New Zealand has introduced an important financial verification system for international students called the Funds Transfer Scheme (FTS). In 1 April 2026, this update has become highly important for Nepali students planning to study in New Zealand because Immigration New Zealand (INZ) is now focusing more on genuine financial proof, secure fund management, and transparent student visa processing.
If you are planning to study in New Zealand from Nepal, understanding the new FTS policy is now essential before applying for your student visa.
What is FTS in New Zealand?
The Funds Transfer Scheme (FTS) is an official financial system managed by Immigration New Zealand and operated through ANZ Bank New Zealand. Under this scheme, eligible international students must transfer their living expenses into a secure New Zealand bank account before their visa is fully approved.
The purpose of the scheme is to:
- Verify that students genuinely have access to sufficient funds
- Reduce fake financial documents
- Ensure students can support themselves while studying in New Zealand
- Improve transparency in student visa processing
This policy has become a major part of New Zealand’s student visa system in 2026.
Major 2026 Update for Nepali Students
One of the biggest updates is that Nepal has now officially been included in the New Zealand Funds Transfer Scheme (FTS). According to Education New Zealand and Immigration New Zealand updates released in 2026, most Nepali students receiving Approval in Principle (AIP) may now be required to use the FTS system.
This means:
- Nepali students may no longer rely only on local bank statements
- Students may need to transfer living expenses directly into a New Zealand ANZ FTS account
- Immigration New Zealand gains direct confirmation of available funds from ANZ Bank
The government believes this system will:
- Reduce visa fraud
- Increase visa credibility
- Speed up student visa processing
- Improve financial security for students
How the FTS Process Works
The process usually begins after a student receives an Approval in Principle (AIP) letter from Immigration New Zealand.
Step 1: Receive Approval in Principle (AIP)
If Immigration New Zealand is satisfied with your academic and visa documents, they may issue an AIP letter. This letter may state that you must use the Funds Transfer Scheme before final visa approval.
Step 2: Open an ANZ FTS Account
Students must apply for:
- An FTS savings account
- An everyday transaction account
These accounts are managed through ANZ Bank New Zealand.
Students must complete the application personally.
Step 3: Transfer Required Funds
Students must transfer the required living expense amount into the FTS savings account.
Required Living Funds for 2026
| Study Type | Required Amount |
| Tertiary Education | NZD $20,000 per year |
| School Level Study | NZD $17,000 per year |
These funds are separate from tuition fees.
For example:
- If your tuition fee is NZD $25,000
- Your total financial preparation may need to be around NZD $45,000 including living expenses
Monthly Release System Explained
One important feature of FTS is that students cannot withdraw all the money immediately after arriving in New Zealand.
Instead
- The money is released monthly into the student’s everyday account.
For tertiary students:
- Around NZD $1,666 per month is automatically transferred.
This system is designed to:
- Help students manage expenses properly
- Prevent misuse of funds
- Ensure students have continuous financial support during studies
Why New Zealand Introduced FTS
Immigration New Zealand has increased financial scrutiny for international students, especially from countries where fake financial documents and non-genuine applications have become concerns.
The FTS system helps:
- Verify genuine access to money
- Reduce dependency on temporary bank deposits
- Increase trust in student applications
- Create a more secure visa process
This is why financial transparency is becoming one of the biggest factors for student visa approval in 2026.
Important Documents Required for FTS
Students generally need:
- Passport
- Approval in Principle (AIP) letter
- ANZ FTS application form
- Proof of source of funds
- Tuition fee payment receipt
- Financial documents matching visa application details
The financial history and source of funds must clearly match the documents submitted during the visa process.
Does FTS Guarantee Visa Approval?
No.
Using the Funds Transfer Scheme does not automatically guarantee student visa approval. Immigration New Zealand still evaluates:
- Academic background
- Genuine study intention
- SOP quality
- Course relevance
- Immigration history
- Financial credibility
However, using FTS can strengthen financial trust in the application.
What Happens if the Visa is Rejected?
If a student visa is declined:
- Students can request a refund from ANZ Bank
- Students must provide the visa refusal letter from Immigration New Zealand
The funds remain protected under the system.
Can Students Withdraw Extra Money?
Normally, students receive only the fixed monthly transfer amount.
However, in special situations like:
- Medical emergencies
- Financial hardship
- Serious personal situations
Students may request additional withdrawals. Approval depends on ANZ and Immigration New Zealand review.
Benefits of FTS for Nepali Students
Although many students initially feel nervous about the policy, FTS actually offers several benefits.
Safer Financial System
Money is secured in a New Zealand bank account.
Better Visa Credibility
Immigration officers gain confidence that funds are genuine.
Reduced Fake Document Concerns
FTS minimizes suspicion regarding temporary deposits or manipulated statements.
Easier Expense Management
Monthly release helps students manage living expenses responsibly.
Faster Visa Processing Possibility
Education New Zealand has indicated that expanding FTS may support smoother and faster visa decisions.
Important Advice for Nepali Students Applying in 2026
Prepare Funds Early
Avoid last-minute deposits or sudden unexplained transactions.
Maintain Clear Financial History
Immigration officers may check:
- Source of income
- Sponsor relationship
- Bank transaction history
- Income tax records
- Business documents
Apply Early
New Zealand experiences heavy student visa demand before intakes. Applying early can reduce stress and delays.
Choose Genuine Courses
Students applying for unrelated courses may face more scrutiny.
Avoid Fake Financial Documents
Immigration New Zealand has become much stricter in 2026 regarding financial verification.
Final Thoughts
The New Zealand Funds Transfer Scheme (FTS) is now one of the biggest updates affecting Nepali students in 2026. The government is moving toward a more secure, transparent, and financially verified student visa system.
For genuine students, FTS can actually improve visa credibility and financial security while studying abroad. However, students must prepare carefully, maintain genuine financial records, and understand that proper documentation is now more important than ever.
If you are planning to study in New Zealand from Nepal, understanding the new FTS process early can help you avoid delays, confusion, and visa complications.
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