College Students Pay Dividends To "Shareholders" Backing Their Education


College Students Pay Dividends To "Shareholders" Backing Their Education

Mar, 17th 2017

It soon may get easier for students to finance college by selling a share in their future selves.

Purdue University is partnering with Vemo Education, a technology firm, in hopes of spreading an alternative form of college financing pioneered at Purdue last year. The product, known as an income-share agreement or ISA, allows students to pay for college by selling a percentage of their future income to a backer, instead of paying out right or taking on debt. Typically, students who go into more lucrative fields pay a smaller percentage of their income during repayment, while students who go into less lucrative fields pay a larger share.

The West Lafayette, Ind.-based public college launched...

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