How Should I Pay for School

How to Pay for School: Choosing a Method for Career Training That Works for You

Deciding to attend a career training program to upskill or reskill is a big decision. Figuring out which program to attend can be even more difficult. So, no one wants the added burden of seeking out all of the payment options available and weighing which ones work best for their situation. That’s why we’ve put together a list of how to pay for school, to help you compare the pros and cons of each to find the payment method that’s right for you!

Upfront, in full

If you have enough money in savings to cover tuition and living expenses, you may want to pay out of pocket. While this option does have the highest upfront cost, you won’t owe any money in interest, and you won’t have to worry about making monthly payments!

  • Highest upfront cost — full tuition paid at once
  • No interest
  • No credit check
How to Pay for School

Pro-tip: if you’re able, paying upfront is the best option — you won’t owe interest, you won’t have to worry about remembering payments, and your credit won’t be impacted. Since education programs can cost thousands of dollars, check out if there are any scholarships available to use for your program that can help ease the tuition amount!

Pay-as-you-go payment plan

For students who are unable to pay the full cost of tuition at one time, many schools offer payment plan options that spread payment out over the duration of a course.

Because these plans come with zero interest, you’ll pay less overall than with a loan. However, the payments are usually spread over a much shorter period of time, so your monthly payments will be higher.

  • Payments spread over a short period of time — higher monthly payments than a loan
  • No interest
  • No credit check

Student loan

A student loan can be a good option for people who need to make smaller monthly payments, rather than in larger payments or all upfront. While many career training programs don’t offer federal student loans, private student loans can still be available. Depending on the products available for your program, you may have the option of full deferral, interest-only deferral, or immediate full repayment.

Additionally, Climb only performs a hard credit pull once a loan is funded, so you can submit an application with no impact to your credit score!

There are some things you’ll want to keep in mind — these loans come with an interest rate, so you’ll ultimately pay more than the tuition amount. Your credit will also be pulled once loan funds are sent, so your credit score may be impacted.

  • Payments spread over a longer period of time — lower monthly payments than pay-as-you-go plans
  • Interest rates
  • Credit check
How to Pay for School

Pro-tip: even with a deferred loan, interest will build up while you’re in class. If you’re able, a good idea is to make interest payments during your program, so you won’t be faced with a larger principal amount once your repayment period begins!

Income Share Agreement (ISA)

Some programs also have an income share agreement (ISA) option. With an ISA, you won’t have to make any tuition payments until you find a job and earn above a minimum income threshold. Once you’re earning a minimum salary amount, you’ll make payments based on a fixed percentage of your income, until you pay a maximum amount or number of payments.

You’ll want to keep in mind, though, that the amount you pay will increase as your income increases, so if you find a well-paying job, you may actually end up paying much more.

  • Varied payment amounts depending on employment and salary
  • Protection for possible unemployment or underemployment
  • Potential for much higher payments once employed

Want to see what Climb can offer when it comes to how to pay for school? Check out our payment options below!

Leave a Reply

Your email address will not be published.Required fields are marked *

Subscribe to get more info sent straight to your inbox!

What to Expect: Realistic Outcomes

Climb’s Comprehensive Access Solution can offer a strategic balance of increased enrollments and upfront cashflows compared to traditional lenders. While no financing solution guarantees 100% collection, our data-driven approach maximizes both upfront cash and long-term repayment rates.

Typical Partner Results:

  • 15-30% of students qualify for Climb Loans with upfront tuition delivered to the school shortly after course start
  • 45-60% of students qualify for 0% APR* payment plans
  • Enrollment increases of 20%+ reported by partner schools**

**Results vary by school and student demographics. This represents performance reported by individual school partners and should not be considered a guarantee of your specific outcomes.

The bottom line: CAS is designed to maximize your net tuition recovery while eliminating the administrative headaches of student financing.

Maximizing Your Results

Pro Tip: Schools that require student deposits and set up automatic payments during enrollment see significantly better repayment performance across all financing options. These simple steps can meaningfully improve your outcomes.

FAQs

We use a comprehensive, AI-driven assessment that goes beyond traditional FICO scores to better serve career training students:

  • Climb Credit Score: Over 150 data points specifically designed for vocational students
  • Debt-to-Income Ratio: Reliable predictor of payment performance
  • FICO Score: Used primarily for interest rate assignment

Key advantages of our approach:

  • Soft credit pull until loan funding (no credit impact during application)
  • The majority of students receive instant decisions
  • Students can apply with co-borrowers directly in the application
  • More accurate placement into appropriate financing products

We use a comprehensive, AI-driven assessment that goes beyond traditional FICO scores to better serve career training students:

  • Climb Credit Score: Over 150 data points specifically designed for vocational students
  • Debt-to-Income Ratio: Reliable predictor of payment performance
  • FICO Score: Used primarily for interest rate assignment

Key advantages of our approach:

  • Soft credit pull until loan funding (no credit impact during application)
  • The majority of students receive instant decisions
  • Students can apply with co-borrowers directly in the application
  • More accurate placement into appropriate financing products

Students are placed into funding brackets (Elite, Standard, Enhanced) based on our AI assessment. Higher-credit students generate higher upfront payments to your school, while students with limited credit are seamlessly directed to our 0% Payment Plan.

These brackets are established using data from over $1 billion in career training loan originations and may be adjusted periodically based on updated repayment trends.

Important note: Regardless of which bracket a student falls into, they are considered fully paid by your school once funded. The student’s repayment obligation exists exclusively between Climb and the student.

Elite Access not available for Computer Science programs. Upfront percentages vary by industry and loan terms.

Once Climb disburses upfront funding for a student loan, that student is considered fully paid by your school. You will not receive any additional payments for that student—the single upfront payment is complete and final.

From that point forward, the student’s repayment obligation exists exclusively between Climb and the student. Your school has zero liability if the student defaults, and you keep the full upfront payment regardless of the student’s future payment performance.

They’re automatically offered our 0% Interest Payment Plan, ensuring no student is turned away while maintaining steady monthly cash flow for your school.

Higher-credit students generate larger upfront payments (75-100% of tuition), while students with limited credit use our 0% APR* Payment Plan for consistent monthly revenue. Both options are risk-free for your school

Absolutely. Climb complements existing payment options like scholarships, employer-sponsored programs, and internal financing.

Absolutely. Climb complements existing payment options like scholarships, employer-sponsored programs, and internal financing.

Typically, within 5-10 business days after your partnership agreement is signed.

Comprehensive onboarding webinar, continuous partner support via AI-assisted chat and live email—and real-time borrower assistance with our live-chat-available student success team.

No. Climb fully manages the administrative responsibilities—your team simply monitors your school’s performance via our intuitive School Portal.

Your school is fully protected either way. For Climb Loans, you keep the entire upfront payment with zero liability. For Payment Plans, you only receive what students actually pay, with no risk to your school.