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Feb. 8, 2022

Why You Need a Loan Repayment Assistance Program

Why You Need a Loan Repayment Assistance Program

To succeed at higher ed marketing, you need to understand the challenges prospective students face.

For example, what hurdles do they need to overcome to attend your school?

Often, a major hurdle is the prospect of borrowing money. That’s why offering loan repayment assistance programs, or LRAPs, can make a huge difference with enrollment.

Peter Samuelson, President at Ardeo Education Solutions, joins the show to explain what LRAPs are, how they’re used, and how higher ed institutions benefit from them.

We discuss:

- How colleges and universities can use LRAPs

- The research into the benefits of LRAPs

- The “College Is Worth It” research initiative

- The difference between income share agreements (ISAs) and LRAPs

Email Peter if you have any questions about LRAPs.

To hear more interviews like this one, subscribe to Higher Ed Marketer on Apple Podcasts, Spotify, or your preferred podcast platform.

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The Higher Ed Marketer podcast is sponsored by Caylor Solutions, an Education Marketing and Branding Agency, and by Think Patented, a Marketing Execution, Printing and Mailing provider of Higher Ed solutions.

    

 

Transcript
WEBVTT 1 00:00:02.919 --> 00:00:07.190 You are listening to the Higher Ed Marketer, a podcast geared towards marketing professionals 2 00:00:07.230 --> 00:00:11.910 in higher education. This show will tackle all sorts of questions related to student 3 00:00:11.949 --> 00:00:16.269 recruitment, dontor relations, marketing trends, new technologies and so much more. 4 00:00:17.030 --> 00:00:20.829 If you are looking for conversations centered around where the industry is going, this 5 00:00:21.030 --> 00:00:30.219 podcast is for you. Let's get into the show. Welcome to the High 6 00:00:30.219 --> 00:00:34.539 Red Marketer podcast. I'm troy singer and I'm here with my cohost and Talka 7 00:00:34.619 --> 00:00:39.369 truck collector, Bart Taylor, and today we're going to talk to Peter Samuelson 8 00:00:39.649 --> 00:00:43.969 and he's with our dao education solutions and with Peter we're going to have a 9 00:00:44.049 --> 00:00:50.159 discussion on how colleges can help grow their enrollment and improve their value proposition through 10 00:00:50.320 --> 00:00:54.039 loan repayment assistant programs. Yeah, it's been a really good conversation with Peter. 11 00:00:54.079 --> 00:00:57.799 I'm excited to share this with everyone and I think that before the Higher 12 00:00:57.799 --> 00:01:00.880 Ed marketers out there are like I thought this was a show about marketing. 13 00:01:00.079 --> 00:01:03.079 It is and I want you to pay attention to it, because what Peter 14 00:01:03.200 --> 00:01:06.829 Talks about with these l wraps, it's kind of the short version of the 15 00:01:06.950 --> 00:01:10.790 loan repayment assistant programs, L rap. What he talks about is the idea 16 00:01:10.790 --> 00:01:15.950 of how you can leverage these in your marketing to help students find security in 17 00:01:15.109 --> 00:01:19.140 going into your school, especially if they're having to take out debt and maybe 18 00:01:19.219 --> 00:01:23.099 their career isn't one that's going to be a high paying career at the end. 19 00:01:23.140 --> 00:01:26.260 So a lot of thing is talking about, you know, the prospective 20 00:01:26.299 --> 00:01:30.459 students needs, their perception, their realities and how we can market and provide 21 00:01:30.500 --> 00:01:34.409 them tools to help them, you know, get over the barriers of applying 22 00:01:34.450 --> 00:01:38.930 to your school, of accepting and depositing your school and then ultimately, you 23 00:01:40.010 --> 00:01:42.370 know, becoming matriculated there. So it's a good conversation, so be sure 24 00:01:42.409 --> 00:01:49.159 to stay stay tuned. Here's our conversation with Peter Samuelson. Is My pleasure 25 00:01:49.239 --> 00:01:55.640 to welcome Peter Samuelson of our dao education solutions to the Higher Ed Marketer podcast. 26 00:01:56.079 --> 00:01:59.439 How you doing today, Peter? Very good, troy, thanks for 27 00:01:59.480 --> 00:02:01.909 having me on the podcast. Great to join you. It is our pleasure 28 00:02:01.989 --> 00:02:07.189 and we can't wait to hear everything you'd like to give us about how colleges 29 00:02:07.389 --> 00:02:13.550 can utilize loan repayment assistant programs to enhance their enrollment. But before that, 30 00:02:13.669 --> 00:02:16.259 if you can give us a little bit about you, your role and how 31 00:02:16.379 --> 00:02:21.780 you came up with this idea? Sure things. So My name Peter Samuelson. 