What if the beneficiary attends a school that is not eligible to recieve payments from the Plan?
The Plan cannot pay schools that are not eligible under federal tax law or state law. If your child attends a school that is not eligible, you can request the Refund Value of unused tuition units. (See “If I cancel my contract, who will receive the refund and how much will be refunded?”) Federal income taxes and an additional 10% federal tax on any earnings as well as any state or local taxes may apply.
