Mary G. Morris, executive director of the Virginia College Savings Plan, has her eye on Dec. 1.

That's when the three-month enrollment period opens for the Virginia Prepaid Education Program, one of four 529 tuition programs that the VCSP offers.

"I'll be interested to see if there is an increase in the number of people participating, given the volatility of the stock market," she said.

The VPEP allows participants to lock in the costs of in-state undergraduate tuition and mandatory fees for a normal course load at any public college or university in Virginia. So, no matter what the stock market does, the money for college will be there when it's needed.

That guarantee--and the tax advantages 529 plans offer--could help make the VPEP a popular choice at a time when investors have watched their stocks plummet and tuition rates are climbing.

"Time will tell how the economy will impact this year's prepaid plan," Morris said.

Currently, investors have opened 1.8 million accounts in Virginia College Savings Plan offerings. Besides VPEP, these include the Virginia Education Savings Trust, or VEST; CollegeAmerica, which is available only through financial advisers; and the new CollegeWealth, which is beginning to be available through such financial institutions as Union Bank & Trust.

Unlike the prepaid plan, VEST offers investors no guarantees. Morris said her office has received calls from people who are concerned that last month's stock market downturn--the worst in 21 years--means that they won't have enough saved by the time the money is needed for college.

"Obviously, all across the country there's a heightened concern about what's going on," she said. "We've seen some increase in the number of investment direction changes from high to less volatility, but doing that runs the risk of locking in your losses."

About two-thirds of VEST participants are in age-based evolving portfolios, which shift money into less risky investments as the student gets closer to college age. Those who've been spooked by the stock market and want to speed up that process can change their allocations--but are limited to making only one change per year.

Due to the market's extreme volatility, the VCSP recently began waiving the $25 application fee for people who are in the program and want to open a second account. This would give them more flexibility in picking their investment options. There are 19 different ones, including stocks, fixed-income securities and inflation-protected securities funds.

"If they log into their account, they'll see the code," Morris said. "Folks have started to do it. We thought that was something we could offer folks who want to leave their existing accounts alone."

Morris and the VCSP's eight-member board, however, have not changed their investment strategies for the various portfolios they oversee. To do so, she said, would likely increase the risk of a permanent loss of value during the stock market's current roller-coaster ride.

"We're in it for the long term," she said.

The VCSP now offers a new option for those who want to avoid investing college funds in the stock market--which is about 35 percent of parents according to the nonprofit College Savings Foundation.

Called College Wealth, it allows participants to set money aside in savings accounts and certificates of deposit at participating banks. Like the other plans, it allows money to grow tax-free, but offers the additional security of being insured by the FDIC. It's available locally at Union Bank & Trust.

"They were ready first," Morris said. "It's a pretty IT-intensive product. We're hoping to offer it statewide as soon as we can get more banks online."