NORTH CAROLINA

North Carolina National College Savings Program

Type: Savings

Phone: 800-600-3453

State tax deduction for residents: No deduction

Open to nonresidents: No

Refund provisions: Penalty of 10% of earnings plus $50 withdrawal fee

Minimum/maximum contributions: $5 per month / $276,046

North Carolina offers four savings options: a dependable income fund of money market and U.S. government securities managed by the state treasury; a balanced fund managed by Wachovia; and aggressive stock fund managed by NCM Capital; a protected stock fund by MetLife with a guarantee of principal plus the greater of a minimum guaranteed interest rate or 70% of the price appreaciation of the Standard & Poor's 500. There's a 0.25% assest-based management fee plus underlying fund fees ranging from 0.05% to 0.65%. Annual maintenance fees are waived if you make minimum monthly contributions or have an account balance of at least $1,000. Otherwise, there's a $25 fee.

Seligman College Horizon Funds
Sold through brokers only and open to nonresidents, this plan mirrors the one above, but it does not have the additional fixed portfolios. Expenses range from 0.68% to 1.38%, plus $25 annually for balances under $25,000.

State College Savings Plans