Collecting school fees by UPI: a guide for school offices

Most parents already pay for groceries, electricity and phone recharges by UPI. Asking them to stand in a queue at the fee counter, or to write down a bank transfer reference on a slip, is asking a lot. But taking fees online brings a new job for the office: knowing which payment belongs to which child.

There are two ways to take fees by UPI, and they solve that job differently.

1. Through a payment gateway

A payment gateway (Razorpay, PayU, Cashfree and others) gives the parent a checkout where they can pay by UPI, card or net banking. The gateway tells your software exactly which payment was for which fee, the moment it succeeds.

What’s good about it

• Every payment is matched to the right student automatically.
• Parents can use cards and net banking as well as UPI.
• Failed or half-finished payments are recorded, so you can see who tried and couldn’t.

What to know

• Gateways charge a fee on each transaction. Rates differ by method and change over time, so check the current rates before you decide who bears them.
• Money reaches the school’s account a day or two later, in batches, rather than one payment at a time.
• The gateway needs your school’s documents to open an account, which takes a little time.

2. Straight to the school’s own UPI ID

The school shares its own UPI ID or QR code, and parents pay it like any other shop. There is usually no fee for this, and the money lands at once.

The catch is matching. The bank statement shows a name and an amount — often the parent’s name, not the child’s — and nothing that says which fee it was for. Offices end up with a stack of screenshots on WhatsApp and a spreadsheet to reconcile.

How to make it work

• Ask for exact amounts. A payment of exactly the amount due on one child’s bills is much easier to match than a round figure.
• Use the payment note. A UPI link can carry a note — the admission number, for instance — that shows up on the bank’s record.
• Read the bank’s alerts, not screenshots. The credit alert from the bank is the proof that money arrived; a screenshot only shows that someone meant to send it.

Whichever you choose

Some things matter either way:

1. A receipt every time, sent to the parent the same day. It stops the phone calls asking “did you get it?”
2. One rule for part payments. Decide whether you accept them and the smallest amount you’ll take, and apply it to everyone.
3. Late fees written down. If a fine applies after a date, say so on every reminder, and apply it the same way for every family.
4. A plan for refunds and mistakes. Parents occasionally pay twice. Decide who approves a refund and how quickly it goes back.

How CampusMonkey does it

CampusMonkey supports both: payment through Razorpay, and payment straight to the school’s own UPI ID, where the bank’s credit alerts are read and matched to the right bills. Either way the receipt goes to the parent on WhatsApp. You can see it working in a demo.