<p>As we are getting ready to make funds available to pay for college, I am wondering: how are people typically billed for college? Like, do they send the bill per semester or per year? How far in advance do they send it? I'm sure one of you smart parents will know! Thanks.</p>
<p>Our school gives a choice of monthly payments or a lump sum.</p>
<p>We pay per semester, and the first check is due in June as I recall.</p>
<p>My first son's college billed at the start of each quarter, although there were payment plans available. My second son's college bills monthly during the school year, although the first payment of each semester is larger than the following ones. The first payment is due before the start of the semester/quarter.</p>
<p>Our son's school bills by semester, lump sum--due in July for fall. Our D's school will charge your credit card or let you send each semester in four equal payments.</p>
<p>We use TuitionPay Plan administered by Sallie Mae which divides the tuition into 10 monthly oayments. We just got the paperwork for hsi jr year tuition last week.</p>
<p>UCSD and UCLA may be paid either for the full year, per quarter (they're on a quarter system), and monthly.</p>
<p>Also using the TuitionPay Plan, and the first of 10 monthly payments is due June 1st (automatic deduction from savings).</p>
<p>I swallow hard at the concept of beginning payments months before my D steps foot on campus, but I guess that's how it's done.</p>
<p>We had the option of semester in full in August & December or over the year (interest free).</p>
<p>We pay by the semester and depending on the college (I have 2 at 2 different schools), they bill with due dates either by August 1 or due by August 30. Then the 2nd semester is billed in early January and due by February 1st or so.</p>
<p>When our college savings fund is tapped out, we'll probably look into that Tuition Pay Plan referenced here!</p>
<p>Tuition pay is a good deal. Costs $60. to sign up but it is an interest free way to spread out the payments. We are taking the funds from a custodial account and they will draw the funds monthly, thus leaving some principal to accrue interest in the meantime. Of course, we only have enough in their for the first year but....</p>
<p>We were told during orientation that we can either pay in full each semester or use their payment plan where 10 payments are made at the 1st of every month. You can charge to your credit card (which we plan to do) or checking account or send payments in every month. You pay a one-time $65 application fee & can make two changes at no additional charge (if you decide to have more (or less) money deducted every month. Seems like a good plan to us--interest & fee free, other than the annual application fee.</p>
<p>ebeeee,</p>
<p>Do the math, and I think you'll find the tuition payment plans are NOT a good deal. Mind you, they're not bad, but they are no free lunch.</p>
<p>The reason is that your first payment under the plan is due several months sooner than the "regular" payment deadline. So the service collects interest until the regular date, which offsets the cost of those payments you make to the service after the regular date.</p>
<p>On top of that, they get the $60 (or whatever) service fee. </p>
<p>These plans work for the plan provider precisely because you begin your payments sooner.</p>
<p>Personally, I've kept my money until the last possible day.</p>
<p>BTW, some schools offer EFT. We've done that for the past two years with great results - quick confirmation of payment etc, and don't need to deal with the vagaries of the USPS.</p>
<p>HImom: Watch for fees tacked on if using a credit card. 3-15% at some schools.</p>
<p>If your goal is frequent flyer miles or other rebates, it hardly pays once those fees kick in.</p>
<p>School sends us a note by email to let us know that the tuition bill is available for download. We can click on a "pay online" button--that way, no giant check to get lost in the mail.</p>
<p>My son's college also has online payments--quick and easy. well...except for all that money leaving my account... :(</p>
<p>Our S's U has promised that there are NO fees tacked on, regardless of what payment method we use--cash, check or credit card & it is NOT considered a cash advance.
You have a choice of either paying by the month on the 1st of every month or paying for the entire semester mid Aug & the 2nd semester early Jan. Doing the math, I keep the money longer if we pay over the months rather than paying those two LARGE lump sums & I can keep the interest or keep trying to pay out of current earnings. The school credits our child's account with the full value of the projected payment stream when we sign up for the payment plan.</p>
<p>It is important to check with each school to be sure there are no nasty surprises & things are billed as you expect.</p>
<p>"It is important to check with each school to be sure there are no nasty surprises & things are billed as you expect."</p>
<p>Very well put. There seem to be so many variations in how colleges do this stuff.</p>
<p>If you value the time value of money, and in these days of rising interest rates, the value is growing, you might want to know when the late fee kicks in. Sometimes it is well after the "due" date.</p>
<p>Newmassdad--I did the same calculations as you and had the same realization--that at S's school, I'd be paying much sooner if I used the tuition payment plan. We also hold on to the money till the last second we can.</p>
<p>When we signed up for the Tuition Management payment plan, we had the option of starting the 10 monthly payments in June, July or August. Choosing August simply meant a triple payment on that date (essentially paying June, July and August's payments all at once).</p>
<p>Thanks for all of your replies. I guess it varies a lot depending on the college. I'm sure we will find out how my school does it at orientation this summer.</p>