How to Pay International Tuition Fees as a Canadian Student

So, you’ve just received the exciting news—you’ve been accepted into a study program abroad! Whether you’re a first-year student diving into your undergraduate journey or a seasoned scholar pursuing a post-graduate degree, studying in a foreign country is an adventure that will likely become one of the most unforgettable chapters of your life.

But let’s be honest, it’s not all excitement and thrill. There’s a fair share of paperwork that can feel a bit overwhelming. One of the big questions on your mind might be: “How do I pay my tuition fees as an international student?” This can seem tricky if you haven’t yet set up a bank account in your new country or figured out the local payment methods. And with international tuition fees often topping $20,000 a year in many English-speaking countries, getting this right is crucial.

We’ll walk you through the process of paying your tuition fees as a foreign student, covering the common challenges and offering tips to save money along the way.

Payment options: What’s your plan?

As mentioned earlier, tuition for international students can be quite steep. So, you’ll want to consider the payment methods you’ll use. Here are some averages to give you an idea about the total annual cost of studying and living in different countries as a Canadian. The cost might vary depending on a number of factors, including the university, your program, and lifestyle.

• US - Tuition: 50K-60K (USD) | Living Expense: 20K (USD)
• UK - Tuition: 38K-46K (GBP) | Living Expense: 15K (GBP)
• Europe - Tuition: 45K-54K (EUR) | Living Expense: 18K (EUR)
• Australia - Tuition: 75K-90K (AUD) | Living Expense: 30K (AUD)

Bank transfers (SWIFT)

Bank transfer through the SWIFT network is one of the most common methods for paying international tuition fees. It is secure and widely accepted and allows you to send money directly from your home bank account to your school’s account abroad, making it suitable for handling large sums. However, there are some drawbacks to consider. Transfers can take several days to process, which might be an issue if you work with tight deadlines. Additionally, fees can be high, with both your sending and receiving banks potentially charging for the service. Moreover, the exchange rates banks offer are often less favourable than other options.

Online money transfer services

Online money transfer services like MTFX have become increasingly popular for international tuition payments. These services typically offer lower fees and more favourable exchange rates than traditional banks, making them a cost-effective option. The platforms are easy to use, with fast processing times, often completing transactions within a day or two. However, not all services are available in every country, so you’ll need to check availability before relying on this option.

Credit/Debit cards

Paying with a credit or debit card is one of the most convenient ways to cover your tuition fees. Many universities accept card payments, and the process is almost instant, which is great if you want to settle your tuition quickly. However, the convenience comes at a cost. Foreign transaction fees can be high, and the exchange rates offered by card providers are less competitive than those of money transfer services. Some universities may also charge additional processing fees for card payments.

Foreign Currency Demand Draft

A Foreign Currency Demand Draft (FCDD) is a prepaid, paper-based payment method that you can send to your university. It’s a secure method and widely accepted by most universities. One of the main advantages is that the exchange rate is fixed at the time of purchase, so you know exactly how much you’re paying. However, the process is slower than digital methods, as it involves physical draft delivery. Additionally, fees are usually associated with issuing the draft, which can add to the cost.

Stay on top of your payment deadlines

Once you've figured out how to pay your tuition, it’s important to know the exact amount owed and the overall fee structure. Understanding these details will give you a clear picture of the costs and how to manage them. Thankfully, universities usually provide detailed breakdowns on their websites or through student services, so a quick search, email, or phone call can get you the information you need.

Next, decide whether you’ll pay your tuition in one lump sum or in installments. Paying all at once means you’re done for the year, but it can be a big hit to your bank account. On the other hand, paying in installments, like quarterly or biannually, spreads out the payments, making them more manageable. Just be sure to keep an eye on due dates—missing them can lead to late fees or even more serious consequences, like having your program cancelled or graduation delayed.

Ensure you have the correct bank info

Now that you're ready to pay your tuition, it’s time to choose your payment method. While your university likely offers multiple options, we recommend using an international bank wire for its high level of transparency and security throughout the entire process. To get started, gather all the necessary banking details for your wire transfer. Double-check these details to ensure they’re correct—accuracy is key to a smooth transfer. Once you have everything in place, you can move on to the money-saving part.

• Account name: Typically, the university’s official name.
• Account number: The specific number associated with the university’s bank account.
• SWIFT/BIC code: The bank’s international identifier for secure transfers.
• Bank name and address: The name and physical location of the university's bank.
• IBAN (if applicable): The International Bank Account Number used in some countries.
• Additional routing information: Includes specific codes depending on the country (e.g., ABA routing number for US, Sort Code for UK).
• Payment reference: Any specific reference or student ID number to include with the payment for correct allocation.
• Currency information: The currency in which the payment should be made.

Avoid paying tuition fees through the bank

Sending an international wire transfer from your bank account can be unexpectedly costly. Banks use the SWIFT network to handle these transfers, which involves multiple steps and third-party banks taking a cut along the way. This process not only takes time—up to five business days—but also adds layers of hidden fees. The worst part? You often won’t know the full cost until you’re about to click ‘Send’ on your online banking.

So, just how expensive is it? Foreign currency bank transfers typically cost between 5% and 10% of the total. This isn’t just a standard fee; banks often hide the cost in the exchange rate they offer. For example, if you need to send $10,000 to a UK university from Canada, you could end up paying around $10,500 to $11,000 instead of paying the fair exchange rate. That’s up to $1,000 more due to the less favourable exchange rate your bank uses.

Save on your tuition fee payments with MTFX

You can significantly reduce transfer costs and get better exchange rates by choosing MTFX for your international tuition payments. Unlike traditional banks, which charge high fees and offer inflated exchange rates, MTFX provides competitive rates that can save you a considerable amount. This can make a big difference, especially when paying large sums like tuition fees.

MTFX not only helps you avoid the hidden fees that come with typical bank transfers but also offers a faster, more transparent process. With MTFX, you’ll know exactly how much you’re paying upfront, with no surprises when sending your money. This makes it easier to budget for your international tuition and ensures your money goes further.

Cost-effective, secure, and quick global payments

Paying your international tuition doesn’t have to be a stressful experience. You can simplify the process and save money by choosing the right payment method, gathering accurate banking information, and opting for a cost-effective service like MTFX. These steps will give you peace of mind, knowing your payments are secure and your costs are minimized.

As you start your academic journey abroad, remember these tips to ensure your finances are in order. With the right approach, you’ll be able to focus on what truly matters—making the most of your time as an international student.

Create your MTFX student account today and save up to thousands of dollars every year on your tuition fees and living expenses.