60% of parents seek installment facility to pay school fees: Credin survey

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The Ahmedabad based government recognized leading fintech Credin carried out a survey among 15,000 parents in Ahmedabad.

Highlights:

• Impact on business & salary cut in jobs during Covid-19 pandemic leads to late payment or non-payment of school fees
• 55% of parents believe to keep liquidity in hand looking at the uncertainty and delaying school fees payment
• 60% of parents are seeking installment facility to pay the school fees
• 68% of parents observed an impact in their income due to the pandemic
• 51% of parents believe that considering the Covid-19 is going to impact the normal life this year too
• 70% of the parents don’t want to send their children to the school till they are not completely sure about the end of this pandemic.
• CredinShiksha Program helps parents to pay school fees on time which they can repay in installments with 0% interest
• 40% of parents delay payment of fees as they are expecting more discount in fees from schools and the government

With the Covid-19 cases are rising and no clarity on when the schools will open regularly, parents are awaiting directions from the authorities on the school fees for the new academic year. About 40% of parents face difficulties paying school fees post lockdown this year. As the businesses and jobs have hit hard, the parent community is focusing more on savings and seeking easy installment facilities to pay the fees.

Ahead of the court’s verdict on fixing the school fee for the current academic year, Ahmedabad-based leading fintech firm Credin carried out an extensive survey. The Govt of India recognized fintech runs a CredinShiksha program that helps parents to pay school fees on time which they can repay in installments with 0% interest. Around 30,000 parents were invited to participate in the survey in which 50% of parents responded to various questions related to their economic condition and other financial aspects.

Also Read: Universities worldwide opting for hybrid model: Yatharth Gulati

According to the survey, 55% of parents believe to keep liquidity in hand looking at the uncertainty and delaying school fees payment. 68% of parents observed an impact in their income due to the pandemic and believe it may take time to get settle. Not that people are not willing to pay the fees. 60% of parents are seeking installment facilities to pay the school fees. Hoping to hear some good news, 40% of parents delay payment of fees as they are expecting more discount in fees from schools and the government.

Manan Choksi, Executive Director of Udgam School for Children & Zebar School for Children said “In last one year, we received many requests from parents allowing them delay in payments or additional discounts in fees. In genuine cases, we have extended best possible help to the parents. Due to the pandemic, 25% of fees waived off as suggested by the government but we have observed that many parents have yet to pay their fees of last academic year. In such scenario, managing fix expenses is big challenge for any school. CredinShiksha program will ease our parents to pay their fees in installment with no interest where school will also get liquidity on time to manage their fix expenses”.

The study also revealed the changing mindsets of the people living under the fear of uncertainty. 51% of parents believe that considering the Covid-19 is going to impact the normal life this year too, the schools should opt for the online study model only. 70% of the parents don’t want to send their children to the school till they are not completely sure about the end of this pandemic.

To ease-out the financial burden of school fees, Credin offers an easy installment facility to the parents. Once the parent registers with the company, it pays the full year fees of a student to the school. The parent can repay the fee in easy installments at a 0% interest rate.

Birju Naik, Co-Founder, Credin says “With CredinShiksha program, we are helping parents to pay school fees easily and it’s creating a huge impact. Schools need fees as they have to manage fixed expenses, staff salaries, and the cost of managing the digital learning platforms. With the CredinShiksha program, we offer a win-win solution for both educational institutions and parents.”

Credin is DPIIT, Govt of India recognized leading fintech offering innovative digital credit proposition that creates an impact. Credin, co-founded by Ex- Citi bankers Birju Naik and Rupesh Bishnoi in 2019, has emerged as the leading retail lending platform from Gujarat.

“At Credin, we are evolving daily and integrating technology to offer more relevant credit products for the people in real need of affordable credit. CredinShiksha program is to enable education ecosystem with the help of credit and technology. We are getting good responses from our partner schools. Even, these schools are more forward-looking, tech-savvy, always concerned about the parents and hence more curious to explore the new proposition that is in the best interest of the parents” added Mr. Naik.