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Proof of funds

asad56

Newbie
Feb 2, 2019
7
0
Do I need to settle all my loan accounts before submitting the proof of funds for Canadian immigration express entry? Currently I have a car loan and a personal loan.
 

Gruff

Star Member
Jun 2, 2018
138
120
Do I need to settle all my loan accounts before submitting the proof of funds for Canadian immigration express entry? Currently I have a car loan and a personal loan.
You don’t need to settle loans but you do need to ensure you have additional funds to cover the full cost of all loans AND meet the minimum requirement for funds.

As an example; an applicant of 1 you need $12,669. If you have a personal loan of $5000 you will need to show at least $17,669 in your proof of funds to be eligible.

If you don’t have enough your application will likely be delayed, you’ll receive a procedural fairness letter and possible rejection if you can’t demonstrate you have the funds to meet requirements and cover all loans.

This all happened to me so to avoid my mistake I would ensure you have enough funds when you apply.
 

asad56

Newbie
Feb 2, 2019
7
0
Thank you for your reply however I have only car loan and credit cards. Do I need to show an extra amount for that as well 12669+car loan amount + credit cards unpaid amount? Or I can keep an extra amount in my account for nexr future payments of six months of minimum due?
 

Scottish Aly

Star Member
Dec 20, 2018
83
83
30
Scotland UK
Category........
FSW
NOC Code......
5133
AOR Received.
19122018
Med's Done....
31082018
Thank you for your reply however I have only car loan and credit cards. Do I need to show an extra amount for that as well 12669+car loan amount + credit cards unpaid amount? Or I can keep an extra amount in my account for nexr future payments of six months of minimum due?
Your proof of funds needs to be debt free. So yes, you would need to show $12,669 + credit card balance + car loan balance to meet the minimum funds.
 

asad56

Newbie
Feb 2, 2019
7
0
Thank you Sir,
So that means I should sell my car and clear pending loan .Thank you so much .
 

21Goose

VIP Member
Nov 10, 2016
5,202
1,537
AOR Received.
Feb 2017
You have to show proof of funds, and the examining officer has to be convinced by that proof.

Now, there are many people who have car loans, credit card loans, personal loans etc. and yet were able to show that they met the proof of funds standard. Conversely, there are people who have been denied.

There's no hard and fast rule. It comes down to this - the officers who examine your file are experienced and well trained, and can (usually) tell the difference between someone who has a standard set of debts (car loans, credit cards, perhaps a student loan) but still has enough money to meet the PoF requirements, and someone who doesn't - in their judgement- meet that requirement.

Look at your financial profile and think about it. Does it look like you have the funds?

For example, I had a car loan (around USD12,000), credit card debt (around USD8,000) and around USD28,000 in my account. In addition to that, my salary statements for the past X months showed how much money I made on a regular basis. My bank statements showed a normal level of activity - salary came in, rent was paid, credit card debt was paid, car loans were paid, etc. etc. The officer could easily see that I could have paid off my car loan much sooner if I wanted, but in the US it's very normal to take advantage of super low interest loans (mine was 0.99%) and not pay them off early.

I didn't have to clear my debt.

If you have $50,000 in loans and cc debt, and $12,500 in your account, and your account shows abnormal patterns (lots of money comes in suddenly, or there are large unexplained cash withdrawals) then the officer may not like it and either ask for an explanation or deny you outright.
 
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Loydie

Full Member
Oct 12, 2018
25
1
You have to show proof of funds, and the examining officer has to be convinced by that proof.

Now, there are many people who have car loans, credit card loans, personal loans etc. and yet were able to show that they met the proof of funds standard. Conversely, there are people who have been denied.

There's no hard and fast rule. It comes down to this - the officers who examine your file are experienced and well trained, and can (usually) tell the difference between someone who has a standard set of debts (car loans, credit cards, perhaps a student loan) but still has enough money to meet the PoF requirements, and someone who doesn't - in their judgement- meet that requirement.

Look at your financial profile and think about it. Does it look like you have the funds?

For example, I had a car loan (around USD12,000), credit card debt (around USD8,000) and around USD28,000 in my account. In addition to that, my salary statements for the past X months showed how much money I made on a regular basis. My bank statements showed a normal level of activity - salary came in, rent was paid, credit card debt was paid, car loans were paid, etc. etc. The officer could easily see that I could have paid off my car loan much sooner if I wanted, but in the US it's very normal to take advantage of super low interest loans (mine was 0.99%) and not pay them off early.

I didn't have to clear my debt.

If you have $50,000 in loans and cc debt, and $12,500 in your account, and your account shows abnormal patterns (lots of money comes in suddenly, or there are large unexplained cash withdrawals) then the officer may not like it and either ask for an explanation or deny you outright.
Hi sir, I badly need your advice. I have a personal loan that is bigger than my POF but still I submitted my application because I made a letter of explanation that I will be paying it monthly and it will be fully paid once I get my end of service gratuity/pay when I resign from my job.

However, my eligibility is not met due to this when I called IRCC and told me to expect ADR soon.

I would like to seek your advice in whether what is the best action to this?

Shall I pay the personal loan in full as I will be able to pay it next month and raise a webform afterwards or I'll just add my money in my POF and raise a webform with updated bank statements?

Your advice is highly appreciated sir.
 

21Goose

VIP Member
Nov 10, 2016
5,202
1,537
AOR Received.
Feb 2017
Hi sir, I badly need your advice. I have a personal loan that is bigger than my POF but still I submitted my application because I made a letter of explanation that I will be paying it monthly and it will be fully paid once I get my end of service gratuity/pay when I resign from my job.

However, my eligibility is not met due to this when I called IRCC and told me to expect ADR soon.

I would like to seek your advice in whether what is the best action to this?

Shall I pay the personal loan in full as I will be able to pay it next month and raise a webform afterwards or I'll just add my money in my POF and raise a webform with updated bank statements?

Your advice is highly appreciated sir.
If you application has already been rejected there's nothing much you can do besides re-entering the pool after you've paid back the loan. You can try raising the webform, but it's not likely to work since the error was not on IRCC's part. They don't usually reopen a case file for something like this.

Do you still have enough points to get an ITA in the next few rounds?
 

Loydie

Full Member
Oct 12, 2018
25
1
If you application has already been rejected there's nothing much you can do besides re-entering the pool after you've paid back the loan. You can try raising the webform, but it's not likely to work since the error was not on IRCC's part. They don't usually reopen a case file for something like this.

Do you still have enough points to get an ITA in the next few rounds?
Fortunately my application is not rejected, and as per the agent I should expect an ADR soon.
I’m planning to proactively add funds in my POF equivalent to my personal loan balance then raise a webform with updated bank statements.

I’m PNP applicant- Outland by the way.

what are your thoughts about this?
 
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Loydie

Full Member
Oct 12, 2018
25
1
If you application has already been rejected there's nothing much you can do besides re-entering the pool after you've paid back the loan. You can try raising the webform, but it's not likely to work since the error was not on IRCC's part. They don't usually reopen a case file for something like this.

Do you still have enough points to get an ITA in the next few rounds?
Does eligibility not met mean application is rejected?
 

21Goose

VIP Member
Nov 10, 2016
5,202
1,537
AOR Received.
Feb 2017
Does eligibility not met mean application is rejected?
they’ll tell you. If you get a request for additional documents then you haven’t been rejected yet. You can then show that you have the funds and it should be ok.

alternatively, they’ll inform you that your application was rejected. Wait and see what you get.