Tuition Stabilization Plan???

<p>After reading the Tuition Stabilization Plan it sounds like a good idea. I can pre-pay my childs tuition now for the next 4 years and not be subject to any tuition increases?! Do any of the current parents out there have any feedback/info on this? They refund your money if your child withdraws, so that would be a non-issue. Any thoughts?</p>

<p>I think this is a great idea, but if you have any outside scholarships that are distributed on a yearly basis, they will not deduct the future scholarship awards from the total tuition bill. It would also be nice if they allowed you to prepay the room and board fees too.</p>

<p>with interest rates the way they are, if you have the money, it could be a good way to use it. tuition seems to increase every year, at a faster rate than the interest/return you might earn on the money otherwise.</p>

<p>its a terrible investment, you can make much more on your money if you have that money now through investing than you would save because of tuition increases over a 4 year period</p>

<p>oh and if your child transfers to a much cheaper school, then you just tied up a huge amount of money for no reason. So unless your net worth is to the point where this amount of money is not going to affect you at all, then I wouldn’t do it.</p>

<p>that may well be true, i really have no expertise here!</p>

<p>Im not so sure we would make more money by investing - we lost a huge amount of money with the market taking such a dive the past year or so! The guarantee to never pay any tuition increase may outweigh the risk of losing more money or not making much over the next 3 years. The market has certainly been unreliable! The tuition for 2004-2005 was $29,990 - 2009-2010 is now $37,632. Its hard to imagine what it will be in 4 more years! </p>

<p>As far as transfering or withdrawing - the university refunds the money if this happens.</p>

<p>dwhite, that was my thought process too.</p>

<p>I realize they will refund your money, that is pretty obvious, if they did not refund after a transfer no one would do the plan. But what you should consider is the opportunity cost. What you could be doing with the money. If you are not an investor who feels you can make money in these times then do the plan, it is simply a question of investing in Vanderbilt tuition going up or investing in something else.</p>