Over the summer, the Institute changed many of the options through which students could pay their bursar’s bills. They added the ability, through the Student Information System, for students to pay by credit card or checking/savings accounts online. Simultaneously, they reduced in-person payment options to check or cash and mail options to just checks. While paying the bill online is a convenience, and one can do so via a bank account at no extra charge, the fact that a 2.5 percent transaction fee is now being charged on all credit card transactions is unfair to students, especially those that have no other payment option than credit card.
The Bursar’s office has said that in past years the transaction fees were paid by the Institute and that they were around a quarter of a million dollars. While this is no doubt a large amount, passing the 2.5 percent fee on to students this year must be looked at in context. From last year to this year, tuition increased by roughly seven percent and room and board went up about 3.7 and 4 percent, respectively. This additional fee only adds to the burdens caused by the increases from last year.
The new payment methods were originally promoted by the Institute as a positive change, and in some ways they are. Students can now pay their bills electronically—via bank accounts or credit cards. At the same time, however, a student who wants to put any part of a bursar bill on a credit card is now faced with this additional 2.5 percent transaction fee—and it cannot be avoided by taking a trip to the Bursar’s office to pay via credit card since they are no longer accepted in person.
If a student were to charge a year’s tuition on their credit card—and not pay any money for on-campus room and board—this 2.5 percent fee would add an additional $775 to tuition. While we encourage all students to pay via options other than credit cards for now, we urge that the Institute reevaluate this situation and find a way to eliminate additional financial burden put on the students.
