Alternative Financing Options
Determining the best way to finance your education.
UMass Amherst partners with the Massachusetts Educational Financing Authority (MEFA) and Tuition Management Systems (TMS) to provide a comprehensive financing solution for our families. There are several ways to address any balances that may remain after you have applied your financial aid award to your educational expenses. To determine which best suits your needs, we recommend considering the following options.
Interest-Free Monthly Payment Option
We recommend the interest-free monthly payment option, administered through the UMass Amherst Bursar’s Office and Tuition Management Systems (TMS), to help budget payment of your educational expenses and limit your debt. Instead of the usual large payment due at the beginning of each semester, you may budget all (or a portion) of tuition, fees, and room-and-board expenses in monthly payments. With this option, you have the freedom to use your money to earn interest or investment income while you pay in small installments over the course of the semester or the year. This is not a loan program; there are no interest or finance charges and no pre-qualification or credit check for this service. However, there is an annual enrollment fee of $45.
Benefits of the interest-free monthly payment option:
- Interest-free monthly payments
- Life insurance to cover payments
- 24-hour access to account information online and via the touchtone InfoLine
- Payment methods include personal checks, money orders, credit cards, Western Union wire or check, and ACH for automated payments from your checking or savings account
- Education Payment Counseling to help keep debt low
- Toll-free, top-rated telephone service during extended personal service hours
For an application and program details visit the TMS Web site or call 1-888-216-4258.
The Combination Strategy
While the Interest-Free Monthly Payment Option is the most cost effective means of budgeting payment of educational expenses, the resulting payment may be greater than the amount you are able to pay each month. You may wish to use a combination strategy that utilizes the advantages of both the interest-free payments through Tuition Management Systems and either the MEFA or PLUS Loan programs (see Alternative Loans for Parents and Alternative Loans for Students).
A combination strategy makes sense to limit debt. Education Payment Counseling can help you determine what the maximum interest-free portion of your monthly payment could be to effectively save you money. After calculating your monthly payment, if the amounts are too high to afford, there is an alternative. We encourage you to go to the MEFA Web site to customize a solution that combines a low-interest loan with a payment plan.
If you need help or do not have Web access, call Tuition Management Systems at 888-216-4258 and an Education Payment Counselor can assist you with counseling based on the preferences UMass Amherst has chosen. Education Payment Counselors are able to provide detailed information on the loan options, and are able to take your payment plan and MEFA Loan applications over the phone.
