Aligning Incentives between schools and students

With ISAs, students attend educational programs without upfront tuition and pay back once they have a job.

THE BETTER WAY OF STUDENT FINANCING

Increased enrollment & student protection at the same time

ISAs are contractual agreements which enable students to attend educational programs without paying up-front tuition, in exchange they pay a percentage of their post-graduation income for a fixed period of time.

ISAs are a flexible financing solution that can be tailored to individual schools' needs and their student demographic to ensure long-term success.

Accessible to All

ISAs do not require a Co-Signer or Credit Score. They focus on one thing only: student’s future potential.

Peace of Mind

Loan interest rate payments can be nerve-wracking and abusive. ISA repayments will always adapt to income circumstances and always be affordable.

Career Focused

ISAs enable students to make career decisions which are not controlled by loan repayments and will benefit outcomes over time.

EMBRACE STUDENT POTENTIAL

Invest in students
& get rewarded

Compared to other financing solutions, ISAs combine the best of both worlds: they protect students’ downside in case of financial hardship and reward schools for delivering a successful program while increasing enrollment.

Learn how an ISA program could be structured for you and your students

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HOW DOES IT WORK?

Let's take a look at the student process

Education financing can be a complex procedure but it doesn’t have to be. Let's take a look at our simplified process from a student's perspective
1 Application & Enrollment
You apply to enroll in a program. If you choose an ISA as your funding option, you will onboard on the Blair platform to receive your ISA.
Remember the following:
  • Onboarding to Blair will only take a couple of minutes
  • No Co-Signer or Credit Score is required
  • No payments are required during the program
2 Graduation & Repayments
Once you graduate and land a job that earns you income above your salary floor, ISA repayments will begin.
Keep in mind:
  • You repay a fixed percentage of your income
  • Payments will be made on a monthly basis
  • Payments will pause if you are below the salary floor or unemployed
3 ISA Completion
Since ISA repayments adjust to your income development, ISAs can be satisfied at different points in time.
Your ISA is completed if one is true:
  • You have completed all monthly payments
  • Payments have reached the Repayment Cap
  • You have accumulated the maximum of deferment and repayment months

LEARN MORE

ISAs in a Nutshell

General

Eligibility

While ISAs for different schools might differ in numerical values for their most important terms, the functionality of those remains constant for all.

  • Income Share Rate: Describes the % of gross income students pay back during the repayment period. The income share rate is fixed and will stay constant during the lifetime of the ISA.
  • Repayment Period: Describes the duration under which students repay a percentage of their income. Most ISAs have a duration between 12-48 months.
  • Repayment Cap: Is the maximum amount a student can repay under the ISA. Usually the repayment cap is a 1x-2.5x multiplier of the base tuition.
  • Salary Floor: Describes the threshold a student’s income has to exceed to start their repayments. The floor can vary per program but will stay constant over the lifetime of the ISA.
  • Deferment: A student’s ISA will be placed in deferment if they earn income below their salary floor or are unemployed. Once their income exceeds the salary floor, repayments will continue.

While eligibility criteria might differ in nuances for different ISA programs, their objective is to be accessible for the majority of the student base.

  • Age of majority (usually 18 years) at time of signing the contract
  • US citizen or permanent resident
  • No Co-Signer or Credit Score Required
  • School-specific requirements (optional)

Let's take a
look at an example.

In this example ISA program, the Income Share Rate is 12%, the Repayment Period is 24 months, the Salary Floor is $50,000 and the Repayment Cap is $20,000.

School



$ 60,000

Annual Student Income

$ 0

monthly repayments for a period of 24 months.

Launch your ISA program
Let's talk about ISAs!
Income Share Agreements are contractual agreements which enable students to attend educational programs without paying up-front tuition, in exchange for an agreed upon percentage of their post-graduation income over a pre-defined number of years.
Loans are paid back through fixed monthly payments including interest based on a principal. ISAs are more flexible in their repayment terms and will adapt to students’ income circumstances throughout the repayment period. Repayments for an ISA are based on a percentage of income and not on a fixed principal, so they should always be affordable. Also, ISAs do not include an interest rate that will increase the outstanding payment amount over time.
Students begin their repayments as soon as their income exceeds the salary floor, after graduation.
A student’s ISA will be completed if one of the following three is fulfilled: (i) repayments have reached the repayment cap (ii) student has completed all monthly payments, regardless of the total payment amount (iii) student has accumulated the maximum of deferment and repayment months, regardless of total payment amount.
A student’s ISA will be placed in deferment if they earn income below their salary floor or are unemployed. Once their income exceeds the salary floor, repayments will continue.
Blair serves as the ISA manager between schools and students. We provide schools with the necessary infrastructure to create an ISA program while facilitating all ISA payments and customer support inquiries of their students.
Schools and programs of all sizes and disciplines are able offer ISAs to their students. To learn more gladly reach out to our team directly.