Kenzie Income Share Agreement (ISA) FAQ
What is a Kenzie Income Share Agreement (ISA)?
In an Income Share Agreement (ISA), you agree to pay a fixed percentage of your future earned income for a fixed period of time to Kenzie Academy. In exchange, you don’t have to pay the full cost of Kenzie tuition upfront.
Why is Kenzie Offering an ISA Program?
Kenzie is committed to offering student-centric financing programs that enable our students to graduate without loan debt.
We stand behind our program and believe you will land a well-paying job after program completion.
What is the difference between an ISA and a Loan?
In a traditional student loan, a lender gives you money to pay the cost of tuition or expenses upfront. After you graduate, you are required to pay back the original loan, plus interest, until the principle is completely paid off, which can take years or decades. Additionally, if you enter a deferment period, loan interest continues to accumulate.
With an ISA, you commit to pay for the education you receive at Kenzie in the future, once you have a salary, as a set percentage of earned income over a set period of time. You won’t graduate Kenzie with any loan debt.
What is the benefit of an ISA to Kenzie students?
With an ISA, your monthly payments adjust in real time according to your income level, meaning they will decrease or increase with your salary.
During repayment, the ISA has a minimum income threshold, meaning if you earn less than a certain salary, you may not be required to pay anything back. If you end up earning a substantial amount of income, you will not pay above a certain maximum amount.
Additionally, the ISA allows you to defer payment due to certain life circumstances like raising kids, enrolling in another full-time educational program, or unemployment. During deferred payment periods, there is no interest accruing, as compared to a traditional loan. Instead, you simply pause ISA payment, and add additional payment months once you’ve re-entered the workforce.
Kenzie offers ISA contracts for tuition or tuition plus living expenses.
What does the ISA cover?
You, and you alone, maintain the right to make all decisions regarding your future
employment. Through the ISA, you are only committing to make monthly payments at a set percentage of your earned income for a set period of time.
Future Employment Decisions
Yes. The ISA may be prepaid. Exact prepayment terms will be included in your ISA contract. There is no penalty for prepayment.
Can I repay my ISA early?
No. You are only required to pay a set percentage of your income each month for a set period of time. After completing each monthly payment over the set term, you are not required to make any additional payments.
Do I have to fully pay back the original ISA amount?
To learn more about Kenzie Academy's ISA program, and discuss term options, please contact our Admissions Team!