Canada Raises Living-Cost Funds for International Students

Who Must Meet New Requirements for International Students

1. New Applicants (Study‑Permit Applications on or after September 1, 2025)
Any foreign national who submits a study‑permit application to IRCC on or after September 1, 2025, must satisfy the updated proof‑of‑funds criteria. IRCC determines eligibility based on the date it receives your complete application package, so even if you begin your application process earlier, be certain your submission arrives by August 31, 2025, to qualify under the lower threshold.

2. All Levels of Study (Undergraduate, Graduate, Diploma, Certificate)
Whether you enroll in a bachelor’s program at the University of British Columbia, a post‑graduate certificate in Alberta, or a diploma in Nova Scotia, the same living‑expense funds apply. IRCC does not differentiate by program type; instead, it uses a uniform schedule of living‑cost benchmarks for every academic level (excluding Quebec) to ensure consistency across Canada’s education system.

3. Accompanying Family Members (Spouses and Dependents)
If you plan to bring your spouse and/or dependent children with you, you must include additional CAD 6,170 per family member in your proof‑of‑funds total. For example, a couple (applicant + spouse) must show CAD 22,895 + CAD 6,170 = CAD 29,065. Dependents age 22 or younger studying full time also count; older children without student status do not.

Tip: On your IRCC application form (IMM 1294), list each accompanying family member and upload notarized documents (e.g., marriage certificate, birth certificates) to confirm relationships.

Acceptable Proof of Funds for International Students

IRCC requires clear, verifiable evidence that you can cover living costs. You may combine several of the following:

1. Canadian Bank Account Statement

   • Must be in your name and issued by a Canadian financial institution (e.g., RBC, Scotiabank).

   • Show the full CAD amount required already deposited—transferred funds in transit do not qualify.

2. Guaranteed Investment Certificate (GIC)

   • Purchase from a designated bank under the Student Direct Stream (SDS).

   • Include the GIC certificate showing at least CAD 22,895 (or higher for families). SDS participants often receive faster processing.

3. Student or Education Loan Letter

   • Official document from a recognized lender (home country or Canadian bank).

   • Must state loan amount, disbursement schedule, and repayment terms.

4. Recent Bank Statements

   • Last four consecutive months, in your name, from any bank or credit union.

   • Show available balance at the end of each month.

5. Bank Draft or Traveler’s Checks

   • Bank‑issued draft payable in Canadian dollars.

   • Must be convertible without significant fees.

6. Sponsor or Scholarship Letter

   • Formal letter from sponsor (family member, government agency) or educational institution.

   • Should detail the amount, duration, and conditions of funding.

Timeline for Applicants

• Before September 1, 2025 – You can apply under the old requirement (CAD 20,635 for a single student).

• On or After September 1, 2025 – New requirement applies (CAD 22,895).

• Application Date Matters – IRCC records the date it receives your application to decide which threshold applies.

Action Plan:

• Gather all financial documents by mid‑July 2025.

• Transfer or secure GICs at least 6 weeks before submission.

• Submit your complete application package (including payment, biometrics, and medical exams) by August 31, 2025, if you wish to use the current, lower benchmark.

Expert Analysis for International Students

Canada’s decision responds to real‑time cost pressures faced by newcomers:

• Housing Crunch: In 2025, average monthly rent for a one‑bedroom apartment hit CAD 2,200 in Toronto and CAD 2,050 in Vancouver, a 5% rise from 2024.

• Grocery Inflation: Food prices rose 3.4% nationally in the last year, with staples like dairy and meat most affected.

• Utilities & Transit: Winter heating costs jumped 8% in Eastern provinces; urban transit fares increased to CAD 160 per month in major cities.

Recommendations for International Students:

• Build a 10–15% Buffer – Aim for extra funds beyond IRCC’s minimum to cover unexpected spikes or emergencies.

• Compare GIC Offers – Some banks under SDS provide higher interest rates; shop around by mid‑July.

• Use Accredited Translators – Avoid application delays by translating all non‑English/French documents through IRCC‑recognized services.

Practical Steps for International Students

1. Estimate Comprehensive Costs: Tuition, travel, living, health insurance (approx. CAD 600–800/year), books, and incidentals.

2. Open a Canadian Bank Account: Many banks allow non‑resident accounts—initiate this online well before travel.

3. Secure Your GIC: For faster SDS processing, apply through participating banks such as Scotiabank’s Student GIC Program or RBC’s International Student GIC.

4. Gather & Certify Documents: Collect bank statements, loan letters, and sponsor letters; have them notarized and translated if needed.

5. Maintain Proof of Relationship: For spouses/dependents, include marriage and birth certificates with certified translations.

6. Submit Early & Track: Use courier or IRCC’s online portal; keep receipts and IRCC tracking numbers to confirm delivery.

Conclusion

The September 1, 2025 increase in proof‑of‑funds—from CAD 20,635 to CAD 22,895 for individual applicants—underscores Canada’s commitment to safeguarding international students against financial hardship. By understanding who must comply, gathering robust documentation, and following expert guidance on budgeting and timelines, you can ensure a smooth application process and focus on achieving academic success in Canada.