32 00:02:21.860 --> 00:02:24.740 I'm the president and founder at our dao education solutions. We've been doing 33 00:02:24.780 --> 00:02:29.539 this for some years now, helping colleges grow their enrollment by really helping students 34 00:02:29.580 --> 00:02:31.449 go to college. And this just comes out of my personal life. I 35 00:02:31.650 --> 00:02:36.530 was coming out of college at Greenville College Down There St Louis, heading to 36 00:02:36.569 --> 00:02:38.889 law school and wanted to go to Yale law school but couldn't afford it. 37 00:02:38.969 --> 00:02:43.129 Right that classic phrase that students sale the time is I can't afford it, 38 00:02:43.650 --> 00:02:46.960 and so I put in my deposits to go to University of Chicago Law School 39 00:02:46.319 --> 00:02:50.520 and then discovered the Yel had this great program. They called it a career 40 00:02:50.599 --> 00:02:53.439 options assistance program, but every law school who copied them calls it a loan 41 00:02:53.520 --> 00:02:58.750 repayment assistance program and lay up for short and the promise was come here, 42 00:02:58.949 --> 00:03:01.550 borrow a ton of money, pay us that borrowed money and when you graduate, 43 00:03:01.710 --> 00:03:04.830 if your income is low, will make your loan payments for you. 44 00:03:05.430 --> 00:03:07.229 So just a great program that said, yeah, I can go to get 45 00:03:07.229 --> 00:03:10.030 a law school, I can do public interest work when I graduate. I'm 46 00:03:10.069 --> 00:03:14.259 not going to be burdened by a load of debt because I can go do 47 00:03:14.379 --> 00:03:16.659 anything I want afterwards. And that gave me the freedom to go to Yale 48 00:03:16.740 --> 00:03:21.099 instead of Chicago. Had A great experience there. I use the program for 49 00:03:21.139 --> 00:03:23.419 a year afterwards to do human rights work in Sudan and in Hong Kong, 50 00:03:23.539 --> 00:03:28.449 and so really affected where I went to school, how I started my career. 51 00:03:28.889 --> 00:03:30.449 I ended up on Wall Street, paid off the loans like most people 52 00:03:30.449 --> 00:03:34.409 do, which was great, but was just delighted to have that freedom to 53 00:03:34.449 --> 00:03:37.530 go anywhere I want to do anything I wanted. That is wonderful. And 54 00:03:37.650 --> 00:03:45.159 then from that experience the idea from Ordeo arrived. But sure so, a 55 00:03:45.240 --> 00:03:47.159 few years later I was looking to join the board of a college where my 56 00:03:47.240 --> 00:03:50.759 mom taught. So I grew up in McPherson, Kansas, the home of 57 00:03:50.800 --> 00:03:54.080 central Christian College. Small little school right, totally different experience from Yale. 58 00:03:54.120 --> 00:03:59.349 Totally different student body, but really the same enrollment problem, which was they 59 00:03:59.389 --> 00:04:02.150 were admitting lots of students. Doing all that marketing work to bring the students 60 00:04:02.189 --> 00:04:06.389 in bringing the applications, admit the students. And then seventy five percent of 61 00:04:06.430 --> 00:04:11.020 students who are admitted said no, we can't afford it, we're going somewhere 62 00:04:11.060 --> 00:04:13.819 else. Obviously lots of reasons that go somewhere else, but you know, 63 00:04:13.900 --> 00:04:18.259 the dominant reason to not attend after being admitted was we just don't want to 64 00:04:18.259 --> 00:04:20.660 borrow the money. Right. And so I thought, you know, we 65 00:04:20.740 --> 00:04:25.129 need the same program Yale has. Let's tell these students, let's say we're 66 00:04:25.129 --> 00:04:28.410 sure you're making a good economic investment, we're confident you're going to get a 67 00:04:28.410 --> 00:04:30.209 good job. Most of you write, and that's true at most colleges. 