Canada study visa: Indians must show ₹14 lakh funds after 11% hike

(CANADA) Canada has raised the minimum money students must show to study in the country, with a new baseline of CAD 22,895 for living costs alone as of September 1, 2025. The updated proof of funds rule applies to all international students, including large cohorts from India. Officials say the change reflects higher living costs and aims to ensure students have enough money to live in Canada during their first year without relying on income from work.

For Indian applicants, the new amount equals about ₹14.12 lakh and represents an 11% increase—up CAD 2,260 from the previous CAD 20,635 threshold. The larger requirement covers only living expenses; it does not include tuition or travel, which must be shown separately.

IRCC has confirmed that the funds must be available without relying on work income in Canada, a rule visa officers have enforced more closely in recent years.

What the new rule requires

• A student must prove they can pay first-year living costs of at least CAD 22,895, plus:
  • First-year tuition (backed by receipts), and
  • Transportation to and from Canada.
• The living-cost figures are meant to be liquid and accessible funds — money in accounts that can be verified and moved if necessary.

• Applicants from countries with foreign exchange controls must show they can legally send the money abroad.

Visa officers commonly look for consistency between bank statements, deposits, loan disbursements, and receipts to confirm funds are real, available, and sufficient for the first year.

Policy changes overview (family thresholds)

Under the new schedule, the required funds are now set at:

• Single applicant: CAD 22,895 (~₹14.12 lakh)
• Applicant + 1 family member: CAD 28,502 (~₹17.58 lakh)
• Applicant + 2 family members: CAD 35,040 (~₹21.60 lakh)
• Applicant + 3 family members: CAD 42,543 (~₹26.22 lakh)
• Each additional family member: add CAD 6,170 (~₹3.80 lakh)

For a family of four, the new total is CAD 42,543, which is CAD 4,197 (about ₹2.58 lakh) more than before.

These increases took effect for all study permit applications filed on or after September 1, 2025. IRCC frames this as part of an annual check that keeps the living-cost benchmark tied to inflation and real prices for rent, food, and transport.

Note: Quebec sets its own financial rules. Applicants to Quebec must meet both provincial standards and IRCC’s federal baseline.

Practical budgeting and document tips

Students should budget carefully. Tuition varies widely by program and school, and this money is in addition to the CAD 22,895 living-cost floor.

Common ways families meet the requirement:
– Savings
– Education loans
– Guaranteed Investment Certificates (GICs)

Universities and education consultants recommend gathering proof early and presenting a clear paper trail showing where the money comes from and where it sits now.

Key points about documentation and money placement:
– Funds should be liquid and accessible (verifiable accounts).
– Sudden large deposits invite questions; maintain a consistent audit trail.
– If a sponsor is helping, provide a sponsor letter that explains relationship, amount, and source, backed by the sponsor’s financial records.
– Applicants must upload tuition payment receipts separately from living funds proof to avoid confusion.

IRCC-acceptable documents

IRCC lists the following as acceptable documents to help prove funds:
– Receipts for tuition and housing payments
– Guaranteed Investment Certificates (GICs)
– Bank statements for the last four months and bank balance letters
– Education loan approval letters from recognized banks
– Canadian bank account statements if money has been transferred
– Sponsor letters with the sponsor’s financial proofs
– Scholarship or financial aid letters
– Bank drafts in Canadian dollars in the applicant’s name

Each document should be clear and easy to verify. Officers often look for consistency across documents and may request additional information.

Impact on applicants

• The change may stretch budgets for some families, especially those planning to bring spouses or children.
• Indian students should plan for at least ₹14 lakh in liquid funds for living costs alone, outside tuition.
• Education loans remain common, but borrowers should confirm loans cover:
  1. First-year tuition
  2. The CAD 22,895 living-cost threshold
  3. Flights
• Scholarships and grants can count if letters clearly state the amount and purpose.

Visa officers want to see a student can start the program without pressure to work extra hours. A strong application file ties the money to the purpose of study, the program’s cost, and a realistic first-year living budget.

According to analysis by VisaVerge.com, recent refusals often cite unclear or weak financial documentation, even when total funds appear to meet the threshold. Strong, well-labeled documents can make a real difference.

Housing, timing, and presentation strategies

• Students may pay part of housing costs upfront (dorm or landlord receipts) and show those receipts with bank statements and GICs.
• Some families split funds across a GIC and savings account to cover day-to-day expenses.
• Maintain a clean audit trail — avoid transferring funds through multiple accounts at the last minute and avoid cash deposits that are hard to verify.
• Education agents and university advisers recommend compiling financial proofs as soon as an offer of admission arrives.

Remember: each additional family member adds CAD 6,170 to the total. Families can split funds across members, but the combined amount must meet the family-size threshold.

Application steps and official guidance

IRCC’s guidance suggests this order of operations for the financial section:

1. Calculate total funds needed: Add first-year tuition, CAD 22,895 for one student’s living costs (plus added amounts for family), and transportation costs.
2. Gather proofs: Bank statements, GIC certificates, tuition and housing receipts, loan letters, sponsor letters, and scholarship letters, as applicable.
3. Keep funds liquid: Use accounts that can be verified and moved if necessary.
4. Upload with your application: Present documents in an organized, clearly labeled set.
5. Be ready to explain sources: Officers may request more details or an interview.
6. Follow currency rules: If your country has foreign exchange limits, show you can send the funds abroad.

Applicants should rely on IRCC’s official source for rules and updates: Canada.ca – Study Permit Financial Support.

If you plan to study in Quebec, check the province’s immigration ministry (MIFI) page for its separate financial thresholds and ensure your file meets both standards.

Final takeaway

The timing of the change matters: files submitted on or after September 1, 2025 will be assessed against the new numbers. Students who prepared earlier with the old amount should review savings, GICs, and loan approvals and top up if needed.

IRCC’s update underscores a basic message: arrive with enough money to get through your first year. For most students, meeting that requirement means careful planning, early document gathering, and plain, verifiable proofs — steps that reduce processing delays and help students settle into life in Canada with fewer financial surprises.