The $40,000 threshold is inclusive. So if their income is equal to our greater than $40,000, they owe 15%. If they ever dip below $40,000 payments stop until it goes back up to $40,000.
Totally agree. I think in the future -- as the market for income share agreements becomes more sophisticated there will be marginal rates. Right now the complexity tradeoff for the customer and the financing means we aren't doing it for a while though.
I'm curious about this, does this expire after so many years or is this a new student loan situation that lingers forever if someone is unable to find meaningful (over 40k) employment ever.
Our current contract has a 5-year maximum deferment period, meaning if they don't earn above $40,000 for 5 years, the contract ends and they no longer owe anything.