68 00:04:30.250 --> 00:04:33.610 You know, eighty percent, ninety percent of graduates do get a good job. 69 00:04:34.089 --> 00:04:38.170 But there is that bottom group of students, at ten or twenty percent 70 00:04:38.209 --> 00:04:41.879 at every college every year who struggle to get a job. They come out 71 00:04:41.879 --> 00:04:45.839 with student loans. That burden really hurts and everyone hears about those, right, 72 00:04:45.879 --> 00:04:48.199 if you've got a nephew and Nie, a daughter, son at a 73 00:04:48.279 --> 00:04:51.000 CO worker at work, you hear about those, those hard cases. So 74 00:04:51.040 --> 00:04:54.269 I thought, why don't we make the same promise you all made to me? 75 00:04:54.670 --> 00:04:58.110 And let's make let's give students the comfort and the confidence they need to 76 00:04:58.189 --> 00:05:01.189 come here and matriculates and get the value of this education. I love that 77 00:05:01.230 --> 00:05:04.829 idea because I think that not only are you solving a real world problem. 78 00:05:04.870 --> 00:05:09.339 I mean much like you know, you experienced yourself at Yale being able to 79 00:05:09.779 --> 00:05:13.420 go out and then do some social impact type of law, but I mean, 80 00:05:13.740 --> 00:05:16.500 you know, a lot of the really good schools for for you know, 81 00:05:16.699 --> 00:05:21.810 really good types of education. Sometimes, you know, it's challenging, 82 00:05:21.930 --> 00:05:26.250 and I'm thinking of some smaller private colleges right now where, you know, 83 00:05:26.689 --> 00:05:28.769 a lot of their going to graduate, a lot of nurses or a lot 84 00:05:28.810 --> 00:05:33.050 of teachers or a lot of pastors and faith based leaders, and sometimes those 85 00:05:33.129 --> 00:05:36.519 careers don't have the largest incomes. And you know, take a lawyer. 86 00:05:36.560 --> 00:05:39.800 I mean what's one thing, a lawyer and a doctor being able to pay 87 00:05:39.800 --> 00:05:44.120 back and being able to provide that for them, but just for the for 88 00:05:44.240 --> 00:05:46.959 folks like you who called into ministry to be able to go to a really 89 00:05:47.000 --> 00:05:50.470 good Christian, you know, private school. It's not the same as going 90 00:05:50.550 --> 00:05:54.230 to community college. So I'm saying that really plays out well with us. 91 00:05:54.310 --> 00:05:57.470 Is as well well it does. You know, you mentioned teachers teachers are 92 00:05:57.550 --> 00:06:00.670 just a great example for us because when a teacher lands at full time job, 93 00:06:00.709 --> 00:06:03.379 usually a union base job, right, they get a good pay. 94 00:06:03.899 --> 00:06:09.459 But so often when a student gets a teaching degree and starts their substitute teaching 95 00:06:09.500 --> 00:06:12.540 and they're also working at starbucks and for that year or two until they land 96 00:06:12.540 --> 00:06:15.259 the full time Gig, they're not making that much money. And we help 97 00:06:15.300 --> 00:06:16.740 a lot of those students, a lot of those graduates. And then you 98 00:06:16.819 --> 00:06:19.170 mention the ministry. Right, a lot of people, as they are high 99 00:06:19.170 --> 00:06:23.610 school seniors, go into college. If they're looking at a Christian college, 100 00:06:23.689 --> 00:06:27.370 they're very often wondering, am I going to head into some ministry related job? 101 00:06:27.850 --> 00:06:30.209 And through college they make that decision. Some do, many don't, 102 00:06:30.610 --> 00:06:33.079 but it's nice for that to still be an option for them if they have 103 00:06:33.120 --> 00:06:35.519 an l wrap in place and know that they don't have to worry about the 104 00:06:35.600 --> 00:06:39.800 income when they graduate and they can pursue that calling if they want to pursue 105 00:06:39.839 --> 00:06:45.600 that calling. So let's talk about how a college and university can benefit by 106 00:06:46.279 --> 00:06:49.949 promoting, by marketing l wraps and how they can utilize it to enhance their 107 00:06:49.990 --> 00:06:53.709 enrollment. Sure so you know, when people ask me what I do? 108 00:06:53.750 --> 00:06:56.790 I say I help students go to college, and that's really what we're doing, 109 00:06:56.870 --> 00:06:59.990 is we're helping students go to their first choice college and that of course 110 00:06:59.990 --> 00:07:03.019 helps colleges. So our economic model is we sell this program to colleges, 111 00:07:03.339 --> 00:07:08.100 colleges give it to their students and the way a college does this as they 112 00:07:08.139 --> 00:07:11.860 sign up with us and then we work with that college to help them figure 113 00:07:11.899 --> 00:07:15.970 out which of their perspective students should they give these l raps to. So 114 00:07:15.250 --> 00:07:18.769 they can look at their segments and anywhere that they have low yield. So 115 00:07:18.970 --> 00:07:21.730 out of states student