Canada has long been a preferred destination for Indian students pursuing international education. However, in 2025, Immigration, Refugees and Citizenship Canada (IRCC) introduced sweeping policy changes that are reshaping the study permit landscape. If you’re planning to study in Canada, understanding these updates is not optional, it’s essential.

This blog breaks down the three most significant changes introduced by IRCC and what they mean for Indian students and applicants in the pipeline.

1. Provincial Attestation Letter (PAL) Now Mandatory

IRCC has made the Provincial Attestation Letter (PAL) a mandatory requirement for most study permit applications submitted on or after January 22, 2025.

What is a PAL?
A PAL is an official document issued by Canadian provinces or territories confirming that the student is approved under their educational cap. No PAL = No Study Permit.

Why this matters:

• PAL is now a prerequisite to apply for a student visa.

• Only Designated Learning Institutions (DLIs) can help you obtain it.

• This could delay application timelines by 2–4 weeks if not planned early.

Many students are unaware that their college must be DLI-approved and PAL-enabled. At Globcred.Money help filter institutions accordingly during the loan approval stage, saving weeks of potential delay.

2. IRCC Now Shares Rejection Reasons Transparently

Until recently, many students received generic visa rejection letters with little to no explanation, making it difficult to understand what went wrong. But starting in 2025, IRCC is now issuing clearer and more detailed rejection reasons, often via GCMS Notes or official summaries.

Why This Matters:

• Students now have better clarity on what led to the refusal - whether it's weak financial proof, doubts about intent, poor documentation, or program mismatch.

• This enables stronger reapplications with corrected issues.

• Appeals and reconsiderations are now more informed and data-driven.

At Globcred.Money, we help students interpret rejection reasons line-by-line. Our advisors also rebuild your loan file and supporting documents to directly address IRCC’s concerns - improving success in re-application or appeal.

3. Stricter Financial Requirements: Proof of Funds Now CAD 20,635

IRCC has increased the minimum financial requirement for study permit applicants to CAD 20,635, up from CAD 10,000. This amount excludes tuition and is aimed at covering living expenses for one year.

Why this matters:

• You must show sufficient funds in your education loan or bank account.

• Insufficient proof of funds remains one of the top reasons for visa rejection.

• Students now need to showcase up to ₹25–30 lakhs, including tuition + living + travel.

At Globcred.Money, our lender network includes banks and NBFCs that offer 100% cost of attendance loans, ensuring you meet IRCC’s updated financial criteria without depending on family savings. Apply now!

4. Nationwide Cap on Study Permits Issued

To curb over-enrollment and maintain quality education standards, Canada introduced a national cap on study permits. For 2025, this cap is set at 360,000 permits, a 35% reduction compared to previous years.

What this means:

• Greater competition for limited slots.

• Students must apply earlier than usual to secure seats and funding.

• Visa approvals may be prioritized for high-ranked institutions and programs aligned with Canada’s labor market needs.

Globcred Insight: Students backed by credible financials and enrolled in top DLIs are statistically shown to have higher visa approval rates. Our AI-driven evaluation helps align your loan file to these success patterns.

Be Prepared, Not Surprised

IRCC's 2025 updates aim to streamline and safeguard Canada's international education ecosystem—but they also raise the bar for student preparedness. Understanding PAL timelines, meeting new financial benchmarks, and navigating the capped visa process are crucial.

Planning to study in Canada in 2025?
Start early. Align your finances. Choose the right institution. And make sure your loan documents match IRCC’s evolving expectations.