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AustenAllred's profile
Austen Allred
Austen Allred
Austen Allred
Verified account
@AustenAllred

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Austen AllredVerified account

@AustenAllred

CEO @LambdaSchool (YC S17): A CS education that's free until you get a job. I have made remarks that I do not agree with.

San Francisco, CA
lambdaschool.com
Joined December 2010

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    1. Austen Allred‏Verified account @AustenAllred Oct 1

      For-profit universities in the United States have to abide by the 90/10 rule: only 90% of tuition $ can come from federal student loans, the other 10% have to come from other sources. Want to rock the education space and drive tuition down? Make it an 80/20 rule. Or 75/25 rule.

      12 replies 16 retweets 171 likes
    2. Ann Nav‏ @Ann_Nav Oct 2
      Replying to @AustenAllred

      Please do educate me. What’s the difference between gov student loan vs a school extending line of credit? Just curious.

      1 reply 0 retweets 0 likes
    3. Austen Allred‏Verified account @AustenAllred Oct 2
      Replying to @Ann_Nav

      If you came to a school and said, "I'd like to take out $250,000 from you for a social working degree" a school would say, "No, we'll never make our money back." If you come to a school and say, "I got $250k of loans from the gov, will you take it" the school says, "Yes"

      1 reply 1 retweet 1 like
    4. Ann Nav‏ @Ann_Nav Oct 2
      Replying to @AustenAllred

      Thank you though I feel I may be missing something. Ie if the fee is $250k and gov pays 75% and rest you have to come up yourself, how is that driving Uni fees down? The only time I see Uni fees going down is if gov negotiates and provides subsidies than passing cost to students?

      1 reply 0 retweets 0 likes
      Austen Allred‏Verified account @AustenAllred Oct 2
      Replying to @Ann_Nav

      It's not that the gov pays 75%, it's that only 75% of their tuition dollars can come from the government, then other 25% need to be paid out of pocket. They have to cater to people able to pay out of pocket, which forces them to drop prices

      12:29 PM - 2 Oct 2018
      0 replies 0 retweets 0 likes

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