Australia Proposes Stricter Financial Rules for International Student Visas

What Was Announced

• The Australian Department of Home Affairs has launched a public consultation on proposed changes to the student visa system, which remains open until 23 November 2026 [1].
• The government is considering four options to strengthen financial checks for international students [1].
• Option one involves depositing 50% of total tuition fees and living expenses for the entire course into an eligible Australian bank account for at least one month, with withdrawal restrictions [1].
• Option two requires the same 50% amount to stay in an Australian bank account for three months without withdrawal restrictions [1].
• Option three requires students to deposit 100% of first-year tuition fees and living expenses for three months, with possible access restrictions [1].
• Option four allows applicants to use approved education loans, scholarships, or personal savings, with possible limited exemptions from transferring funds to an Australian account [1].
• Under the proposals, students must submit financial evidence regardless of their education provider’s Evidence Level classification [1].
• Applicants from Evidence Level 3 countries could face additional checks, such as providing bank statements covering at least six months of transactions [1].
• The government plans to revise the Genuine Student (GS) assessment to focus more on academic records, course selection, and previous educational progress [1, 2].
• Assistant Minister for International Education Julian Hill stated that high rejection rates are discouraging genuine students and noted that many applicants fear rejections will affect future visa chances in other countries [1].
• Hill denied that rising refusals are linked to migration targets, stating authorities are concerned about applicants who cannot realistically afford studies without relying on long-term migration [1].
• Charles Sturt University Vice-Chancellor Renée Leon noted that offshore higher education student visa grants have fallen by more than 40% compared to the previous year [1].
• The proposed temporary measures would not increase the current amount students must demonstrate to prove financial capacity [1].
• The government has not made a final decision and will review feedback from the consultation before introducing changes [1].
• Other announced reforms include compulsory offshore lodgment rules for certain student subclasses, restrictions on visa-hopping onshore, and reduced programs for family dependents [2].