How Can I Finance My MBA Degree?
After being accepted into a great business school, the next question that pops into most people’s heads is, “How can I finance my MBA degree?” A college education is undoubtedly expensive, and graduate programs are even more costly than undergraduate ones. Tuition for some of the best MBA programs in country can exceed $100,000 per year, and most students won’t be able to afford that without help. Here are the most common ways to finance your MBA degree.
Related Resource: How Much Does An Online MBA Cost?
Apply for Federal Financial Aid
The most popular way to finance your MBA is to apply for federal financial aid. To do so, you must fill out a FAFSA application and submit it before your school deadline. Most financial aid comes in the form of loans that must be repaid. According to US News and World Report, students entering graduate or professional programs may borrow up to $138,500 to pay for tuition and other school-related expenses. While there are grants and scholarships available to graduate students, the awards are relatively small as most are reserved for undergraduates.
Ask Your School for Help
If you don’t qualify for federal loans or require additional help, contact your school’s financial aid office for other options. Most schools have their own financial assistance programs that provide grants, scholarships, and loans, according to US News and World Report. These aid programs are outlined in the financial aid package that you receive upon being admitted to the MBA program. You will have to provide income records for needs-based aid. Qualifying for merit-based aid depends on your academic performance during the MBA program. Some scholarships require you to submit essays as well.
Take out a Private Loan
Another option is to look for a private loan from a bank. The downside of private loans is that they usually come with very high interest rates. Keep in mind that you’ll probably be paying back far more than what you took out.
Borrow from Friends and Family
If you’ve exhausted all of your other options, see if your family and friends can lend a helping hand. Most people don’t want to bother their loved ones with monetary requests, but this is a good option if you wish to avoid paying back the interest associated with federal, school and private loans.
Reduce Your Spending
Reduction in personal spending can also help save for tuition expenses. Most of us can afford to cut spending at least a bit. Only pay for the things that you really need to get you through the time in school and eliminate the luxuries. There are many different ways to fund your MBA schooling. You can borrow federal loans, enroll in school-specific financial aid programs, take out private loans, borrow from family and friends, or simply reduce your spending habits. By utilizing various different resources and making smart financial decisions, you should be able to accumulate enough money for business school.