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May 0710:00 AM EDT
-10:30 AM EDT
Sia Admissions Founder Susan Berishaj is covering this live on YouTube, May 7: how admissions committees actually evaluate goals statements, who is in the room, and why the goals statement most applicants submit wouldn't survive that conversation.
May 0711:30 AM PDT
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Most MBA resumes fail not because of weak experience — but because of how that experience is presented. In this episode, we break down what makes an MBA resume effective, and how to shift from listing responsibilities to demonstrating impact...- May 07
06:00 PM PDT
-07:00 PM PDT
A strong MBA application is built long before you start writing essays. In this session, Scott Edinburgh (Founder, Personal MBA Coach) shares 6 practical ways to improve your MBA profile before MBA application season - May 08
08:00 AM PDT
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Join the special YouTube live-stream for selecting the winners of GMAT Club MBA Scholarships sponsored by Juno live. Watch who gets these coveted MBA scholarships offered by GMAT Club and Juno. 
May 0803:00 PM PDT
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Inquire for a free profile evaluation and guarantee statement for possible admits and scholarships!
May 1111:00 AM IST
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Looking to secure a coveted spot at a top business school? Our team of seasoned MBA admissions consultants, including top B schools alumni and industry leaders, is here to help turn your dreams into reality. Let’s kick-start your journey to success!
May 1310:00 AM EDT
-11:00 AM EDT
Applying to business school this year? Don’t miss Personal MBA Coach’s Top MBA Application Tips guide
06 Mar 2023, 11:32
Kudos
Bookmarks
Hi! I'm pretty certain I won't be qualifying for either merit-based or need-based financial aid.
I applied R2 and got 1 admit so far (no scholarship info yet but I think it's doubtful I'll get any aid, anyway), and I'm trying to get a head start on understanding what will make the most financial sense when it comes to paying for a FT MBA. I'm fortunate enough to have enough money (through savings, selling some of my equity, previous company's equity that I still hold) to fully finance my MBA, but I'm honestly a little financially illiterate so I'm not sure whether or not it makes sense to take out a loan at all, or just pay for tuition with the money I currently have (literally, in savings... I'm working on figuring out what to do with it in order to accrue some interest), but very big chunks are sitting in a brokerage account/my savings account)
I want to understand when it would make sense to take out a loan... if at all, given my situation. What do you all think?
I applied R2 and got 1 admit so far (no scholarship info yet but I think it's doubtful I'll get any aid, anyway), and I'm trying to get a head start on understanding what will make the most financial sense when it comes to paying for a FT MBA. I'm fortunate enough to have enough money (through savings, selling some of my equity, previous company's equity that I still hold) to fully finance my MBA, but I'm honestly a little financially illiterate so I'm not sure whether or not it makes sense to take out a loan at all, or just pay for tuition with the money I currently have (literally, in savings... I'm working on figuring out what to do with it in order to accrue some interest), but very big chunks are sitting in a brokerage account/my savings account)
I want to understand when it would make sense to take out a loan... if at all, given my situation. What do you all think?
08 Mar 2023, 16:24
Kudos
Bookmarks
Hi dimesquared - congrats on your admit!
I love the fact that it is the people who are financially illiterate who have the money to pay for the BSchool while all of the rest of the folks who think they are financially literate are scraping the bottoms of the barrel
I would say you have a few considerations:
1. Will you have enough money or maybe enough money? If you have maybe enough money, having a cushion may be helpful unless you have a source you can easily borrow from. Student loans have better rates than credit cards and if you don't have a way to access $$ for some emergency or other spending, how will you fund that? If you have an alternative way of borrowing money (e.g. HELOC or parents or else) then you may need a student loan. At the same time, if you don't, I would encourage to get some money accessible - you can do this in your second year for example.
2. Taxes. I would consider what tax implications the asset sales will have. Likely not a ton since you will not be working half of this year and these likely be long term gains but if you do pay taxes, likely be 15% and you will pay $0 taxes if your income is below 45K (total)... maybe you may want to sell these next year when your income is only limited to your internship. You can play around with this calculator https://www.nerdwallet.com/article/taxe ... -tax-rates my guess you will end up paying 15% on most of your gains (this is not total amount but gains only)
3. Interest rates. Interest rates have been terrible so carrying a loan is annoying these days since a student loan probably will be close to 10%. Your credit card may have a better balance transfer/APR offer 🥴
P.S. I think the main question is whether you have a source to borrow funds for an emergency/unexpected situation/increase in budget costs/etc. Since it seems you have enough for both years, I think you can wait until year 2 to borrow or you can be trickier and borrow in year 1, sell stock in year 2 and pay off year 1 loan.