Sudents is off at a segment where they have really low 116 00:07:21.769 --> 00:07:27.410 yield, right. Or maybe low EFC students, or maybe it's the nonathletes, 117 00:07:27.889 --> 00:07:30.360 or maybe they're going to add l wrap to some of their scholarship students 118 00:07:30.360 --> 00:07:34.040 who aren't getting the top scholarships just to suitet in it and make that deal 119 00:07:34.079 --> 00:07:38.600 a little better for them. Right. Maybe they're restarting a major where they 120 00:07:38.600 --> 00:07:41.480 want to rebuild that major, or they have a brand new major where they're 121 00:07:41.480 --> 00:07:45.350 trying to draw some attraction to it. So anywhere where they have a segment 122 00:07:45.389 --> 00:07:48.189 where the yield is lower than they want they can add l wrap into that 123 00:07:48.310 --> 00:07:53.389 offer to those students and help out. And then almost every college, as 124 00:07:53.389 --> 00:07:57.069 they go from March, April May and they've sent out those financial aid awards 125 00:07:57.389 --> 00:08:00.779 and they're waiting for students to show up. In August or September, they 126 00:08:00.819 --> 00:08:03.220 suffer summer melt and they have a whole bunch of students in their funnel that 127 00:08:03.300 --> 00:08:07.060 go stale and quit talking to them. So you can definitely use l rap 128 00:08:07.180 --> 00:08:11.259 as a tool to respond to summer melt and to work with the stale funnel 129 00:08:11.300 --> 00:08:13.689 through the late springing through the summer to find those students who have said I 130 00:08:13.769 --> 00:08:18.569 wanted to come but I'm nervous and I'm reluctant to borrow and change that equation, 131 00:08:18.970 --> 00:08:22.810 turn that no into a yes. That's great. And then, and 132 00:08:22.889 --> 00:08:26.329 then I'm guessing that sometimes, you know, looking at the data. Then 133 00:08:26.569 --> 00:08:30.560 I'm sure that you have some data that shows that students who you know, 134 00:08:30.680 --> 00:08:35.840 have the security of this type of way to not only begin their college career 135 00:08:35.879 --> 00:08:39.480 in matriculate, but also then to retain and actually, you know, complete 136 00:08:39.519 --> 00:08:43.629 and graduate. I'm sure that that security for a student and their family probably 137 00:08:43.669 --> 00:08:46.909 does play in a lot to the retention? Is that true? Absolutely, 138 00:08:46.950 --> 00:08:50.909 definitely boost retention and graduation rate, sometimes by quite a bit. Now depends 139 00:08:50.950 --> 00:08:54.309 on why the student came. If the student wanted to go to your college 140 00:08:54.629 --> 00:08:58.899 and l rap enables them to go, it's going to boost retention rate by 141 00:08:58.940 --> 00:09:01.700 probably about ten percentage points all the way through graduation. If you were their 142 00:09:01.779 --> 00:09:05.860 second choice or they weren't that excited about you, but I'll wrap kind of 143 00:09:05.899 --> 00:09:07.940 twisted their arm and said go ahead and try it, not going to see 144 00:09:07.940 --> 00:09:11.929 a retention boost with that group of students, but certainly there's a big boost 145 00:09:11.970 --> 00:09:15.049 with students who view your specific college as the place they want to go, 146 00:09:15.169 --> 00:09:18.730 their preferred choice. Right. And then what about I know you've done some 147 00:09:18.649 --> 00:09:24.519 some research and working with Ruffelo Nol levits are now on some some of this 148 00:09:24.679 --> 00:09:28.080 data and kind of how this impacts the during Roman decisions and, I guess 149 00:09:28.120 --> 00:09:33.559 specifically the SOC and come in Firstgen type of students. You've talked a little 150 00:09:33.559 --> 00:09:35.759 bit about that, but anything specific to the RNL research that you've kind of 151 00:09:35.799 --> 00:09:39.830 discovered? Yeah, we do research with every year. We do it internally. 