The first weekday of every month is a busy day in every academic institution. This is the day when parents go to the administrative office with their children’s fees. They stand in long queues, wait for their turn to pay the fees, and rush to their workplace after making the payment. On the other side, the administrators spend most of the day collecting the fees, entering the data, and providing receipts.
Before the digital era, the activities performed on this day were necessary. But the advent of modern digital solutions and school management software has made all these obsolete. With a digital payment system, parents can pay their children’s tuition fees with a click of a button, and educational institutions can keep all the details and information in a secured database.
The digital payment system makes the fee collection system more efficient and improves students’ outcomes as administrators dedicate more time to creating effective syllabi and exam patterns. It also helps institutions in making their offices and transactions paperless. In this blog post, we discuss nine benefits of digital payment systems in educational institutions.
1. Ensures the timely payment of fees
In the traditional way of fee payment, it’s not uncommon to find some parents paying their children’s school fees several days after the due date. There may be different reasons for that, but some get late due to their busy schedules and no reminders. A good digital payment system, however, can take care of the problem. It will send parents notifications before the due date, and the automated fee reminders and SMS alerts will remind them that the payment date is near.
2. Convenient and saves time
When parents can pay fees with just a click of a button, they will prefer to visit the institute and standing in long queues to make the payment. Parents also can pay using a variety of payment facilities, including net banking, mobile apps, or UPI transfer. It guarantees quick operations as the entire transaction will take a few seconds, and parents will be able to download fee receipts as physical evidence. The digital payment system in educational institutions will also save administrators’ time as they don’t have to handle all that wads of cash, count it, and store it inside the safe.
3. Economical and saves costs
A good digital payment system is extremely cost-effective and saves many costs for both institutions and parents. It saves the costs of ledgers, registers, fee cards, and other paper-based documents for educational institutions. It saves the transportation costs for parents and gives them the freedom to pay from their offices or homes. The timely notifications and reminders also save them from paying late fees.
4. Minimizes chances of loss or theft
When parents digitally pay the academic fees, the amount goes straight to the institute’s bank account. The storage and security systems in a bank are far safer compared to that of any educational institution. This minimizes the chances of loss and theft. By adopting a digital payment system, parents and students don’t have to carry cash to pay the fees. This reduces their risks of losing their hard-earned money or getting robbed.
5. Facilitates in paperless administration and office work
Many schools and educational institutions have made their administrative and office work paperless using advanced school management software, and many more are looking to do the same. They are considering converting paper-based documents into electronic ones and adopting a digital payment system to collect fees. Many educational institutions are looking to adopt complete digital solutions to equip their students for the future in the digital world.
6. Safe from harmful pathogens and germs
Old paper currency and coins (in circulation for a long time and changed many hands) carry many pathogens. They pose a risk to those who handle it regularly and become extremely hazardous in a global pandemic or a local endemic disease. Digital payment, however, eliminates the risks associated with traditional money. During the coronavirus pandemic, digital payment increasingly replaced traditional monetary transactions.
7. User friendly
Advanced digital payment system and school management software is extremely user friendly. Apart from providing various payment facilities, it shows real-time analytics, is built for quick operations and helps users view all the details. Parents can also pay the fees during nonoffice hours with a few simple steps.
8. Provides greater value for money
Digital payment solutions can provide greater value for money than traditional payment. Some schools offer cash-back and discounts when parents pay the tuition fees digitally. Some also provide attractive discounts in the case of advance or on-time payment of fees. Also, the digital payment system encourages parents and students to develop healthy fiscal habits.
9. Enables better recording and tracking
Some parents may need the fee receipts and cards for professional reasons. In such a case, they would search for the paper documents stored over the months and choose the ones they need. With a digital payment system, they can get the past transaction reports and all the payments in a particular time period in one place. Also, educational institutions can get all the fee details of a particular student in one place. A robust school management software will enable them to view all their transaction history.
The digital payment system in educational institutions benefits both parents and administrators. It enables parents to pay their children’s fees on time, at their convenience, and download the fee receipts and all previous transactions. It enables institutions and administrators to keep the money safe, save time, and move towards paperless office work. At MyEdu, we provide a digital payment system integrated with our school management software that will transform your institution. Reach out to us today to know how we can help you with our solution.