Proof of Funds - Personal Loans

[StarryEyed]

Hi All,

I plan to submit my Express Entry Application online and have met all other requirements, except proof of funds.

I am in deficit of CAD 4000 for which I plan to apply for a personal loan from a bank (let’s call it Bank B) where I do not hold a savings account. All my savings are held at another bank (Bank A) for years since I started working. Once the loan is grant at Bank B, I shall be transferring it to my account at Bank A. I intend to hold the required amount (incl loan amount CAD 4000) for at least 6 months before submitting my EE application. As far as Bank A is concerned, I do not have any loans with them. Since my bank statements from Bank A will show stable funds for 6 months period,I don’t think there will be a reason for the officer reviewing my file to doubt the source of my funds as coming from a personal loan. I may be wrong here. And of course this means I am hiding the fact that I have a personal loan with Bank B. Someone please let me know if anyone else has tried this and how it has worked out for them. Any advice would be highly appreciated. Thank you!

 

[Ultraxion]

It is obviously against the rule. As the IRCC website clearly states you cannot count personal loans as part of your PoF:

https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/express-entry/documents/proof-funds.html

Also are you looking at FSW? If so you also need to take into consideration how competitive it is recently. If you keep your loan for too long and waiting in EE pool not being invited, it could be very expensive.

 

[AishB]

Hi All,

I plan to submit my Express Entry Application online and have met all other requirements, except proof of funds.

I am in deficit of CAD 4000 for which I plan to apply for a personal loan from a bank (let’s call it Bank B) where I do not hold a savings account. All my savings are held at another bank (Bank A) for years since I started working. Once the loan is grant at Bank B, I shall be transferring it to my account at Bank A. I intend to hold the required amount (incl loan amount CAD 4000) for at least 6 months before submitting my EE application. As far as Bank A is concerned, I do not have any loans with them. Since my bank statements from Bank A will show stable funds for 6 months period,I don’t think there will be a reason for the officer reviewing my file to doubt the source of my funds as coming from a personal loan. I may be wrong here. And of course this means I am hiding the fact that I have a personal loan with Bank B. Someone please let me know if anyone else has tried this and how it has worked out for them. Any advice would be highly appreciated. Thank you!

You will need to provide the source of funds at Bank B as well. Loans are not a valid proof of funds.

 

[oinkario]

It is textbook misrepresentation to get a loan for PoF. You mentioned that you’re going to hold the fund for 6 months before submitting EE — this implies that you don’t have ITA yet. Why not save money and hit the target while you wait for invitation?

Plus it’s not like you can withdraw your PoF immediately after submitting the application. You are supposed to own and hold on to these funds till getting approved and landing.

 

[StarryEyed]

It is obviously against the rule. As the IRCC website clearly states you cannot count personal loans as part of your PoF:

https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/express-entry/documents/proof-funds.html

Also are you looking at FSW? If so you also need to take into consideration how competitive it is recently. If you keep your loan for too long and waiting in EE pool not being invited, it could be very expensive.

I thought about the expensive angle. But I am in my late 40s and the longer I wait, I will keep losing out on CRS points. I am a single (educated and independent) woman living alone, and just want to go unite with my family in Canada. I know getting a personal loan is against the rules, but it’s the only fast route I have got. Just want to make sure I make this work towards a happy ending rather than be caught and ruin my chances of ever reuniting with my family. My brother in Canada has also offered me to send the required deficit but just don’t want to trouble him with that. Anyway, let’s see.

 

[StarryEyed]

You will need to provide the source of funds at Bank B as well. Loans are not a valid proof of funds.

So basically if I maintain accounts at more than one bank in the country, I have to disclose them all to prove I have no loans? I am just wondering how the visa officer could possibly find out about the loans I have with other financial institutions.

 

[StarryEyed]

It is textbook misrepresentation to get a loan for PoF. You mentioned that you’re going to hold the fund for 6 months before submitting EE — this implies that you don’t have ITA yet. Why not save money and hit the target while you wait for invitation?

Plus it’s not like you can withdraw your PoF immediately after submitting the application. You are supposed to own and hold on to these funds till getting approved and landing.

That would be my last resort solution. Again, waiting means I lose out on CRS points considering my age.

Valid point on not being able to withdraw PoF immediately after visa approval to settle back the loan. Anyone who has done this before could suggest if there is a way and how they have done it.

 

[cansha]

That would be my last resort solution. Again, waiting means I lose out on CRS points considering my age.

Valid point on not being able to withdraw PoF immediately after visa approval to settle back the loan. Anyone who has done this before could suggest if there is a way and how they have done it.

Sorry to be bearer of bad news but given your age your CRS points may be too low to get an invite. POF may be least of your worries. What is your CRS score?

If you get an invite take money from your brother as a "gift" and return the money once you are in Canada. Do not do anything which may get you barred from entering Canada.

 

[oinkario]

Since you have family in Canada, is sponsorship an option?

It makes no sense to risk misrepresentation if your brother offers to solve the deficit for you. Treat it as a gift, and gift him back later if needed.

 

[cansha]

Since you have family in Canada, is sponsorship an option?

It makes no sense to risk misrepresentation if your brother offers to solve the deficit for you. Treat it as a gift, and gift him back later if needed.

Family sponsorship doesn't work for siblings unfortunately

 

[StarryEyed]

Sorry to be bearer of bad news but given your age your CRS points may be too low to get an invite. POF may be least of your worries. What is your CRS score?

If you get an invite take money from your brother as a "gift" and return the money once you are in Canada. Do not do anything which may get you barred from entering Canada.

Sorry I meant to say late 30s not 40s lol. I have a score of 447. But I can try and bump it up a little with a better IELTS score I suppose.

How does the gift thing work? Is it a fool-proof method for POF? I have heard about this a lot, but not come across anyone who could say “Yeah, I did the same and it worked for me”. Any success stories here?

 

[oinkario]

Sorry I meant to say late 30s not 40s lol. I have a score of 447. But I can try and bump it up a little with a better IELTS score I suppose.

How does the gift thing work? Is it a fool-proof method for POF? I have heard about this a lot, but not come across anyone who could say “Yeah, I did the same and it worked for me”. Any success stories here?

447 needs a significant bump. You are looking for 490 given that age imposes a score drain.

 

[StarryEyed]

Since you have family in Canada, is sponsorship an option?

It makes no sense to risk misrepresentation if your brother offers to solve the deficit for you. Treat it as a gift, and gift him back later if needed.

I am unmarried. My only family is my mother and brother, both are in Canada. I doubt siblings above 18 can be sponsored?

That’s true. I do not want to take an unnecessary risk with personal loans unless I hear some success stories. Still, it’s hard to say. What works for one at application might not work for another. I will think about the gift route.

 

[StarryEyed]

447 needs a significant bump. You are looking for 490 given that age imposes a score drain.

Oh my! Then maybe a PNP nomination? I think we can score 600 points if our job skill is in demand in that province.

 

[cansha]

Sorry I meant to say late 30s not 40s lol. I have a score of 447. But I can try and bump it up a little with a better IELTS score I suppose.

How does the gift thing work? Is it a fool-proof method for POF? I have heard about this a lot, but not come across anyone who could say “Yeah, I did the same and it worked for me”. Any success stories here?

1. Gift deed does work
2. Yes
3. If you can't find success stories of gift deed on this forum then you are not searching correct. If you just search gift deed you can get many many stories of people who have done it and have been successful.

As I said before your biggest worry is CRS at the moment. You need to be in 490 range for a realistic chance right now. If your brother can gift money then great else focus on CRS score and having as much savings as possible in next few months.