Tuition Payment Plans Can Help You Pay for Higher Education and Make Student Loans Unnecessary
Installment plans allow payments to be stretched out instead of paid in one lump sum, making the payment process predictable
Students getting ready to go college have a lot on their minds: finding classes, decorating dorm rooms, catching up with friends, and figuring out the best way to balance a job. With these concerns weighing on them, the thought of how to pay tuition is one thing that many students and their parents would prefer not to worry about. But there are options available to make it a bit easier.
enter tuition payment plans
Fortunately, there are many options available for those looking for a way to pay for higher education, and one of the least-known is the tuition payment plan offered by many, though not all, colleges. These plans enable students to stretch out their payments across a period of time, such as a semester or a calendar year, instead of making one large lump sum payment.
There are some schools that do not offer direct payment plans but that will accept one set up through a third party. Some of the larger companies offering this service include Tuition Pay, Higher One, and Tuition Management Services.
How they work
Tuition payment plans are short-term installment plans that split the costs of higher education into equal monthly payments, typically twelve months or less. Being able to make payments in installments over the course of time makes things more manageable. Some families may be able to make all payments soley from their monthly incomes, making it completely unnecessary to take out loans.
About the plans
Even though many tuition repayment plans charge small enrollment fees, most of these tuition payment plans are interest-free. Depending upon the plan, there may be additional fees or finance charges, so always ask about the complete costs before enrolling in such a plan.
Most often, the payment plans spread payments into monthly installments, whereas others defer payments and have you only one three of four equal payments during the semester.
Start the process early
If the parents or student wishes to enroll in such a plan, it is best to do so a few months prior to the beginning of the semester, though the exact timing will depend on the requirements of the school. Some schools allow credit card payments but will charge a higher fee for them. Payments can also be automatically drafted from a bank account.