What are Income Share Agreements and How Do They Work?
February 28, 2022
Many people put their objectives on hold because of their current financial position.
We understand that it’s hard to imagine yourself reaching a goal that requires a certain amount of money you currently don’t have access to.
Not having upfront money or access to credit (or not wanting to get into "traditional" debt) is not necessarily the end of your dream. That is why Income Share Agreements exist. An Income Share Agreement (ISA) is a type of student loan that allows you to access an education program without putting money upfront.
In return, you must pay a fixed percentage of your income once you reach a certain threshold on your yearly earnings, for a set amount of time until you pay the acquired debt.
You have to take into consideration the next aspects when applying for an ISA
1) Your payments start when you reach the min. threshold
2) There’s a fixed % of your income that you must pay monthly
3) ISAs come with a duration, a period grace, and a payment cap
We invest in you, we take the risk
Some applicants are eligible for Income Share Agreements at V School.
Your payments are based on your income, so you'll start paying when you land a job that pays over the minimum threshold per year.
How will my ISA provider ensure that I actually land a high-paying job? We know we're able to help you launch a career, that's why we take the risk, when you succeed, we succeed.
V School students graduate when they land a job, not when they finish their lessons. With a high-paying industry like tech, ISAs could take less time and effort to pay off than traditional loans. But considering other factors this might not be the case for every student. When other solutions appear out of reach or simply out of your preference, ISAs are a viable option for funding your education.
Don’t pay until you graduate with V School!