Financing your studies can be a massive barrier to entering the tech industry. You know that there’s the opportunity to get the job of your dreams with all the perks and flexibility you want, but you don’t have the funds to get started. What are your options?
Coding bootcamps such as CodeSpace Academy offer an exciting pathway to high-income tech careers without the financial and time investments of a degree.
In a coding bootcamp, you can learn the practical skills that prepare you for a job in just a few months. Tech employers are looking for skills, not a piece of paper. With CodeSpace, you can quickly build a portfolio of code that is certain to impress future employers.
Because bootcamps take so much quicker than a degree program, you save a lot on fees.
Monthly payment plans are available to make it easier for you to pay for your studies. Studying full-time costs R6990 per month, and studying part-time costs R3490 per month.
However, even the reduced fees at a bootcamp aren’t always immediately affordable. At CodeSpace Academy, we are very familiar with this issue that so many of our prospective students have, so we have a few different ways to reduce this financial burden.
We offer financing options to assist you on your studying journey:
- Income Share Agreement
- Study Loan
Study Now, Pay Later with an Income Share Agreement
An income share agreement (ISA for short) is a fair and ethical form of student financing to help young people achieve their study dreams. ISAs work like a Stokvel: you receive financing for your studies, and then when you’re earning enough to support yourself you pay back a percentage of your salary to support the education of future generations. Simply put, an ISA enables you to study now and pay later.
CodeSpace students can receive an ISA from an education fund called Chancen International.
Students will sign an agreement with Chancen agreeing that if their studies are funded by the Chancen ISA, they will repay once they start earning.
Here’s how it will work if you receive a Chancen ISA to study at CodeSpace.
- Your cost of education will be covered.
- You’ll receive a laptop (which you get to keep when you graduate).
- You’ll get a stipend of R2000 per month while you are studying.
- You’ll get access to our Woodstock campus.
- You get to defer your payment to a later stage once you are earning – Once you graduate and start earning enough, you will repay a fixed percentage (15%) of your income.
- When you aren’t earning, you’re not liable to make repayments.
- The more you earn, the more you will contribute but we also have a maximum repayment rate to protect very high earners.
- Your ISA contribution helps to fund future generations to obtain an education and find meaningful opportunities.
Yes, you heard right:
- You only start paying once you are earning enough to support yourself.
- If you stop earning, then payment is paused.
- The more you earn, the more you pay.
- An ISA works like a Stokvel where a community works together to raise financing.
An example of how an ISA works
Buhle enrols to study Software Development full-time. She receives a Chancen Income Share Agreement which means she doesn’t have to pay for her tuition while she is studying.
She has to pay a commitment fee each month of R120 to Chancen. She receives a laptop and gets a stipend of R2000 every month. She gets an internship one month after graduating and is offered an internship salary of R8000 per month for six months. She informs Chancen that she has found an opportunity. When she receives her first payment of R8000, she pays R1200 to Chancen. She does this each month. After her internship, she is offered a year contract of R12000 per month, so she starts paying R1800 each month.
After one year, Buhle suddenly has to stop working due to an unexpected illness, and she stops earning. As she is unemployed, she only pays R100 per month to Chancen. When she gets a job again and starts earning more than R5000 again, she starts paying 15% again. In total, Buhle has to make approximately 36 payments, and then her contribution is complete.
ISA FAQs
Am I eligible for an ISA?
To be eligible for an ISA, you
- Must be an SA citizen or have permanent residency in SA.
- Cannot be employed or enrolled in other studies.
- Be between the ages of 18 – 35.
- Are available to attend mandatory classes from 9.30 am to 3.30 pm on weekdays.
- Meet the degree of financial exclusion.
How do I know if I meet the degree of financial exclusion?
You need to meet at least one of the below financial exclusion criteria:
- You receive a social grant, or someone in my household receives a social grant.
- Your high school fees were less than R15 000/year.
- Your household income is less than R50 000/m.
When do I start making repayments?
Repayments of your ISA start once you’re employed and earning above R5000 per month.
What happens if I lose my job or my income is too low?
If you’re no longer employed or your income drops to below R5000 per month, you don’t make repayments. However, you (or your champions) will be liable to pay a small fee of R60 (unemployment fee) per month when you’re unemployed.
When do I stop making repayments?
- You stop making repayments once you have made an average of 60 payments within the 12-year period.
- Ideally, this will be 3 years after graduating.
- You can make an agreement to pay back into the fund quicker than 36 months.
- In summary, repayments stop when your ISA term of 12 years is complete, or you have made all your repayments.
Is there a registration fee?
Yes, there is a small commitment fee (a minimum of R120 per month) for you to pay while you’re studying, which goes towards your ISA repayments. This shows your commitment and provides a record of good payment habits.
If you are invited to participate in the Selection Program; before signing the ISA Contract, you will pay a non-refundable initiation fee of R120, this fee does not go toward your ISA.
What is a champion?
A champion is someone who will champion your studies and is on your team. They have to be at least 25 years old, someone like a parent or close family member, not a friend or spouse. You may have to justify why you have chosen this person as your champion and why they are the right person to help you through your studies.
Why is a champion a requirement?
Your champion is our first point of contact. So if we can’t reach you, or if you stop repaying, or if something happens, we’ll get in touch with your champion. Your champion will sign commitment contracts and could be responsible for payments should you not honour your commitments.
What happens if I drop out of my CodeSpace course?
- You, your Program Coordinator, and ISA Champion are to have a mandatory meeting.
- You will also be liable for a portion of your tuition costs.
Why is it called the Chancen ISA?
There are many ISAs in the world. This one is the Chancen ISA because it is fair and ethical. Chancen ISAs have been provided in Rwanda for many years and launched in South Africa in 2021.
Is the Chancen ISA regulated?
Yes, the Chancen Future of Work Fund is a registered credit provider regulated under the National Credit Act.
Study Loans
You can finance your studies through a study loan, where you borrow money from a financial institution. Banks like to loan money to students because they know they are high-potential earners. Therefore, they are willing to give away study loans at low-interest rates. A study loan allows you to pay for your studies over time in instalments.
Personal Bank Loan from your Bank
You can apply for a study loan independently through your bank. You will need to have someone stand surety for you, and provide proof of registration. Once you register for your CodeSpace course, we will send you a registration letter that you can use when applying at your bank.
Aggregated Bank Loan
If you don’t qualify for a personal bank loan, you can apply for an aggregated study loan through our financing partner, Student Hero. They make collective applications to banks, which lowers the requirements to receive a loan.
To apply, you must have a small but steady income, or if you are not earning yourself you can apply with a family member or sponsor who can prove a steady income. You or your sponsor must have a South African bank account. Your repayments can be as little as R1300 per month.
Apply for an Income Share Agreement or Study Loan
Ready to take the next step? Apply to study at CodeSpace today, and we’ll let you know which financing option suits you best.
Need a little more inspiration before you apply? Watch this CNN feature spotlighting some of our super successful, previously-financed graduates.