Top 3 Things Students Want When Paying Tuition
I know the pain that Finance VPs in higher education experience. It seems like every day that someone comes to you saying “Our students need new technology. Can we squeeze it into the budget?” I own the P&L, so I get it.
Did you know that your university payment systems can take away some of your pain? Meeting new demands from students and parents will actually save you money. How? We sponsored a revealing survey with Aite Group that explains the potential savings.
Here are the top three things students and parents want when dealing with their college bills:
Digital self-service payment optionsDon’t be offended, but today, parents and students don’t want to talk to someone to make a payment. Our survey revealed that 90 percent of students and parents who pay by calling in or walking into your office would switch to paying you online if they could. They want a few upgrades to your university payment system to make paying online easier, such as:
- Text message reminders to pay
- Online answers to billing questions
- Credit card and ACH payments
Implementing these changes and moving these payments online will save your staff time.
Interactive and personalized eBilling that answers their questionsWhen it comes to billing systems, you can spend less and get more.
79 percent of students and parents receive tuition bills on their phone or computer. Does your university have this many families using eBilling?
These eBills save you money. They also offer students bonus features like videos, billing FAQs and personalized messages.
Unfortunately, 40 percent of families receive both paper and electronic bills. This means you may pay twice to send bills to these families.
To achieve the cost savings that eBilling offers, follow the lead of a university that achieved 100 percent eBilling. They reached this goal while preventing complaints by communicating the change using: emails, postcards and website messages.
The top reason people continue to receive papers bills is that they use the paper bill as a reminder to pay. You can address this concern with email and text message reminders that link to the eBill and remind parents and students to pay.
The ability to pay with a card, even if there’s a service feeThe top three things students and parents want when they pay you are:
To get these benefits, families increasingly pay tuition with credit and debit cards. Millennials especially prefer cards, paying 42 percent of tuition bills with a card and only 5 percent via check. They pay with a card even if there’s a fee to get this service.
57 percent of colleges and universities don’t let payment processors take a slice of their pie. They avoid paying credit card fees by shifting the expense to those families who want to pay with a card.
Worried about complaints over the fees? Read how Indiana Wesleyan and Spalding University avoided issues by offering ACH for free.
As LEGO Batman said, “If you wanna make the world a better place, take a look at yourself and make a change. Hoo!” So take a look at how your payment volumes compare to the higher education industry by reading the full survey results that I summarized above.
Related Blog Posts
Taking a Holistic View of ISO 20022 Migration and Payments Modernization in the Pacific
Today’s payments modernization efforts, most notably real-time payments, not only work to satisfy changing consumer preferences and behaviors, they also serve to future-proof national economies throughout the world. But for real-time payments to deliver maximum value, consumers and financial institutions must be able to exchange meaningful and actionable information — hence the development of ISO 20022, a standard for electronic data interchange that facilitates the fast, standardized and secure exchange of financial messages across borders.
How ISO 20022 Represents Both a Challenge and an Opportunity for Southeast Asia’s Payments Landscape
Governments across Southeast Asia (SEA) are increasingly recognizing the vital role that payments play in the engines of their economies, which has resulted in a number of payments modernization initiatives such as those in Vietnam and Malaysia (PayNet). Yet there is one particular area in which SEA’s financial institutions might still be lagging behind their global counterparts: the adoption of ISO 20022, which has become the global standard for high-value payments and immediate payments (IP) when it comes to cross-border payments.
Ready or Not, The Time Is Now for Real-Time Payments
Research from ACI and GlobalData confirms that demand for real-time payments is only going in one direction: up. The root cause of this increasing demand is rising customer expectations and behaviors; clunky and opaque payment experiences are becoming less tolerable in a world where customers can buy, watch and listen to almost anything with a swipe, tap or click.
When It Comes to Payments, COVID-19 Crisis Could Lead to Long-Term Shifts in Consumer Behavior [Q&A]
ACI Worldwide and GlobalData recently launched Prime Time for Real-Time, a new global report tracking and analyzing real-time payments volumes, growth and dynamics across 30 global markets. According to the global research, an industry first, more than half a trillion real-time payments transactions will be processed over the next five years. I discussed what the findings mean, and how the COVID-19 pandemic might be a further catalyst for behavioral change, with ACI’s global head of real-time payments, Craig Ramsey.
TCH RTP and FedNow: What’s Next for U.S. Immediate Payments?
It has taken some time, but immediate payments (IP) are on the move in the United States. Although the speed of adoption has been slightly behind the curve of regions like India, the Nordics and the U.K., the U.S. has seen significant year-on-year IP growth of 69 percent.
Social, Mobile and Instant Payments: How Digital Payment Overlay Services Will Power Up P27
For some years now, the Nordics region has been a global-standard bearer for payments and financial services innovation. Sweden has for many years been a leader in the progressive move towards cashlessness, championing the range of efficiencies that it brings. Major payments innovators like Klarna, FundedByMe and iZettle are based in the region, rubber-stamping Stockholm as a genuine fintech hub. Analysts and insight leaders also regularly single the Nordics out as a genuine leader, in particular praising the collaboration between governments, regulators, financial institutions and businesses that has led to such fertile ground for financial modernization initiatives.
Women in Payments: Celebrating International Women’s Day 2020
International Women’s Day, celebrated on March 8, honors the social, economic, cultural and political achievements of women – including equality for all women.
To commemorate the occasion, we spoke with a few female leaders in the payments industry about what the day means both for them and for the wider payments industry. The comments and insights we received were nothing short of inspiring and encouraging.
Women in Payments: Student Perspectives on the Payments Industry (Part 1)
Last month, ACI’s Omaha office hosted six students from the University of Nebraska Omaha’s Information Technology department for a one-day event, showcasing ACI’s solution offerings and the company’s role in the global payments industry. The six students, all of whom were members of UNO’s Association for Computing Machinery-Women (ACM-W) chapter, had previously participated in one of ACI Omaha’s Coding for Girls Camps.
How to Meet ISO 20022 Migration Deadlines for Fedwire and SWIFT
Over the next decade, we will undoubtedly see huge shifts in how financial institutions throughout North America transact, whether domestically or across international borders. This will be driven not just by changing technologies, but also by regulatory events – such as the widespread adoption of financial messaging standards like ISO 20022.
How Can European Banks Meet the ISO 20022 Migration Deadlines for TARGET2 and SWIFT?
First published in 2004 – and already broadly used in some quarters – ISO 20022 is rapidly set to become the de facto standard for financial messaging around the world, replacing MT messages.