in a Canadian post-secondary institution, the tuition fees for the first year alone can amount to as much as $15,000. Additionally, Immigration, Refugee, and Citizenship Canada (IRCC) mandates proof of approximately $10,000 for living expenses. This means that you’ll need to demonstrate a total of $25,000 to support your Canadian study permit application.

What is Proof of Funds or Proof of Sufficient Funds (POF)?

One of the primary prerequisites for obtaining a Canadian student visa is providing evidence of having sufficient funds or proof of financial capacity. As an international student, you must substantiate that you can cover not only tuition fees but also your daily expenses throughout your stay.

The educational institution you’ve applied to may also request proof of funds. Whether it’s the institution or the visa authorities, Proof of Funds refers to tangible evidence that you possess the financial means to afford your education in Canada.

Proof of Financial Support for International Students

Proof of sufficient funds or financial support can be demonstrated through various means, including:

• Evidence of a Canadian bank account in your name with transferred funds.
• Confirmation of an education or student loan from a financial institution.
• Bank account statements for the past six months.
• A bank draft.
• Proof of payment for tuition and accommodation fees.
• A letter from your sponsor or institution confirming financial support.
• Proof of funds received within Canada if you’re part of a Canadian-funded educational program or have received a scholarship.

Examples of Fund Requirements: How Much Money Do You Need to Show for a Canadian Student Visa?

To illustrate, let’s consider a couple of examples:

Example 1:

If you, as the student, along with two family members plan to study in a province outside Quebec for a year, you’ll require:

• Living expenses: $10,000 (for the student).
• Living expenses: $4,000 (for the first family member).
• Living expenses: $3,000 (for the second family member).
• Total: $17,000.

Example 2:

If you, as the student, along with two family members over the age of 18, intend to study in Quebec for a year, you’ll need:

• Living expenses: $11,000 (for the student).
• Living expenses: $5,100 (for the first family member).
• Living expenses: $5,125 (for the second family member).
• Total: $21,225.

Please note that if your home country enforces foreign-exchange controls, you must prove that you’ll have permission to export funds to cover all your expenses.

It’s essential to understand that a mere business letter demonstrating your sponsor’s income or a letter of support from your sponsor may not suffice as proof of funds for immigration officials. Bank statements showing a consistent balance and the source of your financial resources are among the most robust pieces of evidence when applying for a study permit in Canada.

Who Can Sponsor a Student in Canada?

Sponsors can include parents, relatives, or legal guardians. What’s crucial is the ability to substantiate that the funds stated in the sponsor’s letter are genuinely available through bank statements and that the sources of these funds are legitimate and traceable. Additionally, including evidence of your relationship with your sponsor is highly advisable.

Documents Accepted as Proof of Funds in 2022-23

Below is a list of financial documents that are widely accepted as proof of funds for Canadian study visa applications. Multiple documents may be combined to establish sufficient proof of funding, unless a specific account or deposit is requested by an IRCC Visa Officer.

1. Bank Account Statements

Consulates or universities may require submission of your bank account statements or those of your sponsors for a specified period. These statements should be in the account holder’s name.

The bank statements must be original, printed on the bank’s letterhead, duly stamped, and signed by the bank. They should clearly indicate the duration (usually six months’ bank statements) stipulated by the consulate or university.

2. Loan Approval / Disbursement Letter

Another viable proof of funds is a Loan Approval Letter. Obtaining this letter from the bank you applied for the loan should be relatively straightforward. While the format may vary among banks, the letter typically confirms the bank’s approval to loan you a specific amount for your overseas higher education.

The loan approval letter should be signed and stamped on the bank’s letterhead. It must specify the amount disbursed in the student’s name and the commitment to disburse the funds as specified.

3. Scholarship Letters

If you’ve been awarded a scholarship, scholarship letters can serve as proof of financial capacity. These letters are typically issued by the university, donor agencies, or foundations granting the scholarship. If you’ve received a governmental scholarship or grant, be sure to include a copy of it as well.

4. Loan Capability Certificate

A Loan Capability Certificate differs from a loan approval letter. If a financial institution or bank issues you a capability certificate, it signifies their willingness to grant you a loan should you gain admission to a foreign university.

The Loan Capability Certificate should clearly state your name, loan eligibility, the financial institution’s commitment to granting the loan, and should be duly signed and stamped on the bank’s letterhead.

These documents collectively demonstrate your financial capacity to pursue higher education in Canada and are instrumental in the study permit application process.