How to show proof of funds for Canada Immigration

Proof of Funds (POF) for Express Entry | Canada Immigration

To immigrate to Canada permanently, you must show proof of funds by showing adequate settlement funds in the Express Entry Canada application process to demonstrate that you can settle comfortably in Canada. The amount of money that Canada requires can vary depending on the type of immigration program you are applying under and other factors, such as the number of dependents who will accompany you into Canada.

Why do I need proof of funds?

Proof of funds is required to demonstrate that you have sufficient funds to support yourself and your family when you come to Canada. The funds needed for immigration to Canada are called Settlement Funds.

You must demonstrate that they have enough funds so that you and your family can live in a suitable home and meet other basic needs for at least 12 months after arrival in Canada. This is to ensure that you will not become a burden on the Canadian taxpayer.

How much money do I need to show?

The amount of funds you must have will depend on which immigration program the application falls under.

The amount of money required for proof of funds differs depending on what type of program you are applying under and whether or not your spouse or common-law partner (if applicable) will be coming with you.

Generally for Express Entry, the below table shows the minimum amount of funds that you must have as the total of all funds:

What types of programs require proof of funds?

Applicants have to submit proof of funds for two programs as below:

  • Federal Skilled Worker Program
  • Federal Skilled Trades Program

Note that Canadian Experience Class applicants do not have to show any proof of funds.

When do I have to show proof of funds?

Applicants must submit proof of funds when they apply; you cannot wait until a later time. You may also need to make sure that the money is accessible in Canada and not held abroad or by someone else on your behalf. Applicants applying for permanent residence through Express Entry have to upload the documents of the proof in their profile. Those applying through a different process or other programs have to submit the documents during their immigration application.

Do I need to upload proof of funds to my profile?

Yes, you do! Applicants under Express Entry must provide proof of funds when they apply.

How much money do I need in my bank account?

Express Entry does not require that you have 100% funds in your bank account. The proof of funds can be from a combination of various approved financial instruments outlined below. However, Express Entry recommends that the funds are equivalent to at least six months of your expenses.

Settlement fund for Express Entry Canada can be Savings or Current account balance in Banks, Fixed Deposits, Provident Fund, Stock Investment, Mutual Funds. It is highly recommended that you maintain a minimum of 50% or greater funds of the required amount in your savings account (aka your cash).

Do I have to deposit my money in a Canadian bank account?

No, you can have your money deposited in any financial institution outside of Canada. You do not need to deposit it into a Canadian bank account or credit union.

You will receive this information when applying through Express Entry or by visiting this page. However, if you wish, you can also show proof of funds by instruments such as GIC, requiring you to deposit the amount in a Canadian Bank.

How to show proof of funds for Canada Immigration?

What you must know

Proof of funds is required for Express Entry applications showing that you have enough money based on the Low-income cut-off (LICO) chart. You must be able to support yourself in the initial stages of entering Canada as a new immigrant.

The most crucial point to note when showing proof of funds for Canadian immigration is to prove that the money is yours to use. It cannot be a loan that has to be repaid. It must be free from any embargo, and you also have to provide proof of the source of the funds.

Proof of funds concept

The concept behind showing proof of funds is to ensure that you can use the money and support yourself in Canada for the first few months after immigration. Canada does not want you to draw funds from social benefits in this period, and hence you must have the minimum funds at your disposal.

Further, the proof of fund document requirement states that the applicant must provide an official letter issued by the banking institution indicating your financial profile. Therefore, please do not use the online statements available in your bank account or the statement letter you receive by post.

Importance of “official letter” when showing proof of funds

The importance of official letter can be seen from an immigration case in the Federal Court of Canada Gugliotti v. Canada (Citizenship and Immigration). IRCC had rejected the Express Entry application citing lack of official letter from the banking institution and the applicant filed a case to overturn the decision as they had provided online bank statement.

However, the judge ruled that as per the IRCC rules, the applicant had not submitted an “official letter” with the co-ordinates of the signing authority. The Express Entry application stood rejected since an official letter supporting the financial profile was not provided.

An “official letter” means that you must go to your bank or branch manager and have them print your financial profile on the bank’s letterhead outlining all your accounts with account numbers, the date when each account was opened and the balance in each account over the past six months.

Make sure to include all outstanding debt such as credit cards and loans. The “official letter” must be signed by an authorized bank officer and contain the coordinates of the signing officer, which will be used to facilitate due diligence directly with the financial institution. This means that someone needs to sign the letter certifying the balance in the accounts.

What is accepted as proof of funds for Canadian immigration?

Proof of funds for Canada can be shown in various ways, as listed below.

Acceptable proof of funds for Canada Express Entry

  • Official letter from the bank outlining your financial profile over a period of six months;
  • Proof of investments such as term deposits / fixed deposits;
  • Cash gifts you receive from parents, family members or other sources. If you have received a cash gift from your parents to help you show the required funds, make sure you make a gift deed that spells out that the money is for you to use without any limitation and; that it is a gift and not a gift loan. Please read “Express Entry rejection due to “Gift Deed” below
  • Provident fund
  • Stock investment
  • Mutual Fund

All of the above have to be in the form of an official letter from the financial institution (not online statements).

You will need a letter from the financial institution where you keep your money. This letter must clearly state the following:

You need to submit official letters from any banks or financial institutions where you’re keeping money.

The letter(s) must include their contact information (address, telephone number and email address), list each outstanding debt such as credit card debts and loans for each current bank account, including the date on which the account was opened along with the current balance plus how much has been added in 6 months on average.

