Governor Ron DeSantis today announced the Florida Prepaid College Board will lower Prepaid Plan prices by $1.3 billion, a reduction benefitting 224,000 current customers. Nearly half of the affected families will have refunds available totaling more than $500 million. The remaining Plans will have lower monthly payment amounts and may be paid off earlier than anticipated due to the price reduction. The savings are due to successive years of lower than anticipated tuition increases and fee inflation.
At the announcement, Governor DeSantis was joined by Florida Prepaid College Board Chairman John Rood and members of the Board.
“My administration has been committed to holding the line on the increasing cost of higher education, and as a result, we are starting to see tuition rates level out,” said Governor DeSantis. “I thank Chairman Rood and the Board for their wisdom and financial stewardship, without which these incredible savings would not be possible. This price reduction is great news for hardworking Florida families looking to invest in their children’s future.”
More than 108,000 Plans are now paid in full and can receive an average cash refund of $4,700. Plan holders also have the option to transfer their refund to a Florida Prepaid savings account for other college expenses like books, supplies and housing. Pricing for the upcoming 2020 plan year will have the lowest rate in five years, starting at $44 per month for a newborn.
“Our goal has always been to empower and support Florida families by making college savings simple and affordable,” said Board Chairman John D. Rood. “The price reduction reflects our unwavering commitment to that objective. We commend Governor Ron DeSantis and the Florida Legislature for their continued efforts to make a college education affordable for Florida students and families.”
Eligible plan holders will receive notification from the Board about their refund and/or payment reduction information. Families can find out how their Plan will be affected by going to MyFloridaPrepaid.com/lowprices.
Families can also check pricing and payment options using the online Prepaid Plan Pricing Tool.
About Florida Prepaid
Florida Prepaid is the largest, longest running and most successful prepaid plan in the nation with nearly 2 million Florida Prepaid College Plans purchased and more than $14 billion in assets.
While nationwide student loan debt exceeds $1.5 trillion, Florida families have a college savings plan available to help them prepare for the cost of college in advance. Florida Prepaid Plans allow Florida families to lock in the cost of college now, without having to worry about stock market fluctuations or tuition increases.
Prepaid Plans are guaranteed by the State of Florida, so families can never lose money in the Plan. If a child attends a private institution or out-of-state school, a Prepaid Plan will pay the same amount as a public college or university in Florida.
For more information about Florida Prepaid College Plans and the Florida Prepaid College Board, go to MyFloridaPrepaid.com.