How to Handle Student Loans|Nate&Mike from LendEDU - a podcast by Cody of Fly to FI and Justin aka Saving Sherpa
from 2019-10-15T07:00:26
In today's episode, you'll hear how Nate created a site to help people navigate student debt called LendEDU.
You'll hear how this website was born during college and now makes over $1M per year.
Joining Nate is one of his employees named Mike.We cover their specific site, the industry, and tips for students today.
Listen and read below to hear this awesome business transformation.Episode Summary
Colin's upbringing led him to be frugalIn high school, Nate had some jobsHe didn't really care about finance until college
His freshman year he took on a good bit of debt in 2012Mike still has student loans
He didn't take it seriously until graduation
Nate also worked during collegeHe started paying off his debts immediately
He graduated with $60 debt$45k came after 2 years then he changed it up
He started mixing in community collegeNate and Mike met in college
Nate starts LendEDU and brings on MikeBy the time they graduated in 2016, it became a full-time job
They both highlight how little finance information is available to high school and college studentsThey also realize others cover their material
But they try to present it in ways more consumable by younger peopleMixing in video and shortening length
We dive into some tips for incoming freshmanQuestion really why you're going to college
Do you already know your profession?Is trade school a better option?
Then exhaust every grant and scholarshipStudents should also look at what their total debt bill with be, not just year one
Nate saved $10k by mixing in community College while at a 4yr universityThen we jump into the business side of the website
They started off making $200 per month from advertisements in 2014By the end of 2015, they were making $10k per month
By the end of 2016, they reached $50k per monthThe team has scaled to 15 people
Today LendEDU makes over $1M per year working with 120 advertisersTheir reviews are all unpaid and therefore objective
Separation between the income and the rankings of products is important to themThen we talk about unique new ways to avoid student debt
One is payback programs where you commit a percentage of your future salaryThe other is where you don't need a co-signer for your loans
Under this model, it is based more on your degree choice and time left'til graduation
Key TakeawaysDon't wait for success: It was awesome to see how Nate didn't put this business off until he graduated
Hire who you trust: The team has grown to 15 and 10 of those were college classmates. Trust is often more important than qualificationWhite Space Can Be a Style: Plenty of companies were covering these topics but none in a way that resonated with 20-year-olds
Call to ActionTake a look at your student loans and see if there is a refinancing option or anything to make those payments fly by.
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Connect with the LendEDU CrewVia their website LendEDU.com
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Further episodes of The Financial Independence Show
Further podcasts by Cody of Fly to FI and Justin aka Saving Sherpa