Welcome to Piecewise

Madeleine Barr
January 13, 2020

Paying for college is one of the greatest financial challenges faced by American individuals and families: in the past 30 years, the cost of college has more than doubled. The resulting surge in student loan borrowing means that many graduates spend decades paying for their education.

Piecewise is leveling the playing field by helping every student debt borrower save as much money as possible on their student debt repayment, find their best repayment path, and avoid default. We work alongside students and schools to help every borrower overcome debt.

If you’re a borrower, a financial aid employee, or anyone interested in learning about student debt, we can help. Continue reading to find out how Piecewise is tackling the student debt crisis. 

What is Piecewise?

Piecewise is a student debt payment platform that student loan borrowers and universities use to save money, overcome student debt, and lower default rates. We believe that every student debt borrower should have access to a student debt repayment plan that matches their financial situation, whether that means switching to a plan that changes with their income or paying ahead to avoid interest accrual. Students can use our product for everything from completing federal exit counseling to targeting a repayment strategy. As student debt borrowers ourselves, we understand the experience of having debt, and we're here to help.

What is default?

You default on your student loans if you have not made any payments towards your loans for 9 months and you have not communicated anything to your student loan servicer. Defaulting has many negative consequences, ranging from a hit to your credit score, lower eligibility for future loans, and even the government taking part of your wages or tax return.

Default has become a widespread outcome for student loan borrowers—7 out of 10 students borrow student loans to finance their education, and 2 will eventually default. Nationally, over 1 million borrowers default every year. By 2023, an estimated 40% of borrowers are projected to default on their student loans. This is not a sustainable rate, and we want to do something about it.

Why focus on default? 

$1.6 trillion in outstanding student debt is a huge problem, not just for individual borrowers but for the economy as a whole. The debt burden prevents borrowers from reaching other important financial milestones, like buying a house and saving for retirement. Lack of liquidity also inhibits individuals from starting businesses. Speaking as the founder of Piecewise, my own loans sometimes made me question whether starting a company was worth the risk, when logic would have suggested I take a job with a stable salary.

While the market has begun to adapt to the sustained reality that 15-20% of borrowers will default on their loans every year, we believe that it doesn't have to be this way. We believe that everybody should be able to access credit and receive their full paycheck, and that the looming threat of default should be addressed before it reaches the 9 month deadline. Through education and sustained support, Piecewise aims to give every borrower a fair shot at overcoming debt, avoiding default, and living a sustainable financial life.

Our mission and how we can help you

Every borrower should have control over their student debt. To deliver on this promise, we’re completely free for student debt borrowers. From graduation to payoff, we’re by your side to help at every decision point. Sign up for our newsletter to be among the first borrowers to access our free debt repayment platform. 

If you work at a school and care about solving the student debt crisis through supporting your students, get in touch by booking a demo. We can get Piecewise up and running in an hour. 

Stay tuned for more, and never hesitate to reach out to support@piecewise.co with questions about your debt.