For the first time in Canada, a school for coders is letting students start their education now, in exchange for a piece of their paychecks in the future.
Toronto’s HackerYou is asking for only a dollar upfront to enroll in its nine-week Web Development Immersive Bootcamp. Once a graduate is earning $50,000 a year, they pay back 17 per cent of their gross income for two years.
In that scenario, the total you pay back is $16,999.92, which is $4,999.92 more than the $12,000 you would have paid upfront instead. If you make more you’ll pay more but the limit is capped at $30,000, which you would need to make $88,236 to hit.
If you earn less than $50,000 within five years, you’re off the hook and pay nothing.
Heather Payne, CEO of HackerYou, says she’s comfortable with the risks.
“If our students can’t land a high-paying job after we’ve taught them these new skills, then we’ve failed,” Payne told Yahoo Finance Canada.
“Luckily, our track record shows otherwise. HackerYou’s Web Development Immersive Bootcamp had a 97 per cent placement rate in 2017, and our most recent cohort to graduate is at an 82 per cent placement rate in just over 90 days.”
Graduates have landed jobs at companies including Loblaw Digital, Top Hat, BMO, Achievers, Ecobee, and Uberflip.
If you lose your job, payments are paused. Regardless of the number of payments made, you are contract free after five years.
Payne says the program will bring much-needed talent and diversity to southern Ontario’s booming technology sector.
HackerYou is also offering over 100 needs-based scholarships worth $250,000 a year.
“30 per cent of these scholarships will be set aside for groups currently underrepresented in our HackerYou community, which for 2019, are those who identify as Black or Aboriginal/Indigenous/First Nations/Metis/Inuk.” said Payne
Jessy Bains is a senior reporter at Yahoo Finance Canada. Follow him on Twitter @jessysbains