University of Virginia Library

MONTHLY PAYMENT PLAN OF STUDENT EXPENSES

Chancellor Simpson and Mr. Woodward reported a plan presented by Mr. George J.
Link, President of Guaranteed Education, Incorporated, located in the Arlington
Trust Building, 1515 N. Courthouse Road, Arlington, Virginia, for monthly payments
of student expenses. This plan carries with it an insurance feature guaranteeing
the four year education of the student should the parent become completely disabled
or deceased. There is an initial fee of $25.00 which is paid once during the four
year period. The cost to the parent of a student who is not a resident of the
state of Virginia amounts to $61.91 per year for the insurance feature. For a
student who is a resident of the state of Virginia, the cost is $38.58 per year.
These charges are based on the expenses applicable to the 1958-59 session.

There is no interest charge since the monthly payments would have to be made
in advance, beginning on April 1. The corporation remits to the college at the
beginning of each school semester the payment in full if the parent has not
defaulted in any of the monthly payments. The plan carries no obligations or
liability on the part of the college. The college permits a letter to go out
either on college stationery or on stationery of the corporation, depending upon
the attitude of the college, informing the parents that such a plan is available to
them.

Members pointed out during the discussion that it would be unwise for the
College to sponsor officially any one insurance company or other corporation, since
other companies may in future offer programs in Virginia in competition with that
of Guaranteed Education, Inc. Others commented that the Bursar has authority to
arrange to receive payments at intervals on an individual basis, and also that
individual students and parents could contract with such a corporation as Guaranteed
Education, Inc., without sponsorship by the College.

The Board resolved that the College shall not participate in promoting the