MET contracts offer lump sum or monthly payment options.
Lump sum payments should be sent to:
Michigan Education Trust
P.O. Box 30198
Lansing, MI 48909
Monthly payments can be made by:
- Coupon book
- Electronic funds transfer
- Payroll deduction
Monthly payments should be sent to:
Bank Lock Box: Dept. 771368
P.O. Box 77000
Detroit, MI 48277-1368
What happens if all the monthly payments are not made?
Each monthly purchase amount accepted by MET represents a percentage of benefits purchased. If any monthly purchase amount (and any late fee due) is not paid within 60 days after it is due, the purchaser will lose the opportunity to submit any further monthly purchase amounts under the contract.
The total of all monthly purchases accepted by MET remain with MET until the beneficiary is 18 or graduates from high school.
For example: Mr. Smith purchases a one-year full benefits contract (30 credits) for his son John under the four-year monthly purchase plan. The contract price is $16,624 paid monthly in the amount of $398.00 for 48 months*. Mr. Smith makes 24 monthly payments (50 percent of the total contract), but is unable to continue to make payments due to unforeseen financial difficulty. After 60 days has passed and MET has not received a payment, the contract enters default status. MET retains the accepted monthly purchase amounts and when John Smith turns 18 or graduates from high school, he will have 15 credits (50 percent of the full contract total of 30) of educational benefits he can use to attend college.
* Monthly purchase amounts include a 7.01 rate of return, therefore the total amount paid will be more than if paid by lump sum.