Proof of Funds Meaning
Proof of Funds (POF) is a letter or document proving that a person or a company has the financial ability to perform or complete a transaction. The POF can be issued by a bank, a financial institution or trade finance.
A POF is typically issued to provide confidence or assurance to another party – typically a seller – that the individual or entity in question has sufficient funds to complete an agreed-upon purchase.
In the case of travel or immigration, Proof of funds is how you show the destination country that you have enough money to settle in that country.
Types of funds
There are different types of funds that you can use to apply for a study permit in Canada. These are as follows:
- Guaranteed investment certificate (GIC)
- Fixed Assets (immovable property such as house and land)
- Liquid Assets (Savings/current accounts, fixed deposits, policy investments, vehicle resale price, gold)
- Sponsorship (Financial support from relatives and non-relatives living outside/inside of Canada)
- 1st Tuition fee receipt
Note: You can use any combination of these funds to strengthen your study permit application.
Requirements of a Proof of Funds (POF) Document
When providing a proof of funds document, there is certain information that is required to be included. Items that must be included in a Proof of Funds Letter include:
- Bank’s name and address
- Official bank statement
- Balance of funds in the checking and savings accounts
- Balance of total funds
- Signature of authorized bank personnel
- Bank certified financial statement
- Copy of money market statement and balance
- Copy of an online banking statement
If the funds you plan to use for POF are spread across multiple accounts, you will need this information for all of them.
It may be easier to move all of your funds into one account, therefore having to provide this information only once, and making the total amount of funds available easier to follow.
How to Get Proof of Funds in Nigeria
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Generally, there are several recognized ways to prove your financial sufficiency:
- A personal bank statement indicating your financial movements (for at least 3 last months)
- Credit card
- Traveller’s cheques
- Proof of employment
- Supporting document to attest sponsor’s readiness to cover your expenses during your stay
- Proof of prepaid accommodation
- Document about accommodation in private
- Proof of prepaid transport
Proof of Funds for Canada Student Visa
Canada is a popular destination for international students. In order to secure a Canada Study Permit, proof of unencumbered available funds is required to cover tuition and living expenses.
Thousands of students make their way to Canada every year to study further or to start afresh and get an international qualification to help jump-start their careers.
Getting accepted to a college or university is one of the first steps before applying for a Canada study visa. But perhaps a more important step to take is to find out exactly how much you will need to save before deciding on which educational institution you would like to enroll at.
Although you can work while you’re completing your studies in Canada, you will only be able to work on a part-time basis for 20 hours per week, without a work permit. This is why you’ll need to have enough money to support yourself while you are studying in Canada.
You must prove that you can support yourself, and the family members who come with you, while you are in Canada.
You can prove your funds with:
- proof of a Canadian bank account in your name, if you’ve transferred money to Canada
Guaranteed Investment Certificate (GIC) from a participating Canadian financial institution
- proof of a student or education loan from a bank
- your bank statements for the past 4 months
- a bank draft that can be converted to Canadian dollars
- proof you paid tuition and housing fees
- a letter from the person or school giving you money, or
- proof of funding paid from within Canada, if you have a scholarship or are in a Canadian-funded educational program.
Proof of Funds for UK Student Visa
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Proof of Funds Providers in Nigeria
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