S.C. Code Regs. § § 19-1230

Current through Register Vol. 48, No. 11, November 22, 2024

Section 19-1230 - Tuition Prepayment Contract Application and Payment

A. Scope and Purpose: This regulation sets forth the policies and procedures for the purchase and payment of tuition prepayment contracts.

B. Contract Requirements:

1. The director may enter into tuition prepayment contracts with contributors who may be an individual or individuals, a corporation, partnership, association, trust, nonprofit organization, any legally recognized organization that has the authority to enter into contracts, or other entities approved by the Board. The contributor, if an individual or individuals, must be eighteen (18) years of age or older, or must be represented by a court appointed conservator or guardian, or a trustee, or a designated custodian under the provisions of Title 20, Chapter 7, Sections 140 through 240, Code of Laws of South Carolina, 1976, as may be amended.

2. A contributor must designate, on the application, the social security number, the age and, if applicable, the educational grade level of the designated beneficiary. For children under the age of one (1), the social security number must be provided to the Program within a reasonable period of time following the date the application is submitted. The contributor must also indicate on the application the payment plan that will be purchased under the tuition prepayment contract.

3. Only one (1) corporation, partnership, association, trust, nonprofit organization, or other entity may be named on the application and in the tuition prepayment contract as the contributor. Joint contributors where the named contributors are individuals may be permitted. In the event of joint individual contributors, one individual must be named as the primary party responsible for contract obligations.

4. Only one (1) designated beneficiary is allowed per tuition prepayment contract.

5. A single individual may be named as the designated beneficiary in up to two (2) tuition prepayment contracts provided that both of the tuition prepayment contracts naming the same designated beneficiary are for the two year benefit option plan. Under no circumstances may a single individual be named as a designated beneficiary on more than one tuition prepayment contract when one of the contracts purchased on behalf of the designated beneficiary provides for the full four years of contract benefits. In the event tuition prepayment contracts are processed with combined benefits extending beyond four years for the same designated beneficiary, the tuition prepayment contract processed first shall be deemed valid and the remaining tuition prepayment contract(s) shall be deemed canceled.

6. The contributor does not have to specify at the time of application the institution of higher learning that the designated beneficiary will attend.

7. The projected enrollment date specified on the application shall correspond to the age and/or grade of the designated beneficiary at the time of application.

S.C. Code Regs. § 19-1230

Added by State Register Volume 22, Issue No. 6, Part 1, eff June 26, 1998.