If a student fails to meet the advance condition, then Climb will not advance the 40% amount of tuition financed to the school. Instead, Climb will remit student payments received to date and henceforth (net of fees). A school may of their own accord choose to fully refund the loan, thereby effectively canceling it. In such cases, schools may often choose to withdraw the student from the program if they have no other acceptable payment means. Schools will typically disclose this policy to students up front in their enrollment agreement or elsewhere.
If a school does not wish to initiate a refund and instead keep the loan outstanding, Climb will continue to service the loan and send payments as the student makes them for an up front and ongoing monthly fee per student — however, the school will not be eligible for the initial advance.