152 00:09:41.070 --> 00:09:43.549 A lot of our clients do their own research, but this last year 153 00:09:43.590 --> 00:09:46.509 we did a big survey with Rufflonel leavitts had a really great sample size. 154 00:09:46.629 --> 00:09:50.230 Was Fun to work with a partner, with someone like ourn l to do 155 00:09:50.350 --> 00:09:52.460 it and just got the same results we always see but, you know, 156 00:09:52.980 --> 00:09:56.539 even more detail than we've often seen. So they did a survey a one 157 00:09:56.580 --> 00:10:01.419 fifteen hundred students in the summer who had and had not matriculated but had been 158 00:10:01.419 --> 00:10:05.580 offered l rap. Sixteen percent of those who matriculated said they would not have 159 00:10:05.700 --> 00:10:11.009 matriculated except for L rap. And what was really interesting is thirteen percent who 160 00:10:11.009 --> 00:10:13.970 did not matriculate said they would have matriculated if they had been offered l rap. 161 00:10:15.090 --> 00:10:16.809 Right. So that's just a huge group of students. I'll there that 162 00:10:16.929 --> 00:10:22.120 these colleges could have successfully recruited if they had gone ahead and make the offer. 163 00:10:22.600 --> 00:10:24.840 And then you mentioned students of color, first generation low income. One 164 00:10:24.879 --> 00:10:28.679 of the great details we got out of this are inhale study, because it's 165 00:10:28.679 --> 00:10:31.519 bigger than the ones we've done before, is the impact was almost twice as 166 00:10:31.600 --> 00:10:37.429 big for students of color, first generation and low income. Specifically, twenty 167 00:10:37.509 --> 00:10:39.990 four percent of students of color said they would not have come without being offered 168 00:10:39.990 --> 00:10:45.470 the all rap twenty seven percent of those whose families had incomes below a hundred 169 00:10:45.470 --> 00:10:48.509 thousand said the same thing, and twenty four percent of those whose parents did 170 00:10:48.590 --> 00:10:52.460 not have a college degree of the same thing. And when you talk to 171 00:10:52.539 --> 00:10:56.139 colleges, every college today wants more students of color, more first generation more 172 00:10:56.220 --> 00:11:00.820 students from low income backgrounds. Right those are the students who have the biggest 173 00:11:00.860 --> 00:11:03.649 social need to get that the advantage as the college offers, and it's really 174 00:11:03.649 --> 00:11:07.889 exciting that our program makes such a different, big difference in letting them go 175 00:11:07.970 --> 00:11:09.850 to the college they want to go to. I think that's great and I 176 00:11:11.009 --> 00:11:13.289 love the fact that it's not only marketing this to the college is to help 177 00:11:13.330 --> 00:11:16.409 them understand it, but then giving the college as tools to be able to 178 00:11:16.450 --> 00:11:20.480 market to the students. Because, I mean, I know at myself as 179 00:11:20.480 --> 00:11:24.679 a first generation student and showy it was also a first generation student. You 180 00:11:24.759 --> 00:11:26.120 don't know what you don't know when you're walking into college, and so you 181 00:11:26.200 --> 00:11:28.879 know when you're talking to mom and dad and saying, Hey, I'd really 182 00:11:28.879 --> 00:11:31.919 like to go to this school and they're like, oh, we can't afford 183 00:11:31.960 --> 00:11:33.470 that. Well, I'll take loans out. Will you can't afford that with 184 00:11:33.590 --> 00:11:37.629 your career, having something like this and being educated and having the student be 185 00:11:37.669 --> 00:11:41.509 able to say, well, my college amissions counselor showed me this. I'd 186 00:11:41.509 --> 00:11:43.110 never heard of it. What do you think? That? I think builds 187 00:11:43.149 --> 00:11:48.580 that security, builds that trust and obviously builds that that ability for them to 188 00:11:48.659 --> 00:11:52.019 go. So that's that's really exciting. I know that one of the things 189 00:11:52.059 --> 00:11:54.139 kind of we're talking about there, because, I mean you talked a lot 190 00:11:54.179 --> 00:11:58.220 about students of color and low income and first generation students, sometimes Tho as 191 00:11:58.259 --> 00:12:01.529 the ones that are going to be most impacted, but sometimes are the ones 192 00:12:01.570 --> 00:12:05.129 that are often on the fence of trying to figure out is college worth it, 193 00:12:05.730 --> 00:12:09.409 and and I know that that that's some, you know, some research 194 00:12:09.490 --> 00:12:11.929 that's being done under that title right now, College Worth it research initiative, 195 00:12:13.289 --> 00:12:15.879 and so tell me a little bit about how you guys are involved in that 196 00:12:16.039 --> 00:12:18.879 and what's going on with that as well. Sure. So, you know, 197 00:12:18.960 --> 00:12:22.919 we love talking to families and students when they have those questions about is 198 00:12:24.000 --> 00:12:26.679 college worth it? Can I really afford it? One of the