DPDPA: New Rules for Schools on Student Data Protection

How the DPDPA Reshapes Data Privacy Responsibilities for Schools

The Digital Personal Data Protection Act (DPDPA) 2023 marks a turning point in how Indian institutions collect, store, and use personal data — especially when it involves children. Schools, which manage some of the most sensitive personal information, now fall under a higher level of regulatory scrutiny.

From admission records and attendance systems to online learning apps and transport tracking tools, schools process large volumes of data every day. Under the new DPDPA regulations, such processing must now comply with strict principles of lawfulness, fairness, and consent, particularly when dealing with minors.

The Act not only outlines what schools should do but also explicitly lists what they must not do when handling children’s personal data.

Why Student Data Requires Special Protection

Children are considered a vulnerable group under DPDPA. They often lack the maturity to understand how their personal data might be used or shared. For this reason, the law places additional responsibilities on schools, digital platforms, and third-party vendors who interact with student data.

The goal is to ensure that educational institutions respect the privacy, dignity, and safety of every student, while parents retain full control over their child’s digital footprint.

Common School Practices Now Restricted Under DPDPA

To strengthen data protection for minors, the DPDPA now restricts several previously common practices that many schools may not have realized were non-compliant.
Here are the key prohibitions every school must understand and enforce:
1. Tracking or Behavioral Monitoring of Students
Activities that involve tracking, monitoring, or profiling students’ online behavior are now restricted.
Examples include:

• Monitoring student engagement on learning apps beyond academic analytics.
• Collecting behavioral insights for disciplinary or performance-based profiling.
• Using surveillance data to evaluate student personality traits or predict behavior.

Such activities violate the DPDPA’s core principle of data minimization, which requires that only data strictly necessary for educational purposes be collected and used.

2. Targeted Advertising Directed at Children
Schools and their associated digital platforms must refrain from displaying or promoting targeted advertisements to children.
This means:

• EdTech apps, learning portals, or school websites cannot show ads based on student preferences or activity.
• Partnered vendors must disable any ad-targeting features for minor accounts.
• Marketing campaigns involving student data must be approved under verified parental consent mechanisms.

The DPDPA aims to prevent commercial exploitation of minors’ data — a growing concern in the digital education ecosystem.

3. Processing Children’s Data Without Verifiable Parental Consent
Under the Act, no personal data of children under 18 years can be processed without explicit and verifiable consent from parents or legal guardians.
This includes:

• Collecting photos, names, addresses, health records, and academic data.
• Using student data for competitions, online activities, or digital learning tools.
• Sharing student information with vendors or third-party service providers.

Schools must adopt robust Parental Consent Management Systems to obtain, verify, and record consent before processing any data related to minors.

Penalties for Non-Compliance

The DPDPA imposes strict financial and reputational consequences for violations.

Failure to comply with these provisions may lead to:

• Fines up to ₹250 crores, depending on the severity of the breach.
• Mandatory data audits and corrective compliance orders.
• Possible suspension of data-processing activities until compliance is achieved.

Beyond penalties, non-compliance can severely damage a school’s reputation and erode trust among parents and students.

How Schools Can Ensure DPDPA Compliance

To operate responsibly and confidently under the new law, schools should implement a structured compliance plan that includes:

• Data Mapping: Identify where student data is collected, stored, and shared.
• Consent Management: Establish verifiable parental consent systems for all digital and offline data collection.
• Vendor Governance: Ensure all third-party service providers handling student data are vetted and compliant.
• Staff Training: Educate teachers and administrative staff on data protection responsibilities.
• Regular Audits: Conduct periodic data protection audits to identify gaps and improve security.
• Data Minimization: Collect only the data essential for educational purposes, and retain it only as long as necessary.

By embedding these practices, schools can demonstrate accountability and ensure their operations align with both the spirit and the letter of the DPDPA.

The DPDPA represents more than just a legal obligation, it is an opportunity for schools to adopt a culture of privacy and trust. Educational institutions that proactively adjust their systems today will not only avoid penalties but also build stronger relationships with parents who value transparency and safety.

Student data protection is now a shared responsibility, between schools, teachers, vendors, and parents. Implementing proper governance, consent mechanisms, and awareness programs ensures that children’s information remains protected in an increasingly digital learning environment.
Partner with DPDPA for Schools to implement end-to-end solutions for student data protection, parental consent management, and vendor governance.