Proof of funds/ loan in Dubai

[rumana1993]

Hello everybody,

I received my ita and am gathering my documents. I have the sufficient funds to show in my bank account as proof of funds but I have a personal loan too. I would like to know whether this will affect my profile. My loan amount is big and exceeds my proof of funds. Please let me know. Thankyou!

 

[hari_1326]

Your current situation is not clear from your post.

However, I will try to answer your question: if you are an expat in UAE and have a loan in UAE; you may show the funds in your home country. But do understand that, Immigration is an expensive process and to limit financial stress it is advisable not to have loans exceeding your savings.

 

[dr feras]

As far as I know, from reading previous posts, IRCC only wants to make sure that you didnt take the loan to show the proof of funds. I.e the amount of money you are bringing to canada isnt from a loan. I did ask a similar question regarding an old credit card loan, also not related to POF now but I pay small fee for that monthly like 100 dollars, but i didnt get an answer.
Hope someone can help you.
Good luck

 

[rumana1993]

Hello,

Thankyou so much for your reply, yes I am an expat living in the UAE and I have the proof of funds. I did take a personal loan, a year before I applied for immigration, I purely took it for myself and not for immigration, this was way before I even thought of applying for immigration. I received an ITA recently and now am gathering my documents, I intend to close the loan after PPR. Just wanted to check whether it will affect my case, hopefully it doesn't.

Your current situation is not clear from your post.

However, I will try to answer your question: if you are an expat in UAE and have a loan in UAE; you may show the funds in your home country. But do understand that, Immigration is an expensive process and to limit financial stress it is advisable not to have loans exceeding your savings.

 

[rumana1993]

Hello,

Thankyou so much for your reply, yes I am an expat living in the UAE and I have the proof of funds. I did take a personal loan, a year before I applied for immigration, I purely took it for myself and not for immigration, this was way before I even thought of applying for immigration. I received an ITA recently and now am gathering my documents, I intend to close the loan after PPR. Just wanted to check whether it will affect my case, hopefully it doesn't.

As far as I know, from reading previous posts, IRCC only wants to make sure that you didnt take the loan to show the proof of funds. I.e the amount of money you are bringing to canada isnt from a loan. I did ask a similar question regarding an old credit card loan, also not related to POF now but I pay small fee for that monthly like 100 dollars, but i didnt get an answer.
Hope someone can help you.
Good luck

 

[SpottedDick]

Just wanted to check whether it will affect my case, hopefully it doesn't.

Technically, your net assets are negative or something like that. If you explain the situation in details to the embassy, they may disqualify you on the "proof of funds" reason. Your choice...

 

[kashjuni]

Hello,

If you are using the same account for POF in which the loan amount was parked, then the officer will probably not accept your explanation that you thought about immigration after getting the loan. Are you not using the loan amount in ur POF?

 

[blisserhk13]

Is the loan in the same account as your saving account?
If so, your bank balance would show everything including your remaining loan balance

 

[rumana1993]

Hello,

Thankyou for your reply. My loan amount gets debited every month from my salary account, the same account where I am showing my POF. I can show them an amortization chart of my loan which starts wayy back in 2015. Unfortunately, to close this loan I might have to sell something which is time consuming and would take more than 3 months, but no, I am definitely not using the loan amount as POF, my loan amount was invested in something else entirely.

Hello,

If you are using the same account for POF in which the loan amount was parked, then the officer will probably not accept your explanation that you thought about immigration after getting the loan. Are you not using the loan amount in ur POF?

 

[rumana1993]

Is the loan in the same account as your saving account?
If so, your bank balance would show everything including your remaining loan balance

Hello,

Thankyou for your reply. My loan amount gets debited every month from my salary account, the same account where I am showing my POF. I can show them an amortization chart of my loan which starts wayy back in 2015.The chart does show the pending loan amount too, the amount is way more than POF. Unfortunately, to close this loan I might have to sell something which is time consuming and would take more than 3 months, but no, I am definitely not using the loan amount as POF, my loan amount was invested in something else entirely.

 

[kashjuni]

Hello,

Thankyou for your reply. My loan amount gets debited every month from my salary account, the same account where I am showing my POF. I can show them an amortization chart of my loan which starts wayy back in 2015. Unfortunately, to close this loan I might have to sell something which is time consuming and would take more than 3 months, but no, I am definitely not using the loan amount as POF, my loan amount was invested in something else entirely.

I think it still is an issue since personal loan is an unsecured loan. Only secured loans are non-problematic in my opinion. Your statements will show monthly loan debit and hence will attract the officers attention for sure.

Alternately, you can ask your parents to make a gift deed in your name and send you money for POF. Once you receive PPR, you can give them the money back. Nobody checks how much money you have in account after PPR until you land in Canada where the officer might ask for POF bank statement.

 

[omarkhan]

I think it still is an issue since personal loan is an unsecured loan. Only secured loans are non-problematic in my opinion. Your statements will show monthly loan debit and hence will attract the officers attention for sure.

Alternately, you can ask your parents to make a gift deed in your name and send you money for POF. Once you receive PPR, you can give them the money back. Nobody checks how much money you have in account after PPR until you land in Canada where the officer might ask for POF bank statement.

Sorry for butting in, but since I have a similar issue, having a loan against me, I'd like to know if my father's bank statement also has to be submitted along with the gift deed?

I had hear that having a loan against one is not a problem as long as i can prove that the pof is unencumbered.

 

[kashjuni]

Sorry for butting in, but since I have a similar issue, having a loan against me, I'd like to know if my father's bank statement also has to be submitted along with the gift deed?

I had hear that having a loan against one is not a problem as long as i can prove that the pof is unencumbered.

No need to show father's bank statement. Consider this, if you have an unsecured loan in Dubai, you will have to repay it before your visa can be cancelled for you to leave the job and move to Canada. Secured loans are a different story altogether.

 

[omarkhan]

No need to show father's bank statement. Consider this, if you have an unsecured loan in Dubai, you will have to repay it before your visa can be cancelled for you to leave the job and move to Canada. Secured loans are a different story altogether.

Actually I have taken a loan in the form of advanced salaries in my home city and from the bank where I have the salary account. I took this loan 3 years ago, and have paid 70% of the amount already along with interest. Is my case that of secured loan or unsecured?

 

[thourb]

I have asked this question before in respect of my own situation having funds outstanding on credit cards - technically not a loan, but still my credit card debt is a fair proportion of my immigration savings. The answer that I have received is that IRCC is absolutely not interested in your "net worth". They must be satisfied that you have sufficient unencumbered funds for the purposes of immigration - this means that you must not have taken the loan out with the intention of using it for POF.

If you can demonstrate through bank statements that you have been saving up gradually over a course of many months and demonstrate in a letter of explanation that the loan was taken out for other reasons and was not for immigration purposes then you should be fine. I have not been able to find any specific IRCC policy that explains in detail how debt affects your POF, but it seems that the experience of many members who now have PR is that unsecured debts are no bar to immigration, so long as you can prove that you saved the funds up yourself. The burden to prove this is on you, however and the IRCC agent who processes your application can decline your application if he/she feels that you may have been using the loan to show as POF: you must demonstrate that this is not the case in order to be in the clear.