Financial support proof means your ability to support yourself and support any family coming with you at the time of studying abroad. Nowadays, migration to Canada has become simple with the help of an experienced immigration consultant. The Canadian government has made new changes that will help a huge number of students. The Canadian government has announced the new immigration regulation for international students to make permanent residency procedures easier and Canadian migration for those students who prefer to study there. 

A bank balance is very important to support yourself to study in Canada. Currently, the bank certificate or the bank statement is the important way to show there is enough bank balance to support yourself when you go to foreign countries. Other acceptable forms of proof of funds, like GIC (Guaranteed Investment Certificate) from a participating Canadian financial institution, student proof or education loan from a bank, evidence of prepaid tuition fees and housing fees, a letter from spencers, or a letter from school or institution giving you money, are also important to support yourself to study in Canada.

2. Why Proof of Funds is Necessary for a Canada Study Visa

Proof of funds is a document that is decided by Canada's visa office. The candidates must provide proof of funds to the government of Canada to show that they have the stipulated amount to reside in Canada. The Canada student visa is a legal document that allows foreign students to study at the universities of Canada and colleges in Canada. It makes sure that you have adequate financial resources to cover your living expenses and tuition fees. This  canada study visa is also known as a study permit. It is important to provide authentic documentation for your source of funds. 

A study permit in Canada qualifies the foreign candidates to study at DLIs, “designated learning institutions” in Canada; these DLIs are issued by IRCC (Immigration, Refugees and Citizenship Canada). For international students, this Act is the gateway to access Canada's quality education system and research opportunities and is renowned for its excellent academic standards.

3. Minimum Bank Balance Requirement for a Canada Study Visa

In a year, CAD 20,635 per person is the minimum bank balance required for living costs in Canada for international students. This CAD 20,635 amount is authorized by the government of Canada to assure that the students can comfortably cover their accommodation, transportation, food, and other daily expenses at the time of studying. Showing sufficient financial proof is essential while applying for a Canadian student visa. 

For family members, the bank balance is CAD 27,635 per year, except for the tuition fees, and for additional family members, CAD 3000 per year, this is besides tuition fees. The specific amount of proof of funds may differ depending on your program duration and location. Various components are needed at the time of applying for a Canadian student visa. Those components are:

Personal bank statements with a consistent balance above the required amount for the past four to six months, 

A confirmation letter of education loans, 

A GIC (Guaranteed Investment Certificates Account) of CAD 10,000 from a Canadian bank, etc., 

Additional costs are also considered in the minimum balance requirement for a Canada study visa. Flights are another big cost when you need to cover the trip to Canada. You should also consider how regularly you want to travel between your hometown and university. Having an emergency fund will be a better idea in case of any issue. This emergency fund will also help you cover unexpected medical expenses, emergency purchases, and damages.

Before applying for a Canadian Study Permit Demonstration, possession of finances is very important; this includes living expenses, costs to cover tuition, costs to return, etc. The most common reason for rejection of many student visa requests by many international students is quite often lack of funds. On January 1, 2024, the IRCC revised the minimum bank balance for a Canada student visa for living costs to CAD 20,635 and a person from CAD 10,000.

4. How to Show Proof of Funds?

In Canada, the PR process proof of funds is very important, but at the beginning stage, it is not necessary. After receiving the ITA (Invitation To Apply) from the government of Canada, we must then submit proof of funds documents with other documents to be verified by the government. To show the proof of funds, provide evidence of a Canada bank account containing money in your name.

Provide the education bank loan proof, submit the guaranteed investment certificate (GIC) you can open a GIC account with a participating Canadian financial institution, provide the bank statement of the last four months, submit paid proof of house and tuition fees, provide a bank account that can be funded in Canadian dollars, and submit the letter from the person funding you or the institution. Provident funds, shares, bonds, gifts from parents, fixed deposits, and savings are some of the other ways to show proof of funds.

5. What If You Don’t Have the Required Bank Balance?

To apply for a Canada student visa, financial stability is very important. This factor determines the approval of your visa application. In case of insufficient funds, then it leads to a rejection of the visa, and it leads to putting your academic dreams on hold. The amount of funds may differ depending on the location, school, and program, but it is important to understand that a sufficient bank balance is necessary for the success of a visa application.

Some of the alternative ways to meet the requirement of a bank balance are continuous monitoring of a bank account through a mobile app or online banking, saving on your living expenses by reducing your costs like sharing accommodation, instead of eating out cooking meals, using public transport, regularly seeking scholarships, bursaries, or grants to get eligible, and planning to save a portion of funds as an emergency reserve. This can be used to cover unexpected expenses without falling under the minimum bank balance for a Canada student visa. The eligible sponsors, like parents, spouses, conjugal partners, guardians, and relatives, can sponsor the student for the Canada Student Visa.

Some institutions provide scholarships for international students to help to get rid of the financial burden of studying abroad. Meeting eligibility criteria is very important when applying for a scholarship. Scholarships can also help to cover living expenses in the area where you intend to apply. One thing to remember is scholarships may only last for one year, but you may register in a multi-year course of study. If you follow this, then you may be required to provide further evidence of financial support, or you may be subject to increased scrutiny.

6. Common Mistakes to Avoid When Showing Proof of Funds

Most of the applicants make mistakes while Showing Proof of Funds, those are:

Providing Insufficient Funds

One of the Main reasons for rejection of the proof of funds is not having sufficient funds in your Canada bank account. Ensure having adequate balance in your bank account. 

        2. Failing to Translate Documents 

Candidates' visa applications get rejected when they fail to translate documents into the required language or when they submit outdated documents. Hence, double check your details to avoid this issue. 

        3. Bulk Deposits 

Bulk deposits may also be a reason for visa application rejection. If you make bulk deposits, it can be the marker of trying to cheat the system. If you compulsorily want to make a bulk deposit, then it is advised to add an explanatory letter. In addition, try to provide alternative verification of finances or try to make the deposits four months or more than four months before applying. 

To get rid of this issue, the applicants are advised to check that your bank statements are up to date, covering all the last four months. Don’t forget to include the additional financial requirement.

When planning to bring family members in to meet the financial requirements, be sure to include proof of payment or receipts, as this can reduce the bank balance, which is needed to show a minimum balance for a Canada student visa. The minimum financial requirements of each family member should be CAD 20,635 per year by a single applicant and an additional amount of CAD 3,000 per year. Avoid simply showing the minimum bank balance for the Canada Student Visa at one point; you have to prove that you are having consistent financial capability over a period.

Conclusion

As already discussed, the candidates must provide proof of funds to the government of Canada. The minimum bank balance required for living costs in Canada for international students in a year is CAD 20,635 per person. Follow the above-discussed information and make proper financial planning for a smooth and successful visa application process.

It is advised to avoid mistakes like having a minimum bank balance, submitting ineligible documents like bank statements, student loans, and proof of scholarships, GICs, incomplete details of employment, and missing documents or erroneous data. Fulfill all the requirements and successfully apply and get a Canada study visa. Without any delay, prepare well in advance to get a Canada Study Visa, and prove to yourself that you can support yourself and any family members or dependents who go along with you during your time in Canada. All the very best for your studies in Canada.