Enrollment Deadline Nears for Prepaid College Tuition Program

Families have until February 28, 2010 to lock in college tuition and required fees at current rates for the state’s public colleges.

“The Texas Tuition Promise Fund helps put higher education within reach for all families,” Texas Comptroller Susan Combs said. “Whether it’s a four-year degree or career training at a community college, saving for college will help our children will gain the skills they need for well-paying jobs.”

The state’s pre-paid college tuition program allows families to prepay for undergraduate tuition and required fees. They can prepay for a four-year degree, a two-year degree or for just a few classes or semesters, at prices based on 2009–10 academic year costs for the state’s public colleges:

Type I units, priced for tuition and required fees for up to the most expensive public four-year school in Texas, cost $103.40 per unit.

Type II units, priced at the weighted average of tuition and required fees across all Texas public four-year schools, cost $71.75 per unit. 

Type III units, priced at the weighted average cost of tuition and required fees across all Texas public two-year schools, cost $17.78 per unit.

Under the plan, 100 units equal one academic year of tuition and required fees. Families can buy up to six years (600 units) worth of undergraduate education. The plan offers several payment options, including lump-sum payments, pay-as-you go or the installment payment option, which includes an annual interest rate.  The plan offers several payment options, including lump-sum payments, pay-as-you go or the installment payment option, which includes an annual interest rate.While benefits are geared toward Texas public colleges and universities, the plan value can also be used toward the cost of private or out-of-state schools.  Unused units can be transferred to another qualified beneficiary or refunded. based on college costs for the 2010-11 academic year.

For information about the prepaid tuition program, including a college cost calculator, go to www.TuitionPromise.org or call (800) 445-GRAD (4723), Option 5.