It’s not shocking news that there is an increasing need for schools to provide digital, mobile, and contactless payment options to their students. Generation Z (born between 1996 -2012) now makes up a large percentage of college students. This younger generation is much more comfortable with financial technology. Tapping their credit card for a contactless transaction or hitting ‘send’ on their mobile phone to make a payment is second nature to them. Since Covid-19, the demand for cashless transactions has increased exponentially. Safety concerns temporarily moved students and school office staff away from cash, checks, and in-person deposits. Nevertheless, these changes are here to stay. Now, many business offices still offer the option for staff to operate remotely.
So is your school ready to become a cashless business office? In a cashless office, schools don’t accept cash payments, and payment by check is minimized (usually only accepted electronically.) Students can choose to make electronic in-person payments through a kiosk or via similar solution.
How to Become a Cashless Business Office:
Before transitioning, your school should provide an audit of the following questions:
- First, list the payments and fees your school charges. Along with tuition, are there housing fees, meal plan costs, etc.? Ensure that there is a way for students to pay these accounts digitally.
- Look at the cost/benefit analysis of cash versus digital payments. Consider the hidden fees associated with cash and check payments: trips to the bank, armored car services, bounced checks, account reconciliation, and manual input.
- Where on campus have cashless options successfully been introduced, i.e. bookstore, cafeteria, etc.? In what locations or departments can you implement cashless options?
- Determine the logistics of implementation. For example, which decision makers should be involved? Which departments will the changes affect? Additionally, what concerns do they have?
- Do some research to connect with a business partner that provides an online tuition payment platform.
- Finally, communicate early and often with your students as to what to expect moving forward. Set a date for the cashless transition to begin and offer support for setting up an online account, etc.
