Saving Opportunity?

Saving for College Or Paying Off Student Loans

A college education is expensive! The cost of college tuition increases between 5% and 8% every year, which means it could cost double the current amount of tuition in just 10 years.  If you have already graduated, you know the pain of paying back student loans.  Most of us also shop on a regular basis, so why not take advantage of a tax free rebate program that allows you to save for college for yourself or a child, or pay off your student loans.  UPromise has been around for a number of years and has gradually increased the number of products and companies that you can purchase from in order to receive rebates, although they have moved more toward online shopping, but they do have restaurants that provide rebates, and if you purchase gas at Exxon, you get a small rebate per gallon. 

It takes about 20 minutes to set up your account and link your debit and credit cards to the account, along with any shopper’s cards for participating companies like Kroger and CVS.  You can also access several hundred online sites of companies that participate in the rebate program through the UPromise website.  You can view the list of the participating companies here: http://shop.upromise.com/mall/view-all-companies

Here’s how it works from the UPromise website:

When you make a purchase with an Upromise partner, the earnings are linked to your Upromise account.

· If you're shopping online, you must click through to participating partners from the Upromise website to get the credit for your transactions.

· If you're going out to eat, you must pay with any credit or debit card registered in the Upromise Dining program.

· For participating groceries and drug store items, you must swipe your store card registered with Upromise.

· When purchasing through other partner retailers and services, you must pay with a registered credit or debit card. Be sure to check with partners to ensure your transaction is eligible for Upromise earnings.

After the purchase is verified, the money is deposited into your Upromise account. Then, once you've accumulated $25, you have choices to either invest your earnings for growth in an eligible 529 account or use them to systematically pay down your student loan(s), you can even request a check directly from Upromise to cover school expenses or invest on your own.

What’s more, you can have family and friends sign up, and donate their rebates to a specific individual;  yourself,  if you are a student or paying off student loans, or for a savings account for a child(ren).  As a casual user, you can save a couple hundred dollars a year, and if you are truly dedicated, you can save about $1,000 a year.   

So what do you think Frugal Friends?  Do you think it’s worth it to shop specific stores to save money for college or toward student loans?