Australia Weighs Stricter Financial Rules for International Student Visas
Australia has opened public consultation on proposals that could require international students to deposit tuition and living costs in Australian bank accounts before applying for a visa, as authorities respond to high rejection rates.
Australia is considering significant changes to its student visa framework, including stricter financial requirements that could oblige international applicants to place tuition fees and living expenses in Australian bank accounts before lodging their visa applications, according to a public consultation opened by the Department of Home Affairs.
The consultation, which opened on October 30 and is scheduled to remain open until November 23, 2026, follows concerns over persistently high visa rejection rates, particularly among applicants from South Asian countries. Under the proposals, the government is weighing four options for strengthening financial checks on international students.
The first option would require students to deposit 50 percent of total tuition fees and living expenses for the entire course in an eligible Australian bank account for at least one month, with restrictions on withdrawals. A second option would require the same amount to sit in an Australian account for three months without withdrawal restrictions. A third would require students to deposit 100 percent of first-year tuition fees and living expenses for three months, with possible limits on accessing the funds.
The fourth option would allow applicants to demonstrate financial capacity through approved education loans, scholarships, personal savings or a combination of these sources, with limited exemptions from transferring funds to an Australian account. The proposals would also require financial evidence to be submitted with visa applications regardless of an education provider's Evidence Level classification, while applicants from countries rated Evidence Level 3 could face extra checks, including bank statements covering at least six months of transactions.
The government is additionally considering stricter verification of education loans, with secured and government-backed financing preferred over unsecured personal loans. However, the proposed temporary measures would not raise the existing amount students must demonstrate to prove their financial capacity.
The outcome of the consultation could affect thousands of prospective students, including many from Pakistan and other South Asian nations who view Australia as a leading study destination. Stakeholders have until the consultation's closing date to submit feedback on the proposed options before any changes are finalized.
