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Not paying ISA loan

2 of Michael's comments in this thread · View thread on Reddit ↗

u/michaelnovati replied ·
My personal opinions for dealing with any ISA. You likely have to pay them regardless of the source of income. Most recent ISAs (past 3-4 years) have been structured as a loan for the upfront cost that you have to pay back to the ISA provider. ILLUSTRATIVE NUMBERS FOR EXAMPLE PURPOSES ONLY. So you took out a loan for like $15K or whatever from Stride to pay for Hack Reactor and you owe back $15K + an effective interest rate to cap out at say $20K. Your loan with Stride is governed by your contract with Stride. So TLDR - you should be expecting to pay it and there's not much Stride can do about the loan terms. You can try to get a partial refund from Hack Reactor to credit towards the loan and that might be an angle to talk to them about, but I would guess it's unlikely. Someone said the most recent cohort there had 2 students and I doubt they are in the mood to refund you unless contractually obligated.

u/Individual-Beach-782 wrote (the comment Michael replied to):

Is there any chance that I just don’t pay it and nothing really happens. I have heard in some cases that they just spam you til eventually they stop, or they say that it’s sent to collections but then it didn’t affect their credit.

u/michaelnovati replied ·
Because your loan is with Stride and not with Hack Reactor the collections will fall on them. If something is sent to collections you can try to negotiate a lump sum with the collector. I can't advise on this because I don't know and I'm not giving legal or financial advice other than it can go to collections and they won't forget about it.