Top Three Benefits of Offering Electronic Refunds
Today’s students want everything instantly and their refunds are no exception
Over the last few years, the use of automatic payments has increased in popularity
Electronic refunds offer convenience, security, and savings for both your students and institution
In the technology-driven world your students are accustomed to, they want everything instantly, from package delivery to TV shows on demand. Students don’t want to wait for anything – and refunds from your institution are no exception. One way to get your students their refunds faster is to offer electronic refunds. This not only helps your institution’s business office streamline payment processes by automating these transactions and eliminating paper checks, it also gets your students their refunds quickly and securely.
Here are our top three benefits for offering your students electronic refunds:
The use of automatic payments has increased in popularity. According to PYMNTS.com, the use of ACH (Automated Clearing House) transactions increased during the COVID-19 pandemic as businesses began moving to electronic payment adoption. In 2021, Nacha reported that Same Day ACH payment volume grew nearly 74 percent, meeting the demands of faster payments needs. When it comes to your institution, offering your students ACH direct deposit refunds can avoid delays in payments as these transactions can be made in as little as one business days.
Unlike using a paper check, which can go through many hands and displays sensitive account information, ACH files are encrypted and sent electronically through the ACH Network. This ensures all account information is kept confidential, making ACH payments more secure than other forms of payments. Along with this, Nacha continually updates their rules for ACH payment processing keeping ahead of any potential issues regarding automatic payment transactions.
By offering electronic refunds at your institution, you not only save your staff time and money, but you also pass along these savings to your students. If your business office processes refunds electronically, there are no paper checks to print and distribute. This saves staff time and allows them to focus on other efforts. As for students, not having to pick up their paper check and then take it in for a deposit, saves them time as well – it’s a win-win.
At Nelnet Campus Commerce, we maintain compliance and give your institution refund options with Nelnet Refunds. Your students can choose to receive refunds quickly through ACH, and we also support refunds with a paper check. Featuring prompt refunds paired with text and email communication and authentication security, Nelnet Refunds creates a smart experience for everyone.
Read how Cornell University implemented Student Choice Refunds
Author: Natalie Schwarz
Natalie Schwarz is a Content Marketing Writer for Nelnet Campus Commerce. She holds a Master of Arts degree in Creative Writing and has over a decade of professional writing experience. When she’s not crafting content for blogs, case studies, and social media, you can find her enjoying the outdoors with her husband and their twin boys or relaxing with an embroidery project and a podcast.