Is it fair to strike different college $$ deals for different kids?

The difference here is that the family said they would only pay for UG with no real limit on the amount but no money for grad school. No incentive for the kid to chose the merit school. Now the mom is thinking of changing the deal to say that if a merit aid school is chosen, the money could be saved for grad school. The issue is putting merit money to grad school, not how much each kid costs.

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