Unacceptable proof of funds for Canada Express Entry

  • Property
  • Jewelry
  • Vehicle
  • Cryptocurrency
  • Money in another person’s account (such as a relative, friend) except the primary applicant/spouse
  • Any illiquid financial instrument
  • Any statement printed from your online bank account

How much funds are required for Canada Immigration?

A typical requirement would be:

  • For an individual, around CA$ 13,213 if you are applying under the Federal Skilled Worker Program or one of its sub-categories such as Provincial Nominee Programs or under the Federal Skilled Trades Program
  • Each accompanying spouse (total two family members including the applicant), around CA$ 16,449
  • Applicant + Spouse + 1 child (total 2 family members including the applicant), around CA$ 20,222
  • For each accompanying spouse and 2 children (total 4 family members including the applicant), around CA$ 24,553
  • Applicant + Spouse + 3 children (total 5 family members including the applicant), around CA$ 27,847
  • For each accompanying spouse and 4 children (total 6 family members including the applicant), around CA$ 31,407
  • Applicant + Spouse + 5 children (total 7 family members including the applicant), around CA$ 34,967

For every additional family member, you must add around CA$ 3,560

How to show provident fund as proof of fund for Canada Immigration?

If you are from India, a common question is how to show your PF money as proof of fund for Canada Immigration through Express Entry.

The good news is that you can use your provident fund money as proof of fund for Canada Immigration. However, to show the provident fund as proof of fund, you require a stamped certificate from the provident fund authority.

The certificate from the provident fund authority looks as below, remember it has to be stamped and signed for it to be considered valid:

Provident Fund letter Proof of Fund Canada Example

It is considered a valid proof of fund to show proof of funds for Canada Immigration. However, keep it below 50% of the overall fund’s requirement.

Do I need to bring all the minimum required funds to Canada?

One other common question is whether the applicant needs to bring all the funds they show to Canada when they travel.

The answer is no; you need not bring all funds along with you to Canada. You can arrange to have the same wired to you later on in your Canadian Bank account.

For example, you have excess funds with you in your home country. Let’s say you have $20,000 in excess of what is required for your Express Entry application. Rather than bringing all of it to Canada and then sending the rest later on (which can be expensive), you may show that CA $20,000 is available for your use.

You can bring CA$ 10,000 in cash with you when you travel on the plane and utilize it as you wish.

Can I show the loan as proof of fund for Canada Immigration?

No, you cannot show a loan as proof of funds for Canada Immigration. However, you will be able to show a loan as proof of funds for a Canadian student visa if you have a guaranteed letter from the person who will lend this money after you arrive in Canada.

Can I use a cash gift as proof of fund for immigration?

Yes, but you must attach a notarized gift deed to the documents. Keep the gift funds below 50% of your total requirement.

Gift Deed content for Express Entry Canada Proof of Funds

  • Gift deed must be made on government stamp paper and must be appropriately notarized.
  • Mention the name of the person gifting you the funds.
  • Your relation with the person
  • The exact amount of gift
  • The date you received the funds.
  • It should mention that the person will never claim the money back from you and that you are the sole owner of the funds provided to you and may use it as you deem fit.

Gift Deed template for Express Entry Canada Proof of Funds

Gift Deed template for Express Entry Canada Proof of Funds

How to bring your money to Canada?

You can carry any amount of money when you arrive in Canada as an immigrant. However, if you’re planning on bringing more than CA$ 10,000 into Canada, then you must let the border officer know.

Make sure to declare it at the border, including all forms of money as below, or else the border officer can seize it at the border:

  • Cash
  • Stocks
  • Bonds
  • Debentures
  • Treasury bills
  • Banker’s drafts
  • Cheques
  • Money orders
  • Travellers’ cheques

Express Entry Application rejection reasons

IRCC can reject your proof of fund on various grounds. The typical rejection reason is as outlined below:

  • The amount you have shown is less than what has been assessed by IRCC.
  • You cannot provide a letter from a financial institution that does not include all of the information listed above on an official account statement, etc.
  • Other reasons

The above are the three most common reasons for rejection of an Express Entry Application for “Proof of funds” reason.

Express Entry rejection due to “Gift Deed”

As per IRCC, the Express Entry Applicant must have the funds in the form of available and transferable funds “unencumbered” by debts or other obligations equal to 50% of the minimum necessary funds.

We have observed few applications being rejected as the visa assessment officer was not satisfied with a “gift deed” as the amount received amounted to more than 50% of the minimum necessary funds for Express Entry.

The rejection letter from IRCC is shown below:

Canada Express Entry application rejection due to gift deed proof of fund 1

As you can read, the visa officer talks about demonstrating “transferable” and “available” funds. However, the visa officer also red flags that out of the required minimum funds for express Entry, more than half of the amount came from gift deeds of distant relatives. Hence, the Express Entry application was rejected.

Essential things to keep in mind based on this example:

  • Avoid taking money from relatives such as brother, sister-in-law, uncle etc. It is better that the parent gifts the money to you to support your fund’s requirement for Express Entry.
  • Ensure that the gift deed does not make up more than 50% of your bank balance. Keep it under 50%

Summary

All applicants must provide proof of sufficient funds, but it’s important to know what type of documents you can use to show proof of funds for Canadian immigration so you can prepare ahead of time.

The amount required varies depending on the family size but typically ranges from CA$ 13,213 per person up to about CA$ 34,967. 

Remember that the visa assessment officer must be convinced and satisfied that your available funds are unencumbered by debt or other obligations.

Please note that you must also explain any sudden increase in your available bank balance.

We recommend working closely with an attorney or an immigration consultant if this is a new process for you.

About the author

Vijay is the founder of Immiboards. He is passionate about helping people navigate the complex immigration system of Canada. He has a masters degree in Political Science. His areas of interest include immigration law, policy research, settlement studies and economics of immigration.

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