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Language: en

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When it comes to paying for higher education

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should you save or borrow?

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Meet Sue. 
When Sue was born, her family started investing
in a 529 college savings account.

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Sue's family contributed a hundred 
dollars a month for eighteen years

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for a total of twenty-one thousand
six hundred dollars.

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With a five percent annual rate of return

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their account earned an additional 
thirteen thousand four hundred dollars

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for total thirty-five thousand dollars

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that Sue can use for qualified higher
education expenses like tuition,

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room and board and school supplies.

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Meet Brian.
Brian is 18 years old and he's borrowing
some of the money he needs to pay for college.

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Brian is getting a private
student loan for thirty five thousand dollars

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with a seven percent annual interest rate.
If Brian pays off his loan 

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making monthly payments of 406 dollars for 10 years

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his thirty five thousand dollar loan

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will cost him over 48,000 dollars.

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Both Sue and Brian have thirty-five thousand dollars
to put toward their education.

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Here's what's different: 
Sue's out-of-pocket cost

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is 21,600 dollars.
Brian's out-of-pocket cost

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is forty-eight thousand 
seven hundred twenty dollars.

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You can't put a price tag on the
educational experiences Sue and Brian will have

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but you can see the value of
saving versus borrowing.

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While it may not be possible for
you to save as much as Sue's family,

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any amount you save will help to offset
the amount your child has to borrow.

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Save now 
so the only things that stay with
your child after graduation

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are lessons learned and memories made--
not debt.

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Investment returns are not guaranteed
and you could lose money by investing in the Plan. 

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Before you invest consider whether your
or the designated beneficiary's home state

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offers any state tax or other benefits
that are only available for investments
in such state's qualified tuition program.

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For more information about
New York's 529 College Savings Program Direct Plan

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obtain a program brochure and tuition savings agreement
at www.NYsaves.org or by calling 1-877-NYsaves.

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This includes investment objectives, risks,
charges, expenses and other information.

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You should read and consider them carefully before investing.