To Encourage Saving for College, Upromise by Sallie Mae Increases Cash Back for College During April’s Financial Literacy

  To Encourage Saving for College, Upromise by Sallie Mae Increases Cash Back
  for College During April’s Financial Literacy Month

           Sallie Mae Provides Simple Steps to Start a Savings Plan

Business Wire

NEWARK, Del. -- April 2, 2013

To encourage more families to start saving for college, Upromise by Sallie Mae
is offering bigger cash back rewards during Financial Literacy Month this
April. Under the program, nearly 300 online retailers will offer cash back of
6 to 20 percent on purchases to help families save for college. Extra cash
back can be earned at a wide range of online merchants such as Gap (7%), (7%), Under Armour (8%) and McAfee (20%).

“With the cost of education increasing each year, creating a plan and getting
started saving for college is essential,” said John Ward, senior vice
president, Sallie Mae. “Too often, parents don’t know where to start. Upromise
by Sallie Mae is an easy way to supplement your savings and this month we’re
doing our part to help even more.”

According to Sallie Mae’s “How America Saves for College 2013” study, only 50
percent of American families are saving for college, and those who are are not
saving enough. Sallie Mae offers five steps to help families meet their
savings goals:

Step 1: Estimate the cost of college. Use tools such as Sallie Mae’s Education
Investment Planner to forecast future costs at over 5,500 colleges and

Step 2: Earn extra cash for college. Upromise by Sallie Mae can provide cash
back through online purchases at major retailers, dining out, buying gas,
shopping with the Upromise credit card or even buying or selling a home.
Upromise is free to join, and savings can be invested in a 529 Plan
administered by a Upromise affiliate and used to pay down an eligible loan,
transferred into a Sallie Mae High-Yield Savings Account or withdrawn by

Step 3: Use a dedicated savings account. With a 529 college savings plan
contributions grow tax deferred, and earnings on withdrawals; when used for
qualified higher education expenses such as tuition, certain room and board
costs, books and mandatory fees; are federally tax free.* For those who prefer
a more conservative investment strategy, a Sallie Mae High-Yield Savings
Account features rates 10 times the national average and the ability to earn a
10 percent match on annual Upromise earnings, a total of $175,000 extra
savings in 2012.

Step 4: Put savings on cruise control. Set up an automated savings plan.
Contributing as little as $25 per month to your account will add up over time.

Step 5: Do periodic check-ups. Review your college savings strategy on a
regular basis, or whenever a major financial or family change occurs.

* Earnings on non-qualified withdrawals are subject to federal income tax and
may be subject to a 10 percent federal tax penalty, as well as state and local
income taxes. The availability of tax and other benefits may be contingent on
meeting other requirements.

Before investing in any 529 plan, you should consider whether your or the
designated beneficiary's home state offers a 529 plan that provides its
taxpayers with state tax and other benefits that are only available through
the home state's 529 plan. Investment objectives, risks, charges, expenses,
and other important information are included in a 529 college savings plan's
offering statement; read and consider it carefully before investing.

When you invest in a 529 college savings plan you are purchasing municipal
securities whose value will vary with market conditions. Investment returns
are not guaranteed, and you could lose money by investing in a 529 college
savings plan. Account owners assume all investment risks as well as
responsibility for any federal and state tax consequences.

Sallie Mae (NASDAQ: SLM) is the nation’s No. 1 financial services company
specializing in education. Celebrating 40 years of making a difference, Sallie
Mae continues to turn education dreams into reality for American families,
today serving 25 million customers. With products and services that include
529 college savings plans, Upromise rewards, scholarship search and planning
tools, education loans, insurance, and online banking, Sallie Mae offers
solutions that help families save, plan, and pay for college. Sallie Mae also
provides financial services to hundreds of college campuses as well as to
federal and state governments. Learn more at Commonly known as
Sallie Mae, SLM Corporation and its subsidiaries are not sponsored by or
agencies of the United States of America.


Sallie Mae
Debby Hohler, 617-454-6741