If you're planning to move abroad, you're perhaps in the middle of the process of obtaining your visa and residency permit. One of the required documents is proof of financial means. Apart from the often exorbitant amount, how can you prove you have sufficient funds to live in your chosen country?
Essential proof of financial capacity
Several visas require proof of financial capacity: the Working Holiday Visa (WHV), the student visa, the digital nomad visa, the Schengen visa, etc. The host country needs to ensure you have the means to live. This question is all the more critical with the ever-present inflation that affects the cost of living and inflates immigration-related expenses.
In Canada, new financial requirements for international students came into effect on January 1, 2024 (except in Quebec). They must now have a minimum of 25,690 Canadian dollars, up from 10,000. The amount increases according to the number of family members accompanying the applicant. The Immigration Department says the new amount, which takes inflation into account, will be reviewed annually. Australia also requires international students to have more funds: AU$24,505, or 17% more than before. The measure took effect on October 1, 2023.
Determined to reduce its net migration, the United Kingdom has introduced a series of measures aimed at increasing the amount of money required to move abroad. These changes, announced on December 4, 2023, have been phased in since March. Most of them will be implemented in April. Among the expected increases is the minimum income required to sponsor a spouse, rising from £18,600 a year to £29,000 a year and up to £38,700 a year.
How do I prove my financial means to move abroad?
The amount required by governments generally does not take into account the cost of one year of school (for a study permit), airfare, rent, or health insurance.
Raising the required funds
To raise the required amount, some applicants temporarily deposit the funds in their account while they obtain a bank receipt. They have asked friends or acquaintances for money but don't really have it. This practice is obviously not recommended, as it is dangerous. In the event of a subsequent audit, it may be difficult to trace the funds. Instead, we recommend asking close friends and family to help you in the long run.
The high level of funds demanded by governments is partly due to the economic and inflationary crisis. But it's also a way of reducing the number of foreigners entering their territories. It can take years of saving to raise the funds. Applying to scholarship organizations (home country scholarships, host country scholarships, international programs, private scholarships, etc.) or negotiating a loan can help raise the necessary amount. But beware: some financial institutions pay little attention to your ability to repay but do not hesitate to charge exorbitant interest rates.
Prove your financial capacity
There are several ways to prove that you have the funds required by your host country. The following are general guidelines. Depending on the visa and the country's regulations, a specific type of proof may be required.
- Bank details
This is the money in the host country's bank account, or the amount in your account that can be transferred to the host country's account (checking or unrestricted savings). This is one of the most commonly requested forms of proof. It does not have to be a simple bank statement but must include your bank's signature and/or stamp to ensure authenticity. The host country may also ask for bank statements from previous months.
- Proof of bank loans
Have you taken a loan to cover your living expenses in your new country? Ask your bank for proof. Again, the money in your account must be transferable to the host country.
- Proof of payment for housing, school fees, etc.
It's comforting to know that you've already paid for a significant portion of what you'll need to live in your host country. If you have already paid your tuition fees (for international students) and the first few months' rent, provide proof of this to demonstrate your ability to support yourself.
- Scholarship, support from a financial institution in the host country
A scholarship, research grant, business start-up grant, or other financial assistance from a financial institution recognized by your host country can prove your financial ability. Ask your sponsor for a certificate guaranteeing that you will be covered. The same applies if you are participating in a program funded by your host country.
- Funds from a relative or third party
Your expenses may be covered by a family member or third party. In this case, your contact must provide a letter stating that they will cover all of your tuition (if you are a student) and expenses while you are abroad. An affidavit is not enough: your guarantor must provide proof of their financial capacity (bank statement for several months, proof of regular income, form stating occupation or pension, etc.).
Things to avoid when proving your financial capacity to move abroad
Don't count on the possibility of working in your host country, even if you're guaranteed a job upon arrival. For a student visa, for example, don't submit an incomplete application on the pretext that your student job will take care of the rest. Proof of financial means is precisely what you need to show that you can support yourself without working in the country for at least a year.
Only send documents that are clear, legible, and well organized. Immigration officers don't have time to review your documents. In case of doubt, your entire file will be rejected.
Of course, it's better to gather your documents to increase your chances of success, but there's no point in accumulating 100 pages. On the contrary, you risk raising doubts and irritating immigration officials. In any case, the platform on which you submit your file has a maximum capacity. There's no need to over-compress your corpus to fit your 100 pages. Over-compression alters the quality of the document. You risk sending illegible proofs that will be rejected.
If a member of your family agrees to become a guarantor, the authorities will check that they have the real capacity to support you. Be wary of irregular income. If your sponsor is self-employed and their income fluctuates between good and bad months, the immigration authorities may consider theue financial situation unstable and doubt their ability to support you.
More tips for proving your financial capacity
To maximize your chances, be consistent throughout your application in form and content. The visa and/or permit you are applying for must match your background. Remember that your application must be as simple and clear as possible so as not to raise the slightest doubt in the minds of the immigration officials.
Follow the guidelines for submitting your financial documents. Choose quality over quantity. Immigration officers deal with a large number of files regularly. Any redundant, incorrect, or misplaced information wastes their time, and this might make you lose points. Be structured, accurate, and clear. This is the best way to eliminate doubts and ensure your file is processed correctly.
