With your Confirmation of Acceptance for Studies (CAS) secured, you’re now ready to tackle the final and most important step: your UK student visa application. From a prestigious UK university! It’s a moment of pure joy and a massive step towards your dream. But as you move to the next stage—the UK Student Visa application—you’ll encounter the most critical and often confusing hurdle: the financial requirement.
More UK student visa applications are refused because of incorrect financial documents than for almost any other reason. It’s not usually because students don’t have the money, but because they fail to show it in the exact way that UK Visas and Immigration (UKVI) demands. The rules are strict, precise, and leave no room for error.
But don’t worry. This guide will be your rulebook demystifier. We will break down the official formula into simple steps, explain the critical “28-day rule” in plain English, show you exactly how much money to show in Indian Rupees, and provide a checklist of acceptable documents. By the end of this article, you will be able to prepare your financial records with a level of precision that will lead to a successful visa approval.
The Golden Formula: Calculating Your UK Visa Funds
The UKVI needs to see that you have enough money to pay for your remaining tuition fees and support yourself financially during your studies. The amount you need to show is calculated using a particular formula:
Total Funds Required = (Outstanding First-Year Tuition Fees) + (Required Living Costs for 9 Months)
Let’s break down each part of this golden formula.
Component 1: Your First-Year Tuition Fees
This is the total fee for the first academic year of your course.
- The Key Word is “Outstanding”: You only need to show the portion of the fee that you have not yet paid. Any amount you have already paid to the university as a deposit will be mentioned on your CAS and can be deducted from the total.
- Where to find it: The exact tuition fee and the amount you have already paid will be clearly stated on your CAS letter.
Component 2: Your Living Costs (The “Maintenance Funds”)
This is a fixed amount set by the UKVI to cover your accommodation and living expenses. The amount depends on a straightforward factor: whether your university is in London or outside London.
For Studying IN London:
- You must show £1,334 per month for up to 9 months.
- Total Living Costs = £12,006
- In Indian Rupees: This is approximately ₹12.7 Lakhs (assuming an exchange rate of 1 GBP = 106 INR).
For Studying OUTSIDE London:
- You must show £1,023 per month for up to 9 months.
- Total Living Costs = £9,207
- In Indian Rupees: This is approximately ₹9.75 Lakhs.
Let’s Do the Math: Two Clear Examples
Example 1: Anjali is going to King’s College London.
- First-Year Tuition Fee (on CAS): £28,000
- Tuition Deposit Paid (on CAS): £4,000
- Outstanding Tuition Fee: £28,000 – £4,000 = £24,000
- Living Costs (IN London): £12,006
- Total Funds Anjali Must Show: £24,000 + £12,006 = £36,006 (approx. ₹38.1 Lakhs)
Example 2: Rohan is going to the University of Manchester.
- First-Year Tuition Fee (on CAS): £25,000
- Tuition Deposit Paid (on CAS): £2,500
- Outstanding Tuition Fee: £25,000 – £2,500 = £22,500
- Living Costs (OUTSIDE London): £9,207
- Total Funds Rohan Must Show: £22,500 + £9,207 = £31,707 (approx. ₹33.6 Lakhs)
The Golden Rule You CANNOT Break: The “28-Day Rule” Explained.
This is the most critical rule in the entire process. Failing to follow it will lead to an automatic refusal.
The Rule: You must prove that you have held the total required amount of money (as calculated above) in your or your parent’s bank account for a minimum of 28 consecutive days.
- Consecutive Means Unbroken: The bank balance cannot drop below the required amount for even a single day within those 28 days.
- The Closing Date: The end of these 28 days (the date on your final bank statement) must be within 31 days of you submitting your online visa application.
Example Timeline:
- Rohan needs to show £31,707.
- He ensures his bank account has at least this amount from July 1st to July 28th.
- His bank statement is dated July 28th.
- He must submit his online visa application before August 28th (within 31 days of the statement date).
Where Can the Money Come From? Acceptable Funds & Sponsors
The UKVI is also very strict about the source of your funds.
Acceptable Financial Sponsors
For Indian students, the only acceptable sponsors are:
- You (the student).
