Is it a good idea to pay tuition with a credit card? Many people do not know there are benefits to paying with a credit card, as opposed to paying from a checking or savings account.
The cost of in-state tuition, which includes courses and student activity fees, is $5,250 and $15,750 for non-resident students. Charging large amounts like these builds up points that can be used with airlines, hotels and a range of other places.
“My dad pays with a credit card, and he gains a lot of points from it,” said Shelley Stewart, a senior in education. “It has worked out really well for him.”
Some universities have a convenience fee up to 4 percent when tuition is paid with a credit card. Auburn, however, does not have a convenience charge.
“I have never had anyone call and say they wished they had not paid tuition with a credit card,” said Linda Ledbetter, coordinator of Student Financial Services.
Auburn offers a program called Webcheck, which can be accessed through tiger i. Here, students or parents can pay directly out of their checking or savings account.
When students pay tuition online, Auburn only stores the last four digits of the credit card number, so skepticism with online fraud can be eased.
“We have never dealt with a case of fraud,” Ledbetter said.
With Webcheck, students can choose a date for their payment to go out. Students should be sure to date the payment before the deadline so their schedule does not get dropped or late fees assessed.
The negative side of paying with a credit card is people may not realize what their limit is or may have a daily limit that is lower than the amount they need to pay.
If a payment deadline comes before a grant or if a student drops a class, the student financial services can return the difference to the student.
More people have jumped on the bandwagon and decided to charge tuition. Statistics show 10,292 credit transactions were made in August 2007 compared with August 2008, when 12,073 credit transactions were made.
Auburn encourages students to make payments online because it is easy. Before any transaction is made, the student must type in the correct username, password and student identification number. This system is safer than mailing a check which could get lost or stolen.
“Nine times out of 10, paying with a credit card usually saves people time if they are trying to avoid their schedule being dropped or late fees,” said Rachel Swanton of Student Financial Services.
