During the summer away from 2011, David Klein got a challenge, a challenge mutual by many MBAs within HBS: high-pricing student education loans. At the time, he had been typing Wharton’s full-big date MBA program, positioned to start a company in advance of graduating. He inadvertently occurred through to the pain sensation section, and greatest suggestion, who just nine days later lead to your to decrease away from school.
He along with his co-creators – Michael Taormina and you may Jessup Shean – features just like the built a student lending company that focuses primarily on reducing the cost of repaired rates student loans to have MBA youngsters from inside the the fresh U.S. The business has already disbursed millions of dollars and you will intends to launch at the HBS it spring.
CommonBond will be based upon a style of “societal credit imitation observe.” College student consumers get access to cheaper, fixed speed money provided by investors just who secure an aggressive financial come back. Presently, borrowers normally greeting savings all the way to $twenty five,100 along the life of fees.
“The new CommonBond offering is over just financing, otherwise transaction. Finance now try commoditized products, but CommonBond has the benefit of another type of area of fellow borrowers and alumni loan providers, also coding to get in touch members and you can promote mentorship near to financial assistance,” said Andrew Haller ’14.