- Your parents or legal guardians.
Funds from an uncle, aunt, sibling, or family friend are not accepted.
Acceptable Sources of Funds
|
✅ Acceptable Sources of Funds |
❌ Unacceptable/Risky Sources of Funds |
|
Savings Account: In your or your parent’s name. Must follow the 28-day rule. |
Business Bank Account: Funds must be in a personal account. |
|
Fixed Deposit (FD): The FD must be at least 28 days old, and a letter from the bank must confirm that it can be withdrawn immediately. |
Credit Cards / Overdrafts: These are considered credit facilities, not available funds. |
|
Education Loan: A sanction letter from a regulated bank (public or private). |
Property, Gold, or other Assets: You cannot show the value of property. You must show liquid cash funds. |
|
Official Sponsorship: A letter from a government-recognised international company sponsoring you. |
Provident Funds (PF/GPF): These are generally not accepted unless the funds have been fully withdrawn into a savings account and held for 28 days. |
The Role of Your Financial Sponsor: A Deeper Look
When your parents act as your financial sponsor, they are taking on a formal responsibility. The UKVI needs to be entirely sure about this arrangement.
What is the Sponsor’s Responsibility?
By providing their bank statements, your parents are not just showing they have money. They are also providing a signed declaration (a consent letter) stating that they are willingly and unconditionally allowing you to use these funds for your education and living costs in the UK. This is a formal commitment.
The “Relationship Proof” is Non-Negotiable
This is a point where many applications falter. You must provide official legal documentation to prove the relationship between you and your sponsor.
- For Parents: Your original birth certificate is the primary and most accepted document.
- For Legal Guardians: You will need to provide the relevant court orders or legal documents that establish the guardianship. The UKVI is extremely strict about this to prevent fraudulent applications.
A Note on the Sponsor’s Financial Credibility
While the UKVI does not formally ask for your parents’ Income Tax Returns (ITRs) like Australia does, the funds shown in their account must appear legitimate and consistent with their financial standing. A sudden, massive, unexplained deposit just before the 28-day period can raise red flags, even if you hold it for 28 days. The source of funds should always be clear.
Also Read: Top 10 High-Paying Careers You Can Pursue After a Foreign Degree
Preparing Your Documents: The Perfect Financial Evidence File
Your documents must be in the exact format required by the UKVI.
If Using Bank Statements:
- They must be from a bank that the Reserve Bank of India regulates.
- They must be original, official bank statements printed on the bank’s letterhead and stamped on every page.
- They must clearly show: the account holder’s name, the account number, the bank’s name and logo, and the whole transaction history for the 28 days.
If Using a Fixed Deposit (FD):
- You need the original FD receipt.
- You also need a letter from the bank on their official letterhead confirming the details of the FD and explicitly stating that the funds are readily available for withdrawal. This letter must be dated within 31 days of your application.
If Using an Education Loan:
The loan sanction letter is your primary document. It must:
- Be dated within the last 6 months.
- Clearly state your name (the student).
- Show the name and logo of the regulated financial institution.
- Confirm the total loan amount sanctioned.
- State that the loan is for you and will be available by the time you travel to the UK.
If Using a Sponsor (Your Parents):
You will need three additional documents:
- Their official bank statements (following all the rules above).
- A signed letter of consent from them, confirming their relationship to you and that they permit you to use their funds for your education.
- Proof of your relationship to them (your original birth certificate).
Bright Tip: Reducing the Amount You Need to Show
There is a way to reduce the total “show money” required. Any money you have already paid to the university can be deducted.
- Tuition Fee Deposit: The deposit you paid to secure your place (e.g., £4,000 for Anjali) is already deducted from the tuition fee component. This will be on your CAS.
- Accommodation Deposit: If you have paid a deposit for your official university-owned accommodation, this can also be deducted from the living costs component. The maximum you can deduct for accommodation is £1,334. This payment must also be reflected on your CAS.
Understanding Your “Low-Risk National” Status
You may have heard that India is on the UK’s “low-risk” country list. It’s essential to understand precisely what this means and what it doesn’t.
What Does “Low-Risk” Mean?
