Since 1981, CSOBA has purchased and originated loans for more than 300,000 Colorado students. The Authority currently administers nearly $600 million in outstanding student loans. When the Colorado Prepaid Tuition Fund was established through legislation adopted by the 1996 General Assembly, it was apparent that administering the Fund was a natural fit with CSOBA's original legislative mandate.
"CSOBA has a history of responsibility in managing substantial sums of money and the experience with higher education that is necessary to organize this program," said Sen. Ben Alexander (R-Montrose), sponsor of the 1996 legislation. Members of CSOBA's 9-person Board of Directors are appointed by the Governor and confirmed by the State Senate to serve 4-year terms.
Eligibility
Who is eligible to invest?
Anyone can invest - parents, grandparents, relatives, friends or the individual student.
Is there a residency requirement to participate?
No. There are no residency requirements for purchasers or students.
Your Investment
Can my investment be used outside of Colorado?
Yes. It can be used throughout the United States at public and private colleges, universities and vocational schools.
What happens if we move out of Colorado?
Your investment in the Fund remains the same. The amount of your investment payout is based on the average tuition at Colorado schools, but can be used throughout the United States.
Is there a maximum amount that I can invest?
Yes. A maximum of 4,500 tuition units may be purchased per student.
Is there a minimum investment?
The minimum investment is $25 per month over a five-year period, or $1,000 in a lump sum.
What else should I consider regarding an investment in this Fund?
Many people simply value the reassurance of knowing that their investment is dedicated to educational expenses for their student, and that their investment is designed to grow with average tuition in Colorado. Others like the fact that it is easy to establish a contract which fits into the family budget and that, once a contract is established, anyone can give a gift to that contract. The Fund's estate and gift tax treatments are another consideration for many investors.