things we 199 00:12:26.799 --> 00:12:30.830 do is when our college partners offer lap to students is we run a whole 200 00:12:30.950 --> 00:12:33.870 media campaign at cadence with them. We email them, send them postcards but, 201 00:12:33.950 --> 00:12:37.549 most importantly, we get on the phone and we talked to them because 202 00:12:37.590 --> 00:12:41.629 we want to explain how this l rap works and often in those conversations we 203 00:12:41.750 --> 00:12:45.740 get to rebut some of those common misconceptions about is college worth it, and 204 00:12:46.100 --> 00:12:48.580 when you read media articles, it's really easy for the media to write a 205 00:12:48.659 --> 00:12:52.740 story that talks about some student with hundred thousand a debt. Only one percent 206 00:12:52.779 --> 00:12:56.460 of undergraduate graduates come out with a hundred thousand a debt. The people with 207 00:12:56.580 --> 00:13:00.649 hunder thousand dollars of debt are doctors and lawyers and, like you said, 208 00:13:00.690 --> 00:13:03.610 no one's worried about doctors and lawyers paying off their loans. Right. The 209 00:13:03.769 --> 00:13:07.370 average undergraduate only has thirty three thousand in loans when they come out of college, 210 00:13:07.649 --> 00:13:11.610 but the media stell stories and says on average they have ninety four thousand. 211 00:13:11.610 --> 00:13:16.320 Right. So there's this huge misconception and that does such a disservice to 212 00:13:16.360 --> 00:13:18.639 these families where the students, like you said, they want to go to 213 00:13:18.679 --> 00:13:22.279 a college. They asked mom and Dad and mom and dad are skeptical. 214 00:13:22.320 --> 00:13:24.240 Right, you can't borrow that much. And if they really think they have 215 00:13:24.320 --> 00:13:28.470 to borrow a hundred thousand to go to college. That's totally going to dissuade 216 00:13:28.470 --> 00:13:30.870 them because they can't do that and they're the job they get isn't going to 217 00:13:30.909 --> 00:13:33.110 pay that back right. But when they learn they only have to borrow thirtyzero 218 00:13:33.429 --> 00:13:37.830 probably on average, that's much more viable, especially when they have the safety 219 00:13:37.830 --> 00:13:41.820 net that l rap gives them, the promises them. If, in for 220 00:13:41.980 --> 00:13:45.379 whatever reason, you have struggled making those loan payments, getting a better income 221 00:13:45.779 --> 00:13:48.539 as you graduate will help you out. What's really exciting for us on the 222 00:13:48.620 --> 00:13:54.259 back end is we help twenty, five thirty percent of graduates who struggle right 223 00:13:54.299 --> 00:13:56.409 out of the gates, but within a year most of them get really good 224 00:13:56.450 --> 00:13:58.929 pay raises. It's really fun to see that over the course of a year 225 00:13:58.929 --> 00:14:03.289 after graduation so many of them find that much better job, whether it's a 226 00:14:03.330 --> 00:14:07.690 substitute teacher getting the full time job or the person in some business career getting 227 00:14:07.690 --> 00:14:11.080 a promotion, whatever it is, within a year or two almost all of 228 00:14:11.159 --> 00:14:16.399 them have seen significant income growth, which is nice. That's great. So 229 00:14:16.720 --> 00:14:18.039 Peter has we were talking about all that. One of the things that I 230 00:14:18.360 --> 00:14:22.320 have in mind. I mean my kids. One of my kids go to 231 00:14:22.679 --> 00:14:26.590 Pretty University and I know President Mitch Daniels, and we've had Ethan Braden, 232 00:14:26.629 --> 00:14:30.230 the vice president of enrollment, on the show couple times. But I'm always 233 00:14:30.230 --> 00:14:33.830 influenced with a lot of things I hear from purdue and I've been aware of 234 00:14:33.870 --> 00:14:37.190 our Daoh and before you are Our da Oh, you were l rap and 235 00:14:37.309 --> 00:14:39.740 you've been doing this for a number of years. Since then I've heard the 236 00:14:39.860 --> 00:14:43.740 initiative from from at least from purdue, this back of boiler. It's the 237 00:14:43.860 --> 00:14:50.340 idea that you know, alumni will basically invest in students of need and other 238 00:14:50.659 --> 00:14:54.490 people that might typically qualify like for an l rap, but they would basically 239 00:14:54.490 --> 00:14:58.730 be investing in them with with a return on that investment later on. It's 240 00:14:58.730 --> 00:15:01.450 more of an investment tool for the alumni than it is a safety net for 241 00:15:01.529 --> 00:15:05.009 the student. So tell me a little bit about that and how that relates 242 00:15:05.049 --> 00:15:07.159 to what you're doing. Sure so, in some ways it's very similar. 