Starting September 1, 2025, Canada is introducing stricter financial requirements for international students. The amount of money you must show for living expenses is increasing to match the rising cost of living.
This update is part of the government’s plan to make sure all incoming students are financially ready for life in Canada, not just for school, but also for daily living and emergencies.
In this article, we explore the newly updated Canada proof of funds requirements. However, before we proceed to these new requirements, you need to understand what proof of funds is.
What is Proof of Funds?
Proof of funds simply means showing you have enough money to pay your tuition and live comfortably in Canada. This is the government’s way to make sure students are not struggling financially or working illegally to survive.
When applying for a Canadian study permit, you must prove that you (or your sponsor) can cover your first-year tuition, living costs, and return travel. This helps protect you from unexpected financial stress.
If you can not provide solid proof, your visa could be rejected. Which is why this step is just as important as your admission letter or English test scores.
Why Proof of Funds is Important for International Student
Many students underestimate how strict Immigration, Refugees and Citizenship Canada (IRCC) is with financial requirements. Insufficient proof of funds is one of the top reasons why study permit applications get refused.
Canada wants to be sure you would not depend on illegal work, overstay your visa, or become a financial burden. Showing proof helps build trust and shows you are ready for student life.
Being prepared financially also gives you peace of mind, so you can focus on your studies instead of worrying about rent or food.
Updated Requirements for Canada Proof of Funds In 2025
From September 1, 2025, Canada is increasing the minimum amount of money students need to show for living expenses, from CAD 20,635 to $22,895 for a single applicant. This change does not include tuition, just the cost of living.
The more family members you bring, the higher your financial proof must be. For example, if you are coming with a spouse and one child, you will need at least $35,040.
This update is part of Canada’s effort to make sure international students are truly prepared, both academically and financially, for life in a new country.
How Much Money Do You Need for a Canada Study Permit in 2025
The table below shows how much you need for the Canada proof of funds, based on the cost of living and the number of people it covers, according to Canada’s official website:
People Included in Your Application |
Required Funds (Per Year) |
|---|---|
| You (Student Only) | $22,895 |
| You + 1 family member | $28,502 |
| You + 2 family members | $35,040 |
| You + 3 family members | $42,543 |
| Additional Person | + $6,170 each |
To calculate your total proof of funds, add this amount to your first-year tuition and estimated travel costs. For example, if tuition is $15,000, your proof of funds should be CAD $37,895 minimum.
What if You Apply for Canada Study Permit before September 1st?
If you apply before September 1, 2025, you will still be assessed using the current lower requirement of $20,635 (for single applicants).
However, any application submitted on or after that date must meet the new requirement. So if you’re planning to start classes in Fall 2025, keep this deadline in mind.
These updates are tied to Canada’s Low-Income Cut-Off (LICO), which is reviewed annually to reflect inflation and rising living costs.
Required Documents for Canada Proof of Funds
To get your Canadian study permit (study visa) approved, you will need to show clear evidence that you can afford your tuition, living expenses, and travel costs. IRCC requires you to submit at least one of the following documents as proof:
- Receipt or confirmation that you have paid tuition and housing fees
- GIC (Guaranteed Investment Certificate) from a recognized Canadian bank
- Bank statements from the last 4 months
- Proof of an education loan from a recognized financial institution
- A bank draft in your name that can be converted to Canadian dollars
- A letter from a sponsor or school confirming financial support
- Proof of a Canadian bank account, if you have already transferred funds
- Scholarship or Canadian funding letter, if applicable
In the case of your program being more than one year long, you must show full payment for the first year, very compulsory and non-negotiable process.
Additional Supporting Documents You May Need
Depending on your situation, IRCC might also ask for extra documents to support your financial claims and personal background. These include:
- A Letter of Explanation describing your study plans, financial readiness, and awareness of student responsibilities
- A medical examination result, if required, based on your country
- A Custodianship Declaration (IMM 5646) for minors under 18 studying in Canada
If you are applying from a country other than your home country, you must also provide proof of legal status in that country. Some applicants may also need a re-entry permit issued by their passport country.
Additionally, if your country has foreign exchange restrictions, you must show proof that you are allowed to legally move money out to pay for your studies in Canada.
Also, keep in mind that every country has slightly different instructions. Make sure to check the IRCC website or your local visa office for region-specific requirements before applying.
Steps to Prepare Your Proof of Funds for Canada Study Permit
Preparing your proof of funds properly is key to getting your Canadian study permit approved. Here are simple steps that can help you stay organized and avoid common mistakes:
- Calculate Your Total Costs: Start by figuring out your total expenses, which include your first-year tuition, living costs ($22,895 in 2025), and travel funds. If you are bringing family, ensure you cover their living costs too.
- Gather All Financial Documents: Collect official documents like bank statements, GIC, loan letters, or scholarship proof. Make sure everything is recent (within the last 4–6 months) and clearly shows your name and available funds.
- Ensure all the Amounts Match: Double-check that all your documents add up to the total required. If your papers show different amounts, it may delay or affect your application.
- Translate If Needed: If any documents are not in English or French, get them translated by a certified translator. This step is essential for your documents to be accepted.
- Add a Cover Letter (Optional but Helpful): Write a brief explanation of your financial situation. Mention each supporting document and explain how you are funding your education. This helps the visa officer understand everything quickly.
For Nigerian Students Applying for Canada Study Permit Using SDS:
As a Nigerian applying through the Student Direct Stream (SDS), you will need to:
- Buy a $10,000 GIC from a recognized Canadian bank
- Pay your first-year tuition upfront
- Meet the IELTS requirement (minimum 6.0 in each band)
The SDS route offers faster processing, but only if you meet all the financial and academic requirements.
Conclusion
Your proof of funds is not just paperwork or any other documents; it is your way of showing Canada that you are financially ready to succeed as a student. When you apply for your Canada study permit, you are promising not to rely on government support, so your documents must be clear, complete, and convincing.
With the new financial rules kicking in on September 1, 2025, start planning your finances and gathering your documents early. If you are worried about covering your finances even after paying tuition and showing proof of funds, you do not need to panic.
