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How much do u expect to be in DEBT after your MBA?

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sonibubu
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 21:07
falibay wrote:
sonibubu wrote:
I heard the 4% origination fee at Booth's admit weekend financial aid session. What is an origination fee?



Just a fee you pay for having the right to get the loan... Basically helps the bank reduce their cost of issuing, packaging and selling the loan , I guess. I think it is a total ripe off for such a liquid market.


So if you get $100k loan, you pay $4k in fees?
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GoBruin
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 21:08
sonibubu wrote:
I heard the 4% origination fee at Booth's admit weekend financial aid session. What is an origination fee?


4%?

it's typically 0% for perkins, 0.5% for stafford and 2.5% for Grad Plus.

here's a useful chart from Ross' Student Loan site.
https://www.bus.umich.edu/pdf/Loan_Comparison_Chart.pdf

Origination fee is just a flat rate the company charges just to process your loan. it is like closing cost for buying a house. It is typically tax deductable. I can be wrong since this is from my UG days.
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GoBruin
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 21:10
falibay wrote:
sonibubu wrote:
I heard the 4% origination fee at Booth's admit weekend financial aid session. What is an origination fee?



Just a fee you pay for having the right to get the loan... Basically helps the bank reduce their cost of issuing, packaging and selling the loan , I guess. I think it is a total ripe off for such a liquid market.



Wow you guys are soo fast, there 2 post while I was replying to soni.
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falibay
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 21:16
During the Chicago Admit week-end they told us 4% for Grad plus.

Yeah if you borrow 100K you pay 4K in fees... Like I said a total ripe off. Especially when the freaking loan is back by the US government (and our tax dollars)!
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falibay
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 21:17
GoBruins wrote:
falibay wrote:
sonibubu wrote:
I heard the 4% origination fee at Booth's admit weekend financial aid session. What is an origination fee?



Just a fee you pay for having the right to get the loan... Basically helps the bank reduce their cost of issuing, packaging and selling the loan , I guess. I think it is a total ripe off for such a liquid market.



Wow you guys are soo fast, there 2 post while I was replying to soni.



No more essays to work on ; I guess we are all getting bored... :D
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GoBruin
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   09 Mar 2009, 22:14
falibay wrote:
During the Chicago Admit week-end they told us 4% for Grad plus.

Yeah if you borrow 100K you pay 4K in fees... Like I said a total ripe off. Especially when the freaking loan is back by the US government (and our tax dollars)!




You're right, it's 4%.

There is a 3% origination fee charged by the federal government and a 1% federal default fee.

here's the link directly to the Sallie Mae site for Grad Plus. Remember not 100% of your loans are for Grad+
https://www.salliemae.com/get_student_lo ... grad_plus/

Although looking at it, it seems as if all 4% are paid directly to the federal Gov.
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Wolf
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   17 Jun 2010, 01:10
nice info.
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krussell
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Re: How much do u expect to be in DEBT after your MBA? [#permalink] New post   21 Jun 2010, 17:14
Holy moly, I must be the only one who expects to be broke as a joke during this thing, and my schooling is cheap (under $50k).

I've got a 7K scholarship, with the possibility of 3 more 2K bursaries, and expect to be about 100K in debt after tapping out my measly savings!

How did you guys get so much savings? I thought I was doing good for a 23 year old with the amount I had, but I'm shocked to hear you guys say you have the total amount saved up! Good job!
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gmatclubot
Re: How much do u expect to be in DEBT after your MBA? [#permalink]
21 Jun 2010, 17:14
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