How do refunds work?

At any time, a Purchaser may terminate the Prepaid Tuition Contract and receive a refund of monies paid, less a cancellation fee and any other applicable fees as defined in Article IX of the Master Agreement. This refund is payable within 4 to 6 weeks after a written request is received.

If the Beneficiary is at least 18 years old or has graduated from high school when the contract is voluntarily cancelled, such contract may be refunded in an amount equal to the average amount of tuition and required fees of junior college plans, junior/senior college plans, and senior college plans or the estimated amount of private tuition and required fees for the private college plan in effect at the time the refund is requested, less (i) a cancellation fee; and (ii) any other applicable fee as defined in Article IX of the Master Agreement. In no case shall a refund be made in an amount less than the total amount paid by the Purchaser under the contract less any applicable administrative fees or amounts previously distributed.

Can I get a scholarship refund?

Under any plan, if the Beneficiary receives a full scholarship, for tuition and required fees, the amount of tuition and required fees that would have been paid under the plan selected may be refunded. Under a junior college plan, junior/senior college plan, or a senior college plan, the amount of such refund shall not exceed the tuition scholarship amount. Refund payments may be issued each academic term as long as the scholarship is effective. The Purchaser of the Prepaid Tuition Contract shall be entitled to such refund. Proof of scholarship must be submitted in a form acceptable to the Board.

Under the junior college plan, junior/senior college plan, senior college plan or private college plan, if a Beneficiary receives a partial scholarship for tuition and required fees the tuition scholarship amount may be refunded. Refund payments may be issued each academic term as long as the scholarship is effective. The Purchaser of the Prepaid Tuition Contract shall be entitled to such refund. Proof of scholarship must be submitted in a form acceptable to the Board.

What if the beneficiary or purchaser dies or becomes disabled?

If the Beneficiary dies or becomes disabled while attending an institution of higher education or a private or independent institution of higher education, the amount of benefits remaining available under the Prepaid Tuition Contract, less any applicable fees, may be refunded. A lump sum refund may be made within four to six weeks after the Program is notified of the death or disability to the Purchaser of the Prepaid Tuition Contract, provided proof of death or disability is submitted in a form acceptable to the Board.

If the Beneficiary dies or becomes disabled before contract benefits have been used, a refund may be issued or the benefits under such contract may be transferred to another qualified Beneficiary. If a change of Beneficiary is not requested, a lump sum refund may be made within four to six weeks after the Program is notified of the death or disability to the Purchaser of the Prepaid Tuition Contract, provided proof of death or disability is submitted in a form acceptable to the Board. For junior college plans, junior/senior college plans, or senior college plans, the refund amount will be equal to a pro rata amount of the average amount of tuition and required fees in effect at the time the refund is requested, such pro rata amount determined by the number of payments made under the contract by the Purchaser divided by the number of payments required to pay the contract in full. For private college plans, the refund amount will be equal to a pro rata amount of the estimated amount of private tuition and required fees in effect at the time the refund is requested, such pro rata amount determined by the number of payments made under the contract by the Purchaser divided by the number of payments required to pay the contract in full.

If the Purchaser who selected the junior college plan, junior/senior college plan, senior college plan or private college plan dies or becomes disabled and payments cease before the contract is paid in full, and unless otherwise directed by the Purchaser in writing, a refund may be made. The refund amount will be equal to a percentage of the average amount of tuition and required fees for the applicable plan type in effect at the time the refund is requested, determined by reference to the percentage of payments made under the contract by the Purchaser.

If either the Beneficiary or the Purchaser does not meet the criteria listed above, the refund will be calculated as the amount of contract payments made less a cancellation fee and other applicable fees as defined in Article IX of the Master Agreement.