Studying for an MBA Degree costs a lot of money and an advance financial planning helps you in the long run. If you have given up a well-paying job to pursue this degree, then not having a regular income for the 2 years that you will be studying for an MBA Degree also needs to be taken into account.
Let us look at all the possible avenues for finances, as given below.
Support from Self (Personal Savings) or Family:
If you have been working for some time and have planned on doing an MBA Degree in the future, it is very important to put aside some money every month for this purpose. It is good to start very early on this journey.
Borrowing money from your family (parents or relatives) and paying off the loan at a later stage, once you finish your studies and get a job is usually the first step or resource that a student decides on. At most times these borrowings are interest free.
Banks and financial institutions give low interest rates to students to pursue higher studies. It is always prudent to read and understand all the rules and regulations of the loan process completely and thoroughly, so that you are not caught unawares, when the time comes to pay off the loans. When you actually start paying off the loans, what kind of interest (simple or compound) rate will you be paying etc. are some of the questions that you should have 100% clarity on.
The College/University, Government and Non-Government organizations offer scholarships. And then there are extremely competitive scholarships offered by Trusts, Companies and High Net worth Individuals (Private Individuals). The student needs to check with these entities to find out the eligibility of the scholarships.
Some companies sponsor their employees for the entire duration of their studies. But this means that the student will have to go back to the company to continue the employment, as the company will look to make the most of the investment that they have made on the student. An advantage in this arrangement is that you do not have to spend time in a job search, after the completion of your studies. There is acceptance and a job is waiting readily for you. There is no guarantee that even after you complete your MBA Program, you will immediately start working on a job. So this arrangement where you go back to your old company would work well – familiar set-up, probably the same colleagues and manager as well.
A lot of colleges offer this facility to their students in the last two semesters of their MBA Degree Program. Classes or Lectures are held only on Sundays, which means that the student can work through the week and submit their thesis or attend classes or lectures on Sundays. You can also contact your College/University for internships and on-campus part-time job opportunities.