Advice on Paying Independent / Private School Fees

[Gemma1216]

Hi All,
Wonder if someone can please help me please?
Our DS has been accepted into a brilliant independent school starting in 10 days' time! However, we've just come to realise that the entire year's school fees need to be paid upfront for the year.
Anyone know of any companies that provide loans for school fees? looking for something that we can pay off over 12 months, and then probably re-use on a yearly basis.
Any help would be greatly appreciated!

Very unusual - in my experience it’s termly or monthly. You can also negotiate up to 3 years up front but the school give you a discount on that.

OP as many others have said, I would check the schools finances, and triple check the bank details in case Of fraud. Something doesn’t seem right about it.

I am a governor of a Private school and I sit on the finance committee.

All normal financially solvent schools will offer termly/monthly fee payments.
We offer a small discount if paid for the whole year in advance, but not many people take this up.
The school will not be "impressed" by you paying a year in advance, it doesn't work like that.

It's an odd situation OP, query it.

OP, I have witnessed at first hand the disruption to kids when a school goes bust. Please don't think that it won't happen. It does, and you don't want it to go bust by Christmas with the Spring and Summer term fees paid by you sitting in their bank account.

I know that this isn't what you want to hear, but all the PPs encouraging you to be cautious about a school that doesn't offer termly payments for fees are absolutely right. How long has the school been established? What are their student numbers like (if they're getting smaller, I'd be concerned)?

That's unusual OP, I would query that. c

It’s unusual IME too.

The school my DC go to ask for payments termly. There’s also the option to pay monthly, but that carries a surcharge that adds a couple of % onto the total bill.

The other private schools we looked at locally also said they charged fees termly.

Agree with checking and rechecking. Check for fraud - we've occasionally had warnings from our schools about school fee scams "doing the rounds".

The only other thought I've had is if the OP has misunderstood the fees and read a termly fee amount as a yearly fee. In which case they will need to talk to the school bursar urgently as they might well be eligible for some assistance, if they were budgeting on 1/3 the total amount.

Some of the International schools based in England invoice parents twice yearly - Concord College basically want 2 x £20,000 for boarding. The American School in London ask for 2 x £15,000 for day fees.

DD1 went to an international school and we paid in June and December. DD2, we pay termly.

Another person urging you to proceed with caution.

Check whether it's "termly or with a discount if you pay yearly", which means pay termly is fine, probably expected. Certainly don't go into debt to pay the year-you'll lose as much on the loan as you'll save.

But if they are asking for yearly, alarm bells are jangling hard. I've seen a couple of schools either go under or merge causing big issues and both of them the first sign has been to be trying to get fees in early.

Doesn't sound like the OP wants to listen...

Just because it's an independent school doesn't mean that they're not in financial difficulties OP, I've been looking at independent schools for DD and every one allows monthly payments or charges per term, never annually.

And who cares that you show you can afford to pay - fact of the matter is that you can't?

I’ve always paid monthly. Sounds odd to me

Second the other posts, it's not for you to prove that the school fees are loose change the school should be proving to you that they're financially solvent and can justify the fees they charge.

It must be an International school - this school near Kingston Upon Thames ideally expects annual fees to be paid in full on the 1st July. Their accounts for 2016/17 look fine - I suppose they need a commitment for the whole year if parents are frequently moving jobs/country.
www.marymountlondon.com/Fees

it's unusual to have to pay a full year up front, ours are usually a term in arrears.
We are expecting the summer term bill anytime soon.
Ask school if you can pay in instalments, this doesn't mean that you'll look like you can't pay. You wouldn't have taken the place if you couldn't afford it.
There are companies that offer services for school fees, but unfortunately I don't know who they are.
I would be more inclined to speak to school before taking out a loan.

Please please listen to others on this thread. The local independent is busy reducing staff hours and selling off playing fields. The smaller independents are really struggling in this climate.

OP can you give an update?

Wow. We are into our 15th year of paying school fees (this includes several schools due to house moves), and have never been asked to pay for a year in advance. Currently paying monthly for the remaining two DC, to take the sting out of it slightly (and because we can't pay two termly batches of fees in one go!) Like PP, I would be very wary of a school that demands payment a year in advance (if this is indeed what they are doing, rather than it being a misunderstanding).

The smaller independents are really struggling in this climate.

I have also heard this. I am sure the big highly selective private schools will be fine, but I wonder about a lot of the smaller and less selective private schools. Do they really offer enough added value to tempt parents these days, given the rising cost of living?