Prepaid College Trust in Baltimore

🕗 opening times

comments 5

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  Heather Boley

  :: 07 February 2023 06:46:46

  Opened the Prepaid Trust in 2005 with promise of locked in tuition rates which MPCT falsely advertised would continue to rise (even though tuition was capped by Governor in 2005). In 2022, we were told in writing and on the phone a specific rollover value which we based decisions on, at this time, Intuition was managing accounts on behalf of MPCT. When it was time to rollover the funds to pay our first college bill, the funds for rollover were “frozen” with promises that they would be released as soon a systemwide update was completed. This was a coverup…no transparency and no help. 5 months later when “funds” were unfrozen, MPCT slashed the values by 50% stating original earnings were a “miscalculation”. Turns out there was no miscalculation…it was a breach in contract and MPCT retroactively reduced earnings to 0-2% vs approximately 5.8%. Now our child faces massive debt, and 529 has given little regard to the harm they’ve done to 31K account holders. They are guilty of false advertising and scheming to protect their self interest versus the account holders who funded them for years. Very shameful agency who care little about the future of children.

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  Mon H

  :: 06 February 2023 19:35:28

  Hindsight is 2020. I regret investing money in this Trust. I can’t even call it investing because what the board has decided to do is gut the earnings previously accrued on accounts through November 2021. Based on the new earnings calculations that the Board approved, acct. holders will lose thousands of $$$. I’m set to lose approx $12k in earnings on my son’s accts. Shop around and make sure you read the current contract before making a decision about where to invest your money. I would’ve been better off keeping the money in my bank acct. or under my mattress. Would’ve been way less stressful than dealing with this poorly run agency.

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  Alex V

  :: 06 February 2023 18:31:38

  Please don't ever think about your giving them your money since it will simply disappear! Hundreds of people are not only had ALL their earnings taken away by the management and the board actions, but also their IRS reporting is highly suspicious and does not match the story being told to the account holders. Stay away from this group if you don't want to be subjected to fairy tales from the management that has no answers whatsoever and does not care!

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  Linda Weight

  :: 05 February 2023 18:09:59

  Do NOT put your money into prepaid plan. Your money and copious fees will be withdrawn but good luck getting your money out when your kids are ready for college. Research the news - late payments, retirements delayed, student loans needed as money held in Prepaid accounts for over a year for 'interest miscalculation." :-( The MD529 Investment Plan has worked out well for our two young adults in college.

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  John M

  :: 05 February 2023 13:47:36

  Honestly - choose another state or another plan - do not invest in the MPCT. I, and 700+ other account holders, are going through hell to get the MD 529 Board to honor its past contracts - they have unilaterally harmed the account holders and our children - to the point we seriously are evaluating suing. The Board of the MD529 does not act as a fiduciary. Rather they are acting in a way that represents their best interests - not the account holders or beneficiaries. Poorly run and willing to breach contracts as they seem to be doing now in 2/23. Google the MD529 minimum benefit issues.