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Parents are, collectively, paying a $100 million a year in junk fees, a couple bucks at a time, to send their kids lunch money electronically. That’s what we found in our latest Oklahoma Watch story.
School districts outsource the processing of digital deposits to private companies. MySchoolBucks is the largest, and operates in many of the districts we spoke with.
Each deposit parents make incurs a flat fee — typically $2.50 to $3.50. Those who send money more frequently carry a heavier burden of fees.
In November, the U.S. Department of Agriculture announced a ban on junk fees for students eligible for free and reduced lunch starting in the 2027-28 school year. That was the first step in a plan to eliminate junk fees for all families, the department said in a press release.
It’s unclear whether the department will enforce these changes under the Trump administration. But schools can be proactive and negotiate the fees on behalf of their families, seek outside funding to cover fees, allow families to pay by cash or check, and use electronic payment systems that allow bank account or ACH transfers, which have lower fees than the private companies, they said.
They also urged districts to communicate fee-free ways to pay for school meals.
Read the full story at Oklahoma Watch. Questions, comments, story ideas? Please reach out via email.
— Jennifer Palmer
Recommended Reading
- An Oklahoma County district judge dismissed a lawsuit brought by parents, grandparents and teachers against the social studies standards approved earlier this year. The judge said they failed to cite a law or rule that was broken. [Oklahoma Voice]
- A growing number of states and cities declined federal summer food dollars, putting more school-aged children at risk for going hungry. [The Hechinger Report]
- More than a third of families with at least one homeschooled child also have a student enrolled in a traditional district, evidence that rather than rejecting public education, families are mixing different forms to fit their children’s learning styles. [The 74]
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