DRESHER, PA — Ascensus says its 529 education savings plan participants have paid more than $1.1 billion in tuition payments directly to schools this year through the company’s digital payments platform.
Use of the company’s convenient direct-to-school payments capability is up 140% year over year through September.
Ascensus said nearly 800 educational institutions now accept electronic payments from its platform, and both beneficiaries and schools appreciate the benefits: no more manual checks or processing delays, quick and trackable payments, and clear documentation of the qualified use of funds. The company introduced the feature in February 2022.
“Direct payments are an everyday aspect of our lives and our plan participants are enjoying the added convenience,” said Peg Creonte, president of Ascensus Government Savings, the line of business that administers education savings plans.
Creonte said Ascensus will soon add the direct payment feature to its free mobile app, READYSAVE 529. The 4.8 star-rated app, launched in early 2021, already has 360,000 registered users and more than 10,000 App Store reviews.
Ascensus now serves nearly seven million 529 education savings plan accountholders through the 43 state programs it administers. According to ISS Market Intelligence’s 529 Quarterly Data Update for the second quarter, an estimated 16.2 million 529 education savings accounts are currently active in 93 state-sponsored programs.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and Microsoft Start.