Proof of funds: How to calculate the 6-month average?

[CADparity]

Hello,

I'm reading the POF instructions and noticed that they say that you need to provide "the average balance in the past six months".

Does anyone know how this balance should be calculated and presented?

For one thing, should this be one number that represents the balance averaged over the past six months? Or should we show six numbers - one average for each month?

 

[Asivad Anac]

It is a single number - the average balance over the last 6 months counting back from the date of the letter. Let your bank decide how they calculate this.

 

[CADparity]

It is a single number - the average balance over the last 6 months counting back from the date of the letter. Let your bank decide how they calculate this.

Thank you very much for your help.

So if I'm supposed to show only one number for the 6-month average, what if this figure is very different from the ending balance?

I have a personal account to which I transfer funds regularly from my business account whenever I distribute profits (I operate a small business and this is where my earnings are accumulated). So my personal account, which I'm going to show on the POF, grows over time as I have started to put more money into it in order to save the minimum amount needed. And because of this gradual growth it is quite possible that the average balance on the POF will be 6,000-7,000 CAD, while the ending balance on the statement will be 12,000 or more, depending on when I will have to show it.

Wouldn't that discrepancy be a problem? Shouldn't I transfer more money at once from my business funds to my personal account as early as possible so that the average balance will be higher and there's no such a discrepancy between the average and the final balance?

 

[Banff2015]

How does really prove anything?like if someome is coming from Europe where it is in recession. But they are in Canada on an lmia. Then the proof of funds will look bad.

 

[intensecool]

I just went to my bank and got a letter from them stating how long i have owned the account, my PRESENT balance in INR and converted to CAD as on that specific date of letter issue.

Is this wrong way to work as proof of funds ?

 

[CADparity]

I just went to my bank and got a letter from them stating how long i have owned the account, my PRESENT balance in INR and converted to CAD as on that specific date of letter issue.

Is this wrong way to work as proof of funds ?

According to the CIC requirements, you also need to show the 6-month average balance of the account.