A. If your child is still young and plan to attend a pricier private college later, then you can lock down the college tuition at today's rates by paying it upfront, potentially saving you tens of thousands of dollars in inflation costs.
There is a network of such private colleges, right now about 300 of them. Your child doesn't have to commit to any of them now, but once accepted and enrolled at one of the participating colleges, you will redeem the tuition certificate. You can enjoy all the regular 529 plan's benefits.
A caveat: if you don't use the money for tuition at a participating school, you will be hit with a 10 percent penalty upon withdrawal.
To find a list of colleges in this network, visit privatecollege529.com