Navigating finances while pursuing education abroad remains one of the most overlooked yet critical aspects of student life. From managing fluctuating exchange rates and high remittance fees to grappling with regulatory hurdles and delayed international transactions, Indian students often find themselves in a financial maze. Beacon, a pioneering Fintech venture, is transforming this experience through innovation and empathy.
In this exclusive interview, Aditya Mhatre, Co-Founder and CPTO of Beacon, shares his insights into the challenges faced by Indian students abroad and how Beacon’s India Bill Pay and SuperApp are revolutionising cross-border financial management.
Q. What are the biggest financial challenges that Indian students face when making payments to India while studying abroad?
Based on my personal experience and feedback from thousands of users, Indian students abroad face several hurdles in managing cross-border finances. The main challenges include understanding complex international payment systems, excessive fees, juggling financial responsibilities in two countries, and navigating complicated regulations. Accessing India’s banking systems from abroad is difficult, leading many to rely on NRI accounts or family support. These solutions are inconvenient, costly, and emotionally taxing.
Q. How do high remittance fees and fluctuating exchange rates impact students’ financial stability?
High remittance fees and unstable exchange rates have a direct effect on students’ already limited budgets. Our research shows that traditional bank transfers from India can cost up to 50% more than necessary, significantly reducing funds available for education and living expenses. For students on tight budgets, these added costs cause undue financial pressure—one of the core problems Beacon addresses through our SuperApp.
Q. What are the common delays or difficulties students face when transferring money through traditional banking channels?
International transfers often take between 1 to 5 business days. Even SWIFT payments average 18 hours. Delays may be compounded by bank cut-off times, time zone differences, public holidays, multiple currencies, intermediary banks, documentation, and fraud checks. Such delays create stress, especially when students need to make urgent payments for tuition or rent.
Q. Many students rely on parents or third-party services to make payments. How does this dependency affect their financial independence and planning?
While family support is crucial, constant reliance on parents for financial transactions can hinder students’ journey towards financial independence. Coordinating across time zones for urgent payments is not only inconvenient but also emotionally and mentally taxing. At Beacon, our goal is to empower students with tools that foster self-reliance while maintaining familial connections.
Q. Are there any compliance or regulatory hurdles that make it difficult for students to transfer money to India for essentials?
Yes, navigating the regulatory frameworks between India and countries like Canada is challenging. The Reserve Bank of India (RBI) imposes strict oversight. For instance, Tax Collected at Source (TCS) applies differently to education-related remittances—5% for bank accounts and 0.5% for loans over ₹700,000. Furthermore, the scrutiny around NRI fund transfers adds another layer of complexity that students are often unprepared to handle.
Q. How do Indian students typically manage multiple payments (tuition, rent, bills, etc.), and where do existing remittance services fall short?
Students often use a mix of services and rely on family members to handle various payments. Traditional remittance platforms primarily focus on sending money to India rather than facilitating direct payments. They also lack integration with Indian billing systems, making it hard for students to pay bills directly in foreign currencies. This fragmented setup leads to inefficiencies and additional stress.
Q. How does India Bill Pay simplify the process for students making payments to India?
India Bill Pay offers a single platform to pay Indian bills using Canadian dollars. With a 100% digital KYC and onboarding process that takes just 10 minutes, students can pay over 21,000 Indian billers, including utilities, student loans, home loans, school fees, and hospital charges. The system auto-fetches due amounts and sends reminders, enabling students to manage finances independently and efficiently.
Q. What are the key differences between Beacon’s India Bill Pay and traditional remittance services?
Beacon’s India Bill Pay is tailored for the immigrant community in Canada. Unlike traditional services, which simply move money, our platform enables direct payments to Indian billers in Canadian dollars. Backed by Bharat Connect (BBPS) and YES BANK, we offer a fully digital, integrated, and transparent solution, eliminating the need for NRI accounts or family mediation.
Q. How does Beacon eliminate hidden fees and reduce transaction costs for students?
Beacon is built on transparency and cost-efficiency. Our transfers are approximately 50% cheaper than traditional bank remittances. We use direct banking integrations and optimised exchange rates to minimise transaction costs. These savings significantly ease the financial burden on students.
Q. Security and compliance are crucial in financial transactions—how does Beacon ensure safe and reliable transfers?
Security is non-negotiable. Beacon complies with all RBI policies and is registered as a Money Services Business (MSB) with FINTRAC in Canada. Our integration with YES BANK ensures secure settlements. We use multi-layered security systems to safeguard financial data and transactions.
Q. Does India Bill Pay offer faster processing times compared to traditional banking methods?
Yes. Traditional transfers can take days, but our system is designed for speed. KYC is instant, and payments through our Indian gateway are completed within 30 seconds. After onboarding, students can make real-time payments—critical for emergencies or last-minute dues.
Q. Is India Bill Pay available in multiple countries, and how accessible is it for Indian students worldwide?
Currently, our focus is on the Canada-India corridor, and we are the first in North America to offer this solution. However, we recognise the global need and are actively exploring expansion to other major education hubs.
Q. How does Beacon help students automate recurring payments like rent or tuition?
Our system auto-fetches due amounts and sends reminders for seamless recurring payments. This reduces the mental load on students and helps ensure that essential dues are paid on time without constant manual tracking.
Q. Given that students have limited budgets, does Beacon provide any tools for financial planning and expense tracking?
We are developing features that help users manage their finances holistically. While our current focus is solving immediate cross-border payment challenges, financial planning tools are in the pipeline to support long-term budgeting and financial literacy.
Q. Are there any partnerships with educational institutions or student organisations to expand Beacon’s reach and impact?
Yes, we’ve partnered with institutions like BMO in Canada and YES BANK in India. We’re also actively exploring partnerships with universities and student bodies to create targeted financial education and services for international students.
Q. How does Beacon assist students in case of transaction issues or emergencies?
Our platform is designed to be reliable, but we also provide responsive customer support through the Beacon Super App. Whether it’s a technical issue or an emergency transaction, students can quickly reach out, and our team is ready to assist.
Q. How do you see the landscape of cross-border payments evolving for students in the next 5–10 years?
We’re at the beginning of a transformation. Cross-border systems will become more integrated, regulatory frameworks more supportive, and technologies like blockchain may offer better transparency and lower costs. I believe students will increasingly have access to services tailored to their unique needs, making financial management more seamless and intuitive.
Q. Beyond payments, do you see Beacon expanding into other financial services to support students abroad?
Absolutely. Our vision is to build a comprehensive financial platform for Indian immigrants. The Super App already includes digital checklists and settlement tools. We plan to expand further into areas such as insurance, savings, and financial literacy—empowering students for every stage of their global journey.
Q. What advice would you give to Indian students on managing their finances efficiently while studying overseas?
Start early. Learn how the banking systems work in both countries and use platforms specifically designed for international students. Create a realistic budget, factor in currency fluctuations, and maintain an emergency fund in both countries. Most importantly, partner with financial services that understand your unique needs and are built to grow with you.
With its innovative, student-centric solutions, Beacon is addressing the financial pain points of thousands of Indian students abroad. Aditya Mhatre’s insights reflect a deep understanding of the evolving cross-border financial landscape and a commitment to empowering young migrants through seamless digital tools. As education continues to go global, platforms like Beacon are not just simplifying money matters—they are enabling dreams.
