• Registered: 05-22-2009
  • Posts: 1

Topic: Question about the program being dissolved and return of principal

I have one fully funded PACT contract that was purchased when our daughter was born five years ago. This was a gift from her great-grandfather. Needless to say, I'm confused as to whether or not I should cancel. However, my question is this: if I stay in and the program is dissolved at a later date would I still receive the principal that was invested in the program? I know I can cancel now and receive the principal plus 1% interest.

Incidentally, I'm in Tuscaloosa and appreciate all the work being done here and elsewhere to get the State of Alabama to make good on its promise.

Thanks.

  • Registered: 04-02-2009
  • Posts: 9

Re: Question about the program being dissolved and return of principal

Our 2 children were some of the first ones to graduate from UA with their PACT . We signed up the first year and paid both off in 5 years. Our daughter was one of PACT's first graduates. When our son finished UA .PACT reimbursed some money to us because he had received a partial scholarship!..............Now all 4 grandkids have PACT. 2 are paid in full, the other 2 were enrolled this year...... Leave your money in  PACT!!!..........I,also,live in Tuscaloosa.

  • Registered: 03-27-2009
  • Posts: 116

Re: Question about the program being dissolved and return of principal

Pulling out right now is not the best decision -- stay with the program as we are seeing step of improvement and willingness on part of the legislature and governor to find a solution -- get ACTIVE! We need to ALL be calling our senators, house of reps, BOD members and making them assured that we are REQUIRING they save the program! Our strongest voice is in our numbers and VOTES. Each of the PACT contract holders has a family that is there touched by the PACT issues (we have the numbers) - we must ask our legislators to assist in finding a solution - and if they will not- tell them your VOTE is no longer theirs.
Make them aware that you are serious and need and require a solution. This is a great program that was shown to be backed by the state - now it is time for the state to back it!

  • Registered: 05-19-2009
  • Posts: 1

Re: Question about the program being dissolved and return of principal

I started a PACT last year when they started the 1 year contracts.  My child is only 9 years old now.  Am I crazy for continuing to pay in?  Should I bail out now and find some other means to pay for college for my children?

  • From: Lanett, Alabama
  • Registered: 03-27-2009
  • Posts: 124

Re: Question about the program being dissolved and return of principal

My opinion to anyone with a PACT contract is there are no guarantees for anything except death and taxes...BUT that said, I personally hold two contracts and there is no way I would take my money out and run...I believe Alabama PACT will survive with the support and help of people just like you pushing your Senators and Representatives from your district in Alabama to vote for funding following the independent study by Alabama RSA (Dr. Bronner's group).

Given tuition rate hikes and the high risk of private investment loss in today's market, what would you do with the money if you got out now? If you can answer this question and show me how to make up the deficit you would need to pay tuition costs, I would like to hear your solution posted...

Hang in there with us and fight for your children's promised education...the obligation is due and oweing by the State of Alabama...lets get it done...Save Alabama PACT

Einstein once said, 'The definition of insanity is doing the same thing over and over again and expecting different results.'

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