Scholarships
Q: What if a beneficiary receives a scholarship?
A: There are two types of scholarships. One type of scholarship may be used solely for the purposes of paying for course registration. The second type of scholarship awards a fixed amount or an amount equal to or greater than the cost of fees. The latter type of scholarship may be used for any purpose.
If a student receives a scholarship that is not limited to the payment of registration fees, such as the Bright Futures Scholarship, the
account owner has one of three options.
- The account owner may use the Florida Prepaid College
Plan benefits as originally planned. The college or university will issue a check to the student for the scholarship. These funds may then be used by the student to offset expenses that are not covered by the prepaid contract.
- The account owner may transfer the
contract to brother, sister or first cousin of the original
beneficiary, or to a grandchild of the account owner. Click
here to view the Beneficiary Change Form.
- The account owner may request a
scholarship refund and receive an amount equal to the current
rates for state university fees paid on a semester-by-semester
basis. Click here to view the Scholarship Refund Form.
If a student receives a scholarship that is limited to the payment of registration fees, the
account owner has one of two options.
- The account owner may transfer the
contract to brother, sister or first cousin of the original beneficiary,
or to a grandchild of the account owner. Click
here to view the Beneficiary Change Form.
- The account owner may request a
scholarship refund and receive an amount equal to the current
rates for state university fees paid on a semester-by-semester
basis. Click here to view the Scholarship Refund Form.
Q: How will the plan affect the beneficiary's eligibility for financial aid?
A: As a result of the Deficit Reduction Act of 2005, 529 plans, such as the Florida Prepaid College Plan, will be treated as an asset of the account owner for federal aid purposes effective July 1, 2006. During their junior year in high school, students should contact the financial aid office of any college they plan to attend for more information on the precise impact of the
Plan on need-based financial aid.
Q: How does the Florida Prepaid College Plan work with Bright Futures Scholarships?
A: Bright Futures Scholarships and the Florida Prepaid College Plan complement one another.
Q: What do I do with my Prepaid Plan benefits if my child is eligible for a Bright Futures Scholarship?
A:
Account owners may choose one of three options if their
child is eligible for this scholarship.
- The
account owner may use the Florida Prepaid College Plan
benefits as originally planned. The college or
university will issue a check to the student for the
scholarship. These funds may then be used by the
student to offset expenses that are not covered by the
Prepaid contract.
- The account owner may transfer the
contract to a family member of the
original beneficiary; however, plan benefits may not be transferred
in the same year usage occurred. Please
see “Account Owner Eligibility” for guidelines. Click here to view
the
Beneficiary
Change Form.
- The
account owner may request a scholarship refund and
receive an amount equal to the current rates for state
university fees paid on a semester-by-semester basis.
Click here to view the Scholarship
Refund Form .
(Back to Main FAQ Page)
