NORTHFIELD, Vt., July 17, 2018 /PRNewswire/ -- Norwich University, the oldest private military college in the United States, today announced a new income share agreement initiative aimed at improving affordability, student retention, and degree completion. Beginning in fall 2018, Norwich undergraduate students will have the opportunity to opt into an innovative financing model in which they will pay reduced tuition in exchange for a set percentage of income after graduation over a set period of time.
As financial barriers and loan aversion continue to pose challenges for students' college-going aspirations, persistence, and degree attainment, higher education institutions are turning to new strategies in an effort to expand access, increase affordability, and reduce the risk associated with paying for college. A growing number of colleges and universities have recently implemented ISAs as a new, student-centric model that aligns costs with outcomes.
"Norwich University is committed to offering this new way to help pay for college in a way that aligns incentives and helps reduce financial barriers to degree completion," Norwich University Chief Financial Officer & Treasurer Lauren Wobby said. "The new Norwich ISA program has the potential to increase educational access and attainment for our students."
To develop its ISA program, Norwich tapped Vemo Education, a Virginia-based education technology company that works with higher education institutions to design, implement, and maintain income share agreement initiatives. Last year, Vemo powered $23 million of ISAs at a cross-section of colleges and universities across the country, including Purdue University, Lackawanna College in Pennsylvania, and Clarkson University in New York.
"In many cases, the college degree remains a prerequisite for social and economic mobility -- but rising costs and questions about affordability often lead students to underinvest in their higher education or not finish their degree program," said Tonio DeSorrento, Co-founder and CEO of Vemo Education. "Income share agreements can address this challenge, supporting college-going aspiration among the students who can benefit the most from higher education."
Known as the "birthplace of ROTC" (Reserve Officers' Training Corps), Norwich University was founded in 1819 and now serves more than 2,400 undergraduates. The university's new program, the first ISA initiative offered at one of the nation's six designated Senior Military Colleges, includes opportunities for sophomores, juniors, and seniors to opt into income share agreements. Seniors will also have access to a specialized ISA program designed to close funding gaps in their final semesters and help them complete their degree.
About Norwich University
Norwich University is a diversified academic institution that educates traditional-age students and adults in a Corps of Cadets and as civilians. Norwich offers a broad selection of traditional and distance-learning programs culminating in Baccalaureate and Graduate Degrees. Norwich University was founded in 1819 by Captain Alden Partridge of the U.S. Army and is the oldest private military college in the United States of America. Norwich is one of our nation's six senior military colleges and the birthplace of the Reserve Officers' Training Corps (ROTC). www.norwich.edu
About Vemo Education
Vemo Education is an educational technology company that partners with colleges and universities to design, implement, and maintain income-based financing programs to address institutional goals ranging from educational access and opportunity to degree completion. Vemo Education's team is committed to working with schools to use income-based financing to increase educational access, attainment, and reduce the risk of financing higher education. Learn more at www.vemo.com.
SOURCE Norwich University