UGA is a fine school - in my mind, not much different than Culverhouse but with its strong Honors program, Terry may be better positioned.
Vandy doesn’t have business by the way - they have an “experience” but not a business major - there are “better” schools for your desires - but someone still has to pay the bill and that’s my concern with IU. Of course, they’ll have kids from other majors get to IB.
If you do end up in Tuscaloosa, you might look into these linked - find out what types of successes and outcomes they’ve had. If you look at the current class, you can look at their linkedins fpr background info on the students involved. Talk to career services about outcomes in the area you are interested.
Good luck, whatever you end up doing - but I’m a bit confused - your dad saved $75K a year for Ivy (hmmmm - Ivy and Vandy types are $10-15K more) but if you go to IU, you’re definitely borrowing $100K…so the money thing seems confusing still - but let’s just say, even for Harvard, you can’t borrow $100K - and that leads back to Culverhouse.
If the parent is willing to support this student’s college costs…and yes, even with large loans, I think that is a family decision.
Yes, it’s very wise to know what those loan repayments will look like monthly.
As someone interested in business, you need to understand this.
I also recommend that all students take a personal finance course. This can help you understand the impact of large loans on your future. I think this is what Tsbna means. I think.
OP may very well change her mind about aiming for IB. Many do. Though Kelley is the better school, Alabama is just fine for 90% of jobs and would preserve most options at a far more affordable price. There is no guarantee she would get into IB even if she graduates from Kelley, and that is a big amount of borrowed money wasted then.
I usually give this suggestion so I will hear. Your parent monthly repayment on $110,000 of loans (I’m adding in some interest) will be about $1200 a month. I would suggest that they put $1200 a month in a dedicated savings account starting this month. See if that is sustainable. If not, have this college isn’t affordable.
And yes, I understand that you hope to have a job to help repay this debt. But really…you don’t have that job…yet.
Thanks both of y’all. We will definitely check on monthly payments on a 100k loan, and see if we can afford that.
I’ll show my parents this feed and check with them. I know understnad that THEY are taking on the loan, and shouldnt have to rely on me really at all to "pay them back. "
No one here truly understands the financial situation of your family, besides your parents. But what I can “feel” from the various conversations you had with your parents is that:
Your parents love you very much. They want the best for you.
You are a very considerate child to be thoughtful about the amount of loan either your parent or yourself will be taking if choosing IU.
It is possible that your parents ask you to pay back the 100K only because they want you to have a “skin” in the game. In fact they will be fine even if you don’t repay them… Again, not sure this is the situation in your family, but that’s some of the parents will do, assuming the monthly payment does not severely impact their retirement plan.
Having said that, given that you mentioned a future plan for an MBA, I might have a potential idea - How about going to U of Alabama for undergrad business, and asking your parents to use the money already saved towards your first-year tuition at an MBA program? You can take on loan yourself for the 2nd-year MBA, hopefully at a more prestigious school, when you’ll have much better earning power post-MBA to pay back the loan. The amount will be in the same ballpark as two-year of COA at IU Kelley undergrad. And you parents would not need to cosign the loans under their own name.
While it is true that more and more applicants/employers are questioning the value/opportunity costs of an MBA program, it might be worth considering in your case, IMHO, because your costs of going undergrad at UA would be quite low as an in-state.
Thank you so much for your opinion, and I will certainly show my parents this. We have thought about it, and my dad says that their is a higher chance that my employer can pay for my MBA, but obviosuly that is a hypothetical, and might not happen. I appreciate your idea and response so much.
I’m not sure today. I’ve only worked at two major companies but those who have gone part time, it’s no longer the company paying full as these are often $60K+.
I think my current company - you can get $10-15K. I have a friend at my last company who did Michigan’s eMBA and he got back like 20% - and that was it. Not even sure if he got that much.
Then it’s the question of are you going part time or full time. If full time, they’re unlikely to sponsor you although there have been cases where an employer in the past may have. And then you come back to them. If you go part time, you often won’t have access to career services, especially if your company is contributing - so if you are seeking transition either job duties or companies, it’s not always the best case. In my friend at U of Michigan, he was not able to use the school but did get a job at the organization a co-worker was, an EV start up - and he fortunately remains today as that industry has been decimated by layoffs.
I come from an era, probably like your dad, where that was a benefit. But I think the economic landscape and costs have greatly changed and I don’t think you can rely on an employer to pay for a large portion of a pricey MBA…not in 2024 (and beyond)…at least based on what I’ve seen.
Thanks everyone for helping me with your responses. It truly helps so much to get multiple different experiences and everyone of yall helped me through this.
In the end, I decided on going to University of Alabama. My parents were on my side of this after seeing and talking to many people, and seeing y’alls responses. They also said they will help me with costs during my MBA, where I aim to go to a top school for finance, and most likely pay in full. Though IU Kelly is a great program, spending 50k was not worth it, especially when I might have to still get an MBA afterward if I don’t get into the elite IBW clubs at IU.
Again, thanks to all of yall. You have helped shape my future.
That’s a really mature decision and thoughtful process you engaged in. Congratulations
Btw, it doesn’t mean you’re confined to Alabama, quite the opposite:
You can also look at any “study away” experiences (many universities offer experiences in DC or NYS, for instance, combining classes and externship - I’m sure youcan see how these experiences could make a difference professionally ) and study abroad (will make you see things differently and force you to consider things in ways you never had, which is good for many professions, and for business will put you in contact with new people&ways of doing, especially if you can be enrolled in a Finance-related program (Singapore, obviously, but also London, Paris, Frankfurt for Europe…)
And none of this will be a financial burden because most of it will be covered by your scholarship and your parents won’t be worried about costs.
Thanks y’all again. I have already been looking into study abroad programs and whatnot. And I am certainly excited for UA, especially without the worry of costs!
Congratulations 