243 00:15:07.200 --> 00:15:11.039 Both we and, if you know, that's an income share agreement, is 244 00:15:11.080 --> 00:15:13.440 the generic name for that back of boiler program. And you mentioned for due 245 00:15:13.480 --> 00:15:16.360 right a great school. Mitch has been a great leader in higher education doing 246 00:15:16.360 --> 00:15:22.029 a lot of innovative things and there's a lot of interest in higher ed financial 247 00:15:22.070 --> 00:15:26.669 aid. Right. How do you finance student loans and income based repayment is 248 00:15:26.750 --> 00:15:28.629 both what's is is as do and what l reps do right. We're going 249 00:15:28.629 --> 00:15:33.750 to look at your income after graduation and use that in some way to determine 250 00:15:33.789 --> 00:15:37.139 how you finance your education. The really big difference between ISA as and l 251 00:15:37.259 --> 00:15:43.139 wraps is every school has a few students who just can't borrow that last five 252 00:15:43.220 --> 00:15:46.419 thousand dollars they need and the is Isa fills that gap and provides the actual 253 00:15:46.539 --> 00:15:50.250 cash they need for that last five thous we don't provide a loan as L 254 00:15:50.330 --> 00:15:52.850 rap. We don't fill that gap, we don't solve the need for that 255 00:15:52.970 --> 00:15:56.129 group of students. What we do is work with a much larger group of 256 00:15:56.210 --> 00:16:00.370 students who have available to them the loans to borrow, whether federal or private 257 00:16:00.490 --> 00:16:04.159 loans, and they just don't want to borrow and we make them comfortable borrowing 258 00:16:04.200 --> 00:16:07.840 all of those student loans that are available. So I think that the use 259 00:16:07.919 --> 00:16:11.759 case for is is as and l raps are quite different with different groups of 260 00:16:11.799 --> 00:16:15.360 students. A college can certainly do both I think we can help them work 261 00:16:15.399 --> 00:16:18.990 with more students and I think students have been very, very happy with the 262 00:16:18.029 --> 00:16:22.389 l raps we provide across, you know, hundreds of colleges now over the 263 00:16:22.429 --> 00:16:26.710 last ten years. That's great. Thank you. As we bring our conversation 264 00:16:26.870 --> 00:16:30.710 to a close, we always ask our guests is there a topic or a 265 00:16:32.269 --> 00:16:38.779 takeaway that you could offer that would be immediately implementable by someone, especially someone 266 00:16:38.860 --> 00:16:45.299 that's considering a program like yours? So I think something immediately that they could 267 00:16:45.299 --> 00:16:48.289 take away and do is most clients of ours, most college partners who use 268 00:16:48.330 --> 00:16:52.570 L rap, they start in the spring and they do a pilot with a 269 00:16:52.610 --> 00:16:56.490 few students. This is the perfect time to start right financial aid awards have 270 00:16:56.649 --> 00:17:00.850 gone out the door or are going out the door. Admissions counselors have students 271 00:17:00.850 --> 00:17:03.519 who are raising their hand and say I'm reluctant to borrow that money, I 272 00:17:03.600 --> 00:17:07.480 can't afford it, I don't want to borrow colleges who are interested in intrigued 273 00:17:07.519 --> 00:17:10.519 by this idea should just sign up with us for a pilot and let their 274 00:17:10.559 --> 00:17:14.039 admissions counselors make this offer to a few of those students who raise their hand 275 00:17:14.079 --> 00:17:15.549 and what they're going to find out is are going to find out the power 276 00:17:15.630 --> 00:17:19.349 of that promise, the power of that a rat promise, to really turn 277 00:17:19.470 --> 00:17:22.670 that skepticism of around and turn that no, I can't come to a yes. 278 00:17:22.789 --> 00:17:26.309 I can come and I'm excited. So We'd love to see people just 279 00:17:26.390 --> 00:17:27.750 try it out, tested on a few students and see if it works. 280 00:17:29.630 --> 00:17:33.220 That's wonderful and, Peter, thank you so much for being a guest today. 