Pennsylvania Treasurer Joe Torsella announced that PA 529 Guaranteed Savings Plan account holders will see a fee reduction as the result of the Treasury renegotiating contracts with its record-keeper, Ascensus.

“Tuition costs continue to rise, forcing Pennsylvania graduates to carry the highest level of student loan debt in the nation,” said Torsella.

He added, “While the Guaranteed Savings Plan is a great way to lock in tomorrow’s tuition at today’s prices, that doesn’t mean the program shouldn’t still improve.”

This will allow families to save more for their children’s college expenses.

Treasury is reducing the asset-based fees by4basis points for PA 529 GSP account owners that receive account documents through the mail and by 5 basis points for those who have established electronic delivery.

That’s a reduction of 9 percent and 14 percent, respectively. Over the life of the five-year contract, Treasury projects that savings will be approximately $3.6 million for Pennsylvania families.

The Pennsylvania 529 College Savings Program provides one of the best ways to save for education through two distinct plans — the PA 529 Guaranteed Savings Plan and the PA 529 Investment Plan.

The PA 529 GSP is a simple, lower-risk way to save for tomorrow’s postsecondary expenses at today’s rates.

Account holders who save enough for a semester at a postsecondary institution rates today, will have enough for a semester at that school in the future — no matter when or how much tuition has gone up in the meantime.

The PA 529 IP provides the account holder with the ability to select from a list of 15 investment options from financcial service compnay Vanguard. Funds range from conservative to balanced to aggressive in their investment approaches. PA 529 IP returns are based on financial market performance, whereas PA 529 GSP returns are based on tuition increases.

To learn more, visit PA529.com.