Grace Hopper’s New Income Share Agreement—Everything You Need to Know

By: Emily Gregor

This post originally appeared on Fullstack Academy's blog.

It’s clear that higher education leads to opportunity, but the high cost can leave many feeling like that opportunity is out of reach.

Fullstack Academy’s mission is to make tech more accessible, which is why we’re excited to offer a new financing option for all Fullstack Academy Software Engineering, Cyber Bootcamp, and Grace Hopper students—Income Share Agreements, or ISAs.

“Since the beginning, we’ve been focused on making it easier to access high-quality coding education, and ISAs will help us make that a reality for those who aren’t able to afford up-front tuition costs,” says Fullstack Co-Founder and Co-CEO Nimit Maru.

The Grace Hopper was one of the first coding bootcamps in the country to offer an ISA, but now we want to extend that option to our other programs as well.

“When we started the Grace Hopper Program, we knew that accessibility was going to be core to its success, so we’re excited by the opportunity to extend that to our other programs,” says Fullstack Co-Founder and Co-CEO David Yang.

ISAs enable students to pay for their education in monthly installments once they have a job instead of paying it all up-front, making it easier and less stressful to afford a high-quality tech education.

We also believe that if students spend less time worried about cost, they can spend more time focusing on what really matters—launching a fulfilling, high-paying tech career.

Here’s everything you need to know about Grace Hopper’s new financing option:

How Does the Grace Hopper ISA Work?

An ISA is a financial obligation, which, in exchange for the training received from Grace Hopper, a student agrees to pay back 12% of their post-program income over a defined period of time.

ISAs will be available to all full-time web development and cybersecurity students at Fullstack Academy in New York, including students who are interested in the Grace Hopper Program. During the application process, students who are interested can apply for funding through our ISA partner, Leif.

Grace Hopper has partnered with Leif, an ISA Management Platform, to administer its ISA program. To get started with your quick and easy application, you will be directed to Leif. Once you are approved and have signed your ISA, Leif will also manage your income verification and ISA payments after you complete the program and once you are employed.

Students applying for the ISA will pay a down payment of $2,000, but they can choose to defer their remaining tuition balance until after they start working.

How Much Will I Pay?

You’ll only start paying for your ISA once you’re earning at least the minimum monthly income threshold of $3,333 per month (equivalent to $40,000 per year) for web development and $2,917 per month (equivalent to $35,000 per year) for cybersecurity 28 days after you start working, regardless of job type or industry.

The payments will be 12% of your monthly income and won’t be required during months when you make less than the minimum income threshold.

The total up-front tuition cost to attend Fullstack Academy’s Software Engineering Immersive, Cyber Bootcamp, or the Grace Hopper Program in New York is $17,910.

If you choose to use an ISA to finance your education, the highest amount you’d end up paying, considering your income and the maximum payment cap of 1.75x the price of financed tuition, is $27,843 plus the $2,000 down payment.

If you’re concerned about hiring outcomes and what kind of salary you can expect, Fullstack Academy and Grace Hopper graduates, on average, receive a median annual salary of $87,500.

When Does the Grace Hopper ISA End?

As far as a timeline goes, you will make 48 total payments, or pay a total sum equal to the payment cap, whichever happens first.

Payments are not required during months when your income is below the minimum income threshold (the deferment months). If you reach a total of 48 deferment months, your ISA is forgiven and your obligation is ended. So your requirement to make payments ends upon the earliest of: 

a) you make 48 monthly payments
b) you reach a total of 48 deferment months
c) your payments reach the payment cap of $27,843

Learn more about Grace Hopper’s new ISA financing option.

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