281 00:17:33.299 --> 00:17:38.099 You've definitely brought some wonderful information. Just want to make sure we've covered 282 00:17:38.180 --> 00:17:42.500 everything that you would like to have covered today and is there anything additional that 283 00:17:42.579 --> 00:17:45.410 you would like to add? You know, delighted to be on your show 284 00:17:45.450 --> 00:17:48.049 to day, Troy Bart, thanks for having us. If anyone has any 285 00:17:48.049 --> 00:17:52.130 more questions about this, you know we are always eager to talk about it. 286 00:17:52.569 --> 00:17:56.210 Our website is our DAO aardo dot org. My own email is Peter 287 00:17:56.329 --> 00:18:00.200 at our Dal Education Dot Org. Would be happy to follow up with any 288 00:18:00.240 --> 00:18:04.079 questions any of your listeners and thank you very much, Peter Bart. Would 289 00:18:04.119 --> 00:18:07.839 you have any final thoughts that you would like to share? Yeah, I 290 00:18:07.880 --> 00:18:11.720 think that this is a really good example of when we're looking at higher ad 291 00:18:11.799 --> 00:18:17.230 marketing, really understanding the needs of your perspective students and understanding what would be 292 00:18:17.509 --> 00:18:19.950 the challenges that they might need to overcome. I mean, we talk about 293 00:18:19.950 --> 00:18:23.470 messaging a lot and we talk about branding and we talked about ways to make 294 00:18:23.549 --> 00:18:26.779 sure that we're answering the questions that students have. I mean that's that's basic, 295 00:18:27.339 --> 00:18:30.740 you know, marketing one hundred and one. But I think this is 296 00:18:30.819 --> 00:18:33.460 a good example of sometimes, as hired marketers, we might not go deep 297 00:18:33.500 --> 00:18:37.500 enough to understand what those true issues are that's keeping them from coming to your 298 00:18:37.539 --> 00:18:41.210 school. It might not be the fact that they don't like your school. 299 00:18:41.210 --> 00:18:44.210 It might not be the fact that you don't have their major, it might 300 00:18:44.250 --> 00:18:47.450 not be the fact of anything that you typically think of. It might be 301 00:18:47.569 --> 00:18:49.529 the fact of their own fear of being able to repay it back their loans 302 00:18:49.569 --> 00:18:55.329 or or be able to be successful enough to afford an education. And so 303 00:18:55.369 --> 00:18:57.240 I think that what Peters talked about today is really important for us, as 304 00:18:57.279 --> 00:19:02.680 highed marketers, to really understand the full spectrum of the of the student, 305 00:19:03.000 --> 00:19:07.200 understand the full spectrum of the families and what their concerns are and then, 306 00:19:07.319 --> 00:19:11.670 as high ed marketers, as enrollment professionals provide the tools and the education to 307 00:19:11.750 --> 00:19:17.789 them to allow them to make those decisions to actually matriculate and graduate successfully from 308 00:19:17.829 --> 00:19:21.150 your school. You know, certainly it's better for them to get into your 309 00:19:21.190 --> 00:19:25.180 school and graduate and be successful alumni and always have good things to say about 310 00:19:25.180 --> 00:19:26.980 your school then to just turn away and go to some place that they really 311 00:19:27.019 --> 00:19:30.019 didn't want or never end up in higher education to begin with. So I 312 00:19:30.059 --> 00:19:33.940 think these are some really good marketing lessons all the way through and and what 313 00:19:33.059 --> 00:19:37.859 a great opportunity to talk about a tool like this that could be part of 314 00:19:37.900 --> 00:19:41.690 the marketing tool kit for enrollment and going from there. So thanks again, 315 00:19:41.690 --> 00:19:42.809 Peter, for being on the show today. Thank you for thank you, 316 00:19:42.890 --> 00:19:47.690 troy. That brings us to the end of a wonderful episode. The High 317 00:19:47.730 --> 00:19:52.880 Ed Market of podcast is sponsored by Kaylor solutions and education marketing and branding agency 318 00:19:52.279 --> 00:19:56.759 and by Think, patented, a marketing, execution, printing and mailing provider 319 00:19:57.119 --> 00:20:04.480 of Higher Ed Solutions. Thank you all for joining us. You've been listening 320 00:20:04.519 --> 00:20:08.269 to the Higher Ed Marketer. To ensure that you never miss an episode, 321 00:20:08.509 --> 00:20:14.069 subscribe to the show in your favorite podcast player. If you're listening with apple 322 00:20:14.109 --> 00:20:17.190 PODCASTS, we'd love for you to leave a quick rating of the show. 323 00:20:17.230 --> 00:20:22.259 Simply tap the number of stars you think the podcast deserves. Until next time, 324 -->