I love the fact that it is the people who are financially illiterate who have the money to pay for the BSchool while all of the rest of the folks who think they are financially literate are scraping the bottoms of the barrel
I would say you have a few considerations:
1. Will you have enough money or maybe enough money? If you have maybe enough money, having a cushion may be helpful unless you have a source you can easily borrow from. Student loans have better rates than credit cards and if you don't have a way to access $$ for some emergency or other spending, how will you fund that? If you have an alternative way of borrowing money (e.g. HELOC or parents or else) then you may need a student loan. At the same time, if you don't, I would encourage to get some money accessible - you can do this in your second year for example.
2. Taxes. I would consider what tax implications the asset sales will have. Likely not a ton since you will not be working half of this year and these likely be long term gains but if you do pay taxes, likely be 15% and you will pay $0 taxes if your income is below 45K (total)... maybe you may want to sell these next year when your income is only limited to your internship. You can play around with this calculator https://www.nerdwallet.com/article/taxe ... -tax-rates my guess you will end up paying 15% on most of your gains (this is not total amount but gains only)
3. Interest rates. Interest rates have been terrible so carrying a loan is annoying these days since a student loan probably will be close to 10%. Your credit card may have a better balance transfer/APR offer 🥴
P.S. I think the main question is whether you have a source to borrow funds for an emergency/unexpected situation/increase in budget costs/etc. Since it seems you have enough for both years, I think you can wait until year 2 to borrow or you can be trickier and borrow in year 1, sell stock in year 2 and pay off year 1 loan.
09 Nov 2023, 05:13
Kudos
Bookmarks
Hi Dimesquared,
It's wonderful to hear that you've secured admission to a university! Now, you're dealing with a common dilemma: whether to self-finance your education using your savings or opt for an education loan. Before we offer our insights, it might be helpful to take a quick look at this blog post titled "Education Loan vs. Self Financing."
Now, let's dive into the heart of the matter: whether you should opt for an education loan or use your personal savings to fund your education. Our recommendation is to consider taking an education loan instead of depleting your savings. You might wonder why we hold this view. To provide a clearer perspective, let's take a look at a table highlighting the advantages of choosing an education loan over self-financing:
Absolutely, the decision ultimately boils down to your individual preferences and requirements. However, we generally recommend considering an education loan. By exclusively utilizing your savings for education, you may leave yourself financially vulnerable in the face of unexpected future expenses. If you do have surplus funds, one option is to self-finance your education for the first year and then explore education loans from the second year onward. This approach necessitates early planning and application.
To streamline your education loan process, you can proactively check your eligibility through platforms like GyanDhan, India's first and largest education financing marketplace. We specialize in helping students fulfill their dreams of studying abroad, and our services are available at no cost.
It's wonderful to hear that you've secured admission to a university! Now, you're dealing with a common dilemma: whether to self-finance your education using your savings or opt for an education loan. Before we offer our insights, it might be helpful to take a quick look at this blog post titled "Education Loan vs. Self Financing."
Now, let's dive into the heart of the matter: whether you should opt for an education loan or use your personal savings to fund your education. Our recommendation is to consider taking an education loan instead of depleting your savings. You might wonder why we hold this view. To provide a clearer perspective, let's take a look at a table highlighting the advantages of choosing an education loan over self-financing:
| Factors to consider | Self-funding | Education loans |
| Financial burden | More financial burden as you may not have money for any future contingency | Ease your future financial burden |
| Moratorium period | The funds start getting less from day one | In an education loan, you pay back once you have completed the course |
| Coverage of multiple expenses | May fall short due to unforeseen expenses | Will always have an ample amount and can get disbursement of the amount that is actually needed |
| Tax Benefit and Subsidy | No additional benefits | There are certain tax benefits and subsidies that you can get when you take an education loan |
| Credit score building | No credit score building | It will help you build a credit score that can help you in the future |
Absolutely, the decision ultimately boils down to your individual preferences and requirements. However, we generally recommend considering an education loan. By exclusively utilizing your savings for education, you may leave yourself financially vulnerable in the face of unexpected future expenses. If you do have surplus funds, one option is to self-finance your education for the first year and then explore education loans from the second year onward. This approach necessitates early planning and application.
To streamline your education loan process, you can proactively check your eligibility through platforms like GyanDhan, India's first and largest education financing marketplace. We specialize in helping students fulfill their dreams of studying abroad, and our services are available at no cost.