Being from a country on this list (also called the “differentiation arrangement”) means that you are not required to submit your financial or academic documents with your initial online visa application. This is designed to make the initial submission process faster.
The Critical Mistake to Avoid
“Not having to submit” does NOT mean “not having to prepare.” This is the most dangerous assumption a student can make. The UKVI retains the right to request these documents from you at any point during the processing of your application. This is known as a “spot check.”
Suppose you receive a request to provide your financial evidence, and you cannot produce the perfect, rule-compliant documents within the given timeframe (usually a week or two). In that case, your visa application will be refused. There are no second chances.
Our Expert Advice: Always Be Prepared
At GlocalED, our policy is firm: every student must prepare their financial documents to the highest standard, precisely as if they were required to submit them from day one. This completely removes the risk of being caught unprepared by a spot check and ensures your application is built on a solid foundation.
After Visa Approval: Managing Your Funds
Congratulations, your visa is approved! What now? Here’s how to manage the funds you worked so hard to prepare.
Do I Need to Keep the Money in the Account?
Once your visa has been granted, you no longer need to hold the exact required amount in your account according to the 28-day rule. The purpose of the rule—to prove your financial capacity to the UKVI—has been fulfilled. You are now free to use these funds for their intended purpose.
Transferring Your Tuition Fees
The safest and most efficient way to pay your outstanding tuition fees is through official channels. Your university will provide you with options, which often include:
- Wire Transfers: A direct bank-to-bank transfer.
- Payment Platforms: Services like Flywire are commonly used by universities and offer reasonable exchange rates.
- Demand Drafts: A more traditional but still reliable method.
Carrying Funds for Living Expenses
It is not wise to carry a large amount of cash. The best approach is a combination of:
- A Forex Card: Load a portion of your living expenses onto a multi-currency forex card before you leave India.
- Initial Cash: Carry a small amount of cash (£200-£300) for immediate expenses upon arrival.
- Open a UK Bank Account: As soon as you arrive and enrol, open a UK student bank account. You can then transfer the rest of your living funds from your Indian account to your new UK account.
Your UK Visa Funds: Precision is the Key to Success
Navigating the UK student visa financial requirements is not about being rich; it’s about being precise, organised, and following a particular set of rules. The 28-day rule is non-negotiable, and your documents must be perfect. One small mistake—a missing stamp, a date that’s off by one day, a balance that dropped for a few hours—can lead to a refusal.
This is the essential paperwork of your study abroad journey. Treat it with the seriousness it deserves, and you will have a smooth and successful application.
Don’t want to leave anything to chance?
The GlocalED visa experts are masters of these rules. We conduct a thorough review of every financial document to ensure it is 100% compliant with UKVI standards. Book a free visa file review with us and apply with complete peace of mind.
Also Read: How to Apply for an Education Loan for Studying Abroad?
Frequently Asked Questions (FAQs)
Do I still need to show funds even though India is on the “low-risk national” list?
Yes, you should always have the funds and documents ready. While Indian nationals may not be required to submit their financial documents upfront with their application, the UKVI can request to see them at any point during the process (this is called a “spot check”). If you are asked and cannot provide them, your visa will be refused. You must have everything prepared.
Can I use a Fixed Deposit (FD) as proof of funds?
Yes, but with a condition. The FD must be at least 28 days old, and you must provide a letter from the bank confirming it can be liquidated or withdrawn at any time. FDs with long, unbreakable lock-in periods are not acceptable.
Can my uncle or brother sponsor me for my UK student visa?
No. For the UK Student Visa, the only acceptable financial sponsors are you (the student) and your parents/legal guardians. Funds from any other relatives, like uncles, siblings, or grandparents, are not permitted.
What should be the date on the bank statement/loan letter?
The closing date of your bank statement or the date on your loan letter must be no more than 31 days before the date you submit your online visa application.
How much money should I show in Indian Rupees (INR)?
You must calculate the required amount in Pounds Sterling (GBP) first, then convert it to INR using the official exchange rate on the day you submit your application. It is always an excellent idea to keep a buffer of at least ₹1-2 Lakhs extra in the account to protect against any sudden changes in the exchange rate.