|
|
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.
Customized
for You
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
16 Jul 2020, 10:12
Kudos
Bookmarks
Hi all. I would like to pick your brain on the funding for school. I do have savings that would allow me to pay for tuition and expense for the program. But that will leave me only 10k-20k in savings upon graduation. The other option is I can take out a max 60k student loan for the entire program that will accrue interest as soon as the loan is disbursed. I also have a home loan, and I am a single mom. Which do you think is a better option for me? Thank you.
Archived Marshall Discussion
Hi there,
You've stumbled upon an old discussion from our Marshall Forum
that's now outdated and has been archived. No more replies are possible here.
Interested in current discussions? Feel free to dive into our dedicated Marshall Forum
for all fresh things related to the Marshall MBA program.
Thank you for understanding, and happy exploring!
siddharthkapoor
GMAT Club Reviews PM Intern
Joined: 10 Apr 2018
Last visit: 12 Sep 2025
Posts: 527
Own Kudos:
Given Kudos: 522
Location: India
Schools: ISB'22 (D)
GMAT 1: 680 Q48 V34
GPA: 3.3
Products:
16 Jul 2020, 10:19
Kudos
Bookmarks
workout, please tag those users who you think may give a thoughtful reply to the above post.
16 Jul 2020, 10:58
Kudos
Bookmarks
Congratulations on your admit. Also it’s good that you have options.
I don’t know if you are doing 1 or 2 or 3 year programs and what interest rates you’re getting on the student loans and what your home loan rate is but my suggestion would be regardless of whichever method you plan to pay for school, do you want to make sure you have an emergency fund. Just some things stashed away for six or preferably 12 months of expenses. I know it can be very tough to have that.
If you don’t have an emergency fund, I would highly recommend using student loans. The interest rates are pretty low right now and usually you have to pay for tuition on each semester basis or quarterly basis so you will not need the whole amount immediately and therefore you will not be accruing interest on the entire amount immediately. Then after you graduate, If you find a job, you can pay right away but if something comes up, you can’t usually go back and get the student loan after you graduated. If you can borrow from other sources, then you may not need this financial instrument...
You can also always skip the second year loan and not use it. If you’re doing a two year program.
PS. I tend to be conservative with my finances and in this case it means actually getting a loan to pad your financial position because it’s one of those things that you cannot get later. The funny thing, nobody actually wants to lend you money when you really need it. I only get offers when I do not need to borrow but when things are tight, banks shy away or jack up interest rates. If you can get a decent interest rate on your loan and it is in installments, this may be a fairly low cost option for extra cash.
Posted from my mobile device
I don’t know if you are doing 1 or 2 or 3 year programs and what interest rates you’re getting on the student loans and what your home loan rate is but my suggestion would be regardless of whichever method you plan to pay for school, do you want to make sure you have an emergency fund. Just some things stashed away for six or preferably 12 months of expenses. I know it can be very tough to have that.
If you don’t have an emergency fund, I would highly recommend using student loans. The interest rates are pretty low right now and usually you have to pay for tuition on each semester basis or quarterly basis so you will not need the whole amount immediately and therefore you will not be accruing interest on the entire amount immediately. Then after you graduate, If you find a job, you can pay right away but if something comes up, you can’t usually go back and get the student loan after you graduated. If you can borrow from other sources, then you may not need this financial instrument...
You can also always skip the second year loan and not use it. If you’re doing a two year program.
PS. I tend to be conservative with my finances and in this case it means actually getting a loan to pad your financial position because it’s one of those things that you cannot get later. The funny thing, nobody actually wants to lend you money when you really need it. I only get offers when I do not need to borrow but when things are tight, banks shy away or jack up interest rates. If you can get a decent interest rate on your loan and it is in installments, this may be a fairly low cost option for extra cash.
Posted from my mobile device
