BALTIMORE, April 20, 2017 /PRNewswire/ -- This is the last week for Maryland residents to enroll in the Maryland Prepaid College Trust at the current prices. Enrollment in the Maryland Prepaid College Trust officially closes to new enrollees on April 24, 2017.
The Maryland Prepaid College Trust is one of two 529 college savings plans administered by Maryland 529, an independent State agency that gives families an opportunity to lock in tomorrow's tuition at today's prices. Benefit payments from the Prepaid College Trust can be used at both in-state and out-of-state colleges and contributors with Maryland taxable income may take up to a $2,500 State income deduction per account, annually. There are affordable options and families do not have to commit to a 4-year plan. You can purchase as little as one-semester of a university plan, but there are a variety of options including a community college plan and up to 4 years of university. Plus, there are a variety of payment plan options to match your budget. The Prepaid College Trust is also backed by a Maryland Legislative Guarantee which adds an additional level of assurance for account holders.
"With student loan borrowers having doubled in the last 10 years to 42 million people, and student loan debt ballooning from $240 billion to $1.3 trillion, saving for college by enrolling in a 529 plan can help reduce the amount borrowed, and in some cases eliminate the need to take out a student loan in the future," said Lauren Shipley, Executive Director of Maryland 529. "The Prepaid College Trust allows Maryland families to gain the peace of mind that comes with knowing they have locked into today's prices for future tuition benefits that their children or grandchildren can ultimately use at nearly any college - in or out of Maryland."
To enroll in the Prepaid College Trust at current prices, enrollments must be postmarked by April 24, 2017 or completed online at https://www.maryland529.com by 11:59 PM on April 24th. Online enrollment is encouraged since it offers a reduced enrollment fee. Initial payments are not due until August 1, 2017.
Maryland 529 also administers another tax-advantaged 529 plan – the Maryland College Investment Plan, managed and distributed by T. Rowe Price. This plan offers a variety of investment options, with no sales commissions, loads or enrollment fee, and enrollment is open year-round. Like the Prepaid College Trust, the College Investment Plan offers attractive federal and Maryland State tax benefits and can be used at nearly any accredited college in the country.
It's never too early to or too late to start saving for a child's future. Many tools and resources to learn more about these plans are available at www.maryland529.com or by calling 1-888-4MD-GRAD (4723) to speak with a customer service representative.
Please carefully read the Enrollment Kit which describes the investment objectives, risks, expenses, and other important information that you should consider before you invest in the Maryland 529 Plans. The Enrollment Kit is available online or by calling 1-888-4MD-GRAD. Also, if you or your beneficiary live outside of Maryland, you should consider before investing whether your state or your beneficiary's state offer state tax or other benefits for investing in its 529 plan.
Maryland 529 Administrator and Issuer
T. Rowe Price Associates, Inc., Program Manager and Investment Adviser for MCIP
T. Rowe Price Investment Services, Inc., Distributor/Underwriter of MCIP
SOURCE Maryland 529