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Transcript of how-to-pay-for-your-mba-2015.pdf
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7/23/2019 how-to-pay-for-your-mba-2015.pdf
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CommonBondInc.
How To Pay For Your MBA Webinar
May19,2015
CommonBondInc.Confidential
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CommonBondInc.
Agenda
1) Introduction
2) Howmuch
does
business
school
cost?
3) Whatareyourfundingoptions?
4) Choosingtherightstudentloan
5) Nextstepsandkeydeadlines
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CommonBondInc.
Introduction:WhoisCommonBond?
FoundedbyWhartonMBAstiredofhighrates,onesizefits
alloptions,andconfusingprocess
Focusedexclusivelyonstudentlendingtograduatestudents
Funded
over
$150M
in
student
loans
since
launch
Asfeaturedin:
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CommonBondInc.
CostsofBusinessSchool:CostofAttendance
CostofAttendance(orCOA)issetbyeachschooland
includestuition,room&board,andcertainfeesforattending
thatschools
program
TheCOArepresentsthelegalmaximumamountthatcanbe
borrowedinstudentloans
COAcansometimesdifferforstudentsindifferentsituations
Instateversusoutofstatestudents
Supportingpartner
or
family
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CommonBondInc.
CostsofBusinessSchool:COAComparison
Bottomline:Makesureyouknowwhatcostsyourschooldoes
coverandassessthoseestimatesbasedonyourownsituation
HBS MIT
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CommonBondInc.
CostsofBusinessSchool:TripsandCushion
Onceinlifetimetravel
experiences
Cushion Otherconsiderations
Experientialinternational
academicprograms
Eventsandvacationswith
soonto
be
classmates
PreMBAtravel,e.g.,
KWEST:CostaRica,$2,750
Surpriseslikeabroken
laptop
Traveltoandfromcampus
SummerandpostMBA
relocationcosts
Supportingafamilyor
partner
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CommonBondInc.
FundingOptions:Overview
ThereareanumberoffundingoptionstopayforyourMBA,
including,butnotlimitedto
Personalsavings
Scholarships/fellowships
Companysponsorship
Federalloans:Perkins,DirectUnsubsidized(Stafford),DirectGrad
PLUS
Privateloans
Familyloans
Certainretirementaccounts
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CommonBondInc.
FundingOptions:Whatsrightforyou?
Theresnorightanswer,highlyspecifictoyourpersonal
situation
Considerations:
Safetynet:howmuchofyouremergencyfundshouldyouspend?
Cheapvs.expensivedebt:whatratescanyouget?
Futureplans:areyouplanningtostartabusiness,moveacrossthe
globe,orbuyahome?
Expectedfutureincome:doesyourdebtloadandtypemakesense
givenyourexpectedpostMBAincome?
Amountborrowed:CanyourestimatedpostMBAsalarysupportyourmonthlyloanpayments?
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CommonBondInc.
StudentLoans:TermstoKnow
InterestRate&APR
OriginationFees
Fixedvs.
Variable
Rates
LoanTerms
FederalDirectUnsubsidizedLoans(theStaffordloan)
FederalPLUS
Loans
PrivateLendingOptions
BorrowerProtections
Deferment
and
forbearance
IncomeBasedRepayment(IBR)
CommonBridge
Detailed
definitions
at
https://commonbond.co/glossary
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CommonBondInc.
StudentLoans:SampleApplicationProcess
*LoansaremadebyBankofLakeMillsforCommonBond.NeitherCommonBondnortheBankofLakeMills
isaffiliatedwiththeschoolyouattendedorareattending.BankofLakeMillsisaMember,FDIC.
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CommonBondInc.
FundingOptions:StudentLoanOverview
10Year
Paylessinterestover
thelife
of
the
loan
15Year
Paylesseachmonth
*Assuming
an
$80,000
loan
balance
+ / - $192
+ / - $19,708
6.40%
MonthlyPayment:$904
TotalInterestPaid:$28,518
6.85%
MonthlyPayment:
$712
TotalInterestPaid:$48,227
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CommonBondInc.
Choosingthebeststudentloanoption
Whatloanfeaturesare
importanttoyou?
Deferment
Forbearance
Employmentprotection
CommonBridge
Noprepaymentpenalty
Whatsmostimportanttoyouin
astudentloanprovider?
Interestrates
Customerservice
Easeofprocess
Reputation
Network/community
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CommonBondInc.
FinancialAidTimeline
May June July August September
SchoolsreleasetheirCOAs
FileyourFAFSAassoonasrates
andCOAsarereleased
Submitallschoolspecific
financialaid
applications
by
theirspecifieddeadlines
Schoolsdisbursestudentloans
Federalrates
aresetbythe
10yearnote
auction
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CommonBondInc.
Resources
StudentLoanCalculator
https://commonbond.co/
mbastudentloancalculator
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CommonBondInc.
Questions?
Ifyouhaveanyquestionsaboutstudentloans,donthesitateto
reachouttoouramazingCareTeam:
8009757812
