The college accepts stock as payment of a student's tuition under certain circumstances.
This policy seeks to inform employees, students, and parents of the opportunity to pay for a student's tuition with stock and the requirements of such a transaction.
Tuition may be paid with a transfer of stock provided the transfer is made through the college's preferred broker.
Transferor assumes responsibility for all risks associated with market decline.
Transferor must pay all brokers' fees and may not claim the transfer of stock as a gift or charitable contribution for tax purposes.
The Controller/Director of Business Services shall oversee this policy and review it at least once every two years. Changes to this policy shall be made in accordance with the college's Policy on Policies.
Stock must be transferred to a Davidson College account designated by the Assistant Controller, Associate Controller, or Controller/Director of Business Services.
Using stock to pay a bill results in realization of any capital gain you may have in the stock, and income taxes must be paid on that capital gain.
Stock will be sold as soon as possible upon its receipt. A decline in the price of the stock from the date the stocks enters our account to the date it is sold is not the college's responsibility. The payor must pay any difference between the sales price and the cost of tuition. Conversely, an overpayment of tuition due to a rise in the price of the stock from the gift date to the sell date will be credited to the student's account or a refund will be mailed upon request of the payor.