Source of funds vs proof of funds: what IRCC and your Canadian bank each want

What is the difference between proof of funds and source of funds?

The two ideas answer different questions. They are asked by different organizations, under different laws.

FINTRAC (the Financial Transactions and Reports Analysis Centre of Canada) defines source of funds as "the origin of the particular funds" used for a transaction. It adds that it is "how the funds were acquired, not where the funds may have been transferred from." So "my account at Bank X" is not a source. "Salary saved from 2019 to 2025" is.

What does IRCC want as proof of funds?

IRCC wants to see that the money exists, belongs to you, and is available. The rules depend on the program.

Express Entry

• The amount for one person is CAD 15,263. This is from IRCC's table updated July 7, 2025, which was still current on October 10, 2026. It goes up with family size, and IRCC updates the table from time to time.
• You do not need to show funds if you apply under the Canadian Experience Class, or if you are authorized to work in Canada and have a valid job offer.
• The money must be available when you apply and when your visa is issued. You cannot borrow it from another person.
• Equity in a house or land does not count.
• You need an official letter from each bank. It must list your account numbers and the date each account was opened. It must also show the current balance, the average balance for the past 6 months, and your outstanding debts.

Our Express Entry proof of funds guide covers the full table and letter format.

Study permits

For applications made on or after September 1, 2026, a single student outside Quebec must show CAD 23,448 a year, plus tuition and travel. IRCC accepts several kinds of proof, such as a Canadian GIC, 6 months of bank statements, loan letters and scholarship proof. It also accepts a letter from a person who gives you money. That letter should state their job, their relationship to you, how many people depend on them, and the amount. See study permit proof of funds.

Why does a bank want the source of funds?

Canadian banks are "reporting entities" under the PCMLTFA. FINTRAC explains that these businesses "are required to know their clients." The law asks them to:

• check your identity;
• ask whether you act for someone else (a "third party");
• monitor accounts over time and check that activity fits what they know about you;
• report certain transactions to FINTRAC.

A large deposit from abroad is new information. The bank compares it with what it knows: your job, your savings history, your country. If it fits, there may be no questions. If the bank cannot explain it, it asks you. Banks do not publish a fixed list of what triggers questions. Read why your Canadian bank asks where your money came from for the reporting rules.

Is a FINTRAC report a problem for me?

No. A report is a record, not a decision. Banks must report every international electronic funds transfer of CAD 10,000 or more to FINTRAC within 5 business days. Two or more transfers within 24 hours that add up to CAD 10,000 or more count as one. Since January 2015, banks also report these transfers to the Canada Revenue Agency (CRA).

These reports happen in the background. You do not file anything. The report itself does not hold or freeze your money. A hold, if one happens, comes from the bank's own review, and it usually ends when the bank gets the papers it asked for.

Do not split a transfer into smaller amounts to stay under CAD 10,000. The 24-hour rule already covers that, and splitting can itself look suspicious.

How can one set of papers answer both questions?

Most papers do double duty. Build one folder, paper and digital, before you move.

These are typical examples, not a rule. Each bank and each IRCC officer can ask for different papers. Translate papers that are not in English or French. For family gifts, see gift letters and down payments from family abroad.

Example: one family, two kinds of questions

Priya applies for Express Entry as a single applicant. She sold a flat in her home country and has CAD 60,000 in savings.

1. IRCC (proof): she gets an official letter from her bank. It shows the balance and the 6-month average. The balance is above CAD 15,263, so she meets the amount.
2. Before the move: she opens a Canadian account and wires CAD 60,000. Her Canadian bank reports the transfer to FINTRAC and the CRA. She does not file anything herself.
3. Canadian bank (source): the bank asks where the money came from. She sends the sale deed, and the statement showing the sale money arriving in her home account.
4. The bank closes its review. The money stays in her account.

The same bank statement helped with both. The sale deed was only needed for the bank. This example is illustrative; each bank's process is different.

What mistakes cause delays?

• Large new deposits just before an IRCC application. A sudden jump in balance needs an explanation for IRCC and later for your bank.
• Borrowed money shown as savings. Express Entry does not allow borrowed funds.
• No paper trail for cash. Cash saved at home is hard to prove. Deposit savings into a bank account over time, and keep receipts for large cash deposits.
• Money sent from someone else's account without a letter. The bank will want to know who sent it and why.
• Carrying CAD 10,000 or more without declaring it. Read how to declare money at the border.

Common questions

Sources

• IRCC: Proof of funds, Express Entry
• IRCC: Study permit, proof of financial support
• FINTRAC: Politically exposed persons and heads of international organizations (definitions of source of funds and source of wealth)
• FINTRAC: The PCMLTFA and client identity verification
• FINTRAC: Financial transactions reported to FINTRAC
• FINTRAC: Ongoing monitoring requirements
• CRA: Electronic funds transfer reporting
• Justice Laws: Proceeds of Crime (Money Laundering) and Terrorist Financing Act

Checked against these sources on October 10, 2026. Spotted something out of date? Tell us.