As college acceptance letters roll out, high school seniors must decide which university they will attend in the fall, and place an enrollment deposit to secure their spot.
The moment represents a power shift for students, says Chris Bell, founder of Bell College Consulting. Students wait for months for an answer from college admissions offices, but “the minute a college offers a student admission, the power dynamic changes.”
Bell says a student’s decision can depend on factors such as whether they were admitted to the college of their choice, if they were invited to an honors program and how much merit aid or need-based financial aid they received.
[READ: How to Fight Senioritis and Get to Graduation]
With several acceptances in hand, a decision can be tough. But before putting down money, students should know a few things about college enrollment deposits.
What an Enrollment Deposit Is For
Once students decide on the college or university they plan to attend, they will need to put down a certain amount of money to confirm their acceptance. This is usually referred to as an enrollment or seat deposit. This deposit is applied to tuition for the first year.
“Historically, colleges have required students to submit an enrollment deposit in order to reserve their seat in the freshman class,” says Sara Harberson, founder of Application Nation, a subscription-based Facebook group for college admissions advice. Harberson was formerly associate dean of admissions at the University of Pennsylvania and dean of admissions at Franklin & Marshall College.
Harberson says students typically submit a form, usually through a college portal, indicating their intention to enroll and an actual deposit. This is usually due by National College Decision Day, May 1, but could vary if the student was admitted under an early decision plan or rolling admissions, or got an extension from the college for financial aid reasons. Check with your college admissions office to confirm the deposit deadline.
“From the college’s perspective, the purpose of the deposit is to put some weight behind the acceptance of admission,” Bell says. “Colleges want to know that when students accept admission, they mean it.”
No Deposit Can Mean Losing Your Seat
An enrollment deposit will secure your place, but not depositing by the deadline could have consequences.
“If a student does not make a deposit, they will likely lose their seat to study at the college,” says Ferah Aziz, a certified educational planner and founder of the college admissions coaching firm launchphase2.
Harberson says it’s at the college’s discretion whether a late enrollment deposit will be accepted. She says a college that wants to increase the percentage of admitted students who enroll may be more generous with a late enrollment deposit.
“However, for most of the nationally known colleges and universities with highly desirable yield rates, a late enrollment deposit, even if it is a few days late, will not be accepted,” says Harberson.
[READ: Can Your College Admissions Offer Be Revoked?]
Bell says schools that do not receive the commitment form and deposit by May 1 “will assume that the student has chosen to go to another college and they will consider the student’s admission withdrawn.”
Deposits Are Nonrefundable
Once students make an enrollment deposit, they should know that it is usually nonrefundable. In its “Guide to Ethical Practice in College Admission,” the National Association for College Admission Counseling states that offers of admission should specify whether the enrollment deposit is refundable or nonrefundable.
Aziz says deposits are typically not refundable, but exceptions may be made on a case-by-case basis.
Students can expect to pay an enrollment deposit ranging from $100 to $400, experts say, with some much higher. For example, Arizona State University‘s deposit is $300, and Villanova University‘s is $700, according to the schools’ websites. However, some universities will allow a student to waive the deposit or request a reduced deposit if the amount is a financial burden, says Harberson.
“The higher the deposit, the less likely a student is to back out and enroll elsewhere,” says Harberson. “The vast majority of colleges have a nonrefundable deposit.”
However, there may be cases where a deposit is refundable. For example, at Kent State University and the University of New Hampshire, enrollment deposits are refundable up until May 1, and UNH offers a partial refund until July 1, according to the schools’ websites.
“If a student does not show up for matriculation, the first day of class, without clearly communicating with the admissions office, the student will forfeit their deposit,” says Bell.
Beware of Double Depositing
Double depositing is when a student places an enrollment deposit at more than one school. Reasons can include indecision about which college to attend or being waitlisted at a more desirable college.
“Since a student can enroll and study at only one college, it is unethical to deposit at two colleges,” says Aziz.
[Learn how to get admitted off of a college waitlist.]
She says other students who want to enroll at the school may not have the opportunity because space is unavailable due to students who double deposit.
“Students don’t realize that they sign affirmations on the Common App when they submit their applications that state they are not permitted to deposit at more than one college,” says Harberson.
The only exception is when a student finds out they have been admitted from a college’s waitlist and they plan to enroll at that college instead. This is the only scenario deemed acceptable by the NACAC.
Aziz says once students are taken off a waitlist, they should plan to send a note to the second-choice college to explain the situation “to enable that college to give their seat to another student.”
Students should also know that double depositing is taken very seriously by schools.
“In fact, a student’s offers of admission may be rescinded if they double deposit,” says Harberson.
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What to Know Before Putting Down a College Enrollment Deposit originally appeared